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UK Statutory Instrument
2014
United Kingdom
The Contracts for Difference (Allocation) Regulations 2014
At a glance
Who this Act binds
Business-side actors with duties under this Act, ranked by how often they appear.
- Any Person 20
- Trader 13
Step-by-step journeys using this legislation
Walkthroughs that take you from a real business situation to compliance.
Relevant guidance
Practical guides for businesses affected by this Act, ordered by how closely they engage with it.
Supporting — topic alignment
1 guidesOther Acts binding the same actors
For each actor bound by this Act, the other UK Acts that bind them most often. Useful for understanding the full compliance landscape facing each role.
Any Person also bound by 749 other Acts (top 5 shown)
- Human Medicines Regulations 2012 2012 110 duties
- Licensing Act 2003 2003 105 duties
- Merchant Shipping Act 1995 1995 97 duties
- Road Traffic Act 1988 1988 95 duties
- Air Navigation Order 2016 2016 86 duties
Traders also bound by 219 other Acts (top 5 shown)
- Value Added Tax Regulations 1995 1995 952 duties
- TULRCA 1992 1992 39 duties
- Companies Act 2006 2006 39 duties
- Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 2013 39 duties
- The Customs (Import Duty) (EU Exit) Regulations 2018 2018 33 duties
What this Act requires
Sections that create concrete duties on businesses or carry penalties. Procedural and definitional sections are folded into the “Browse other sections” expander at the bottom of each group. Click any section title to read the source text on legislation.gov.uk.
Schedules
Browse 1 other Schedule — structural / supplementary
Documents
“Demand side response CMU”
- Provide and manage demand‑side response capacity in the Capacity Market Any Person
General eligibility criteria
- Ensure your capacity unit meets eligibility for capacity auctions Any Person
General duty of Delivery Body
- Exercise capacity market functions in line with regulations Any Person
Notification of results
- Notify and publish capacity auction results promptly Any Person
Termination of capacity agreements: CFDs and ROO conversions
- Send a properly signed CFD transfer or ROO conversion notice on time Trader
Null and void capacity agreements
- Ensure CMUs meet eligibility criteria before entering capacity agreements Any Person
Data default notices
- Notify a capacity provider of data default and revoke when data is supplied Any Person
Invoices and credit notes: general
- Provide an electronic address for invoices and credit notes Trader
Capacity payments
- Keep records of your monthly capacity commitments for payment Any Person
Capacity provider penalty charges
- Pay capacity provider penalty charges when invoiced Trader
Termination fees
- Pay termination fee if capacity agreement is terminated on specified grounds Trader
Payment of invoices and accruing interest
- Pay invoices on time and pay statutory late interest Trader
The non-payment register
- Pay electricity invoices on time to avoid public naming and shaming Any Person
Payment of credit notes
- Pay capacity‑provider credit notes within 33 working days Any Person
Reducing capacity payments: unpaid capacity provider penalty charges
- Settle outstanding penalty charges to receive full capacity payments Any Person
Reducing capacity payments: failure to demonstrate satisfactory performance
- Meet performance requirements to avoid payment reductions Trader
Withholding credit payments to capacity providers
- Ensure accurate data and solvency to receive capacity payments Any Person
Credit cover: requirements
- Provide required credit cover in an approved form Any Person
Approval of credit cover
- Approve or reject credit cover and notify the creditor Any Person
Maintenance of credit cover
- Maintain required credit cover for CFD contracts Trader
Downgrade of letter of credit
- Notify downgrade and replace credit cover within 10 working days Trader
Credit obligation period
- Maintain credit cover for capacity market units Trader
Draw down of applicant credit cover
- Withdraw applicant credit cover when required Any Person
Limitation on duty to provide information
- Keep privileged legal communications confidential Any Person
Protection of information
- Protect confidential capacity market information Any Person
Relevant requirements
Unlimited fine- Comply with information duties and other requirements under the CFD regulations Any Person
Consequences of successful review or appeal
- Respond to a capacity agreement offer within 5 working days Any Person
Disputes notice
- Send a disputes notice within 28 days of receiving a calculation Any Person
Procedure
- Submit proposals to change Capacity Market rules Any Person
Non-completion fee
- Pay non‑completion fee if new interconnector is not finished on time Trader
Reducing capacity payments: offsetting relevant expenditure
- Pay invoice for outstanding relevant expenditure/benefit Trader
Repayment of capacity payments: metering fault
- Repay capacity payments if metering test is invalid Trader
Repayment of capacity payments: termination
- Repay capacity payments if your agreement is terminated Trader
Browse 67 other sections — procedural / definitional / commencement
Citation and commencement
“Providing electricity”; “reducing demand for electricity”; “electricity supplier”
“Generating CMU”
Reliability standard
Annual electricity capacity report
Electricity capacity reports: supplementary
Information, directions, and assumptions
Determining whether capacity auction is to be held
Meaning of auction parameters
Determination of auction parameters by the Secretary of State
Adjustment of auction parameters following prequalification
Eligibility to bid in capacity auctions
Excluded capacity: low carbon support scheme CMUs
Excluded capacity: NER 300 and CCS grant scheme CMUs
Excluded capacity: long term STOR CMUs
Regulations 16 and 17 : interpretation
Auction guidelines
Determination of eligibility
Notifying prequalification results to the Secretary of State
Holding the capacity auction
Cancellation, postponement or stopping of capacity auction
Power to annul capacity auction
Rearranged capacity auctions
DSR transitional auctions
Capacity agreements
Capacity market register
Termination fee rates
Termination of capacity agreements: Secretary of State's discretion
The settlement calculations
Determination of adjusted load-following capacity obligation, net output and adjusted net output
Over-delivery payments
Settlement costs levy: the first levy period
General
Payment of withheld credit
Application of this Part and interpretation
Release of credit cover
Requirement to provide applicant credit cover
Effect of non-compliance
Duties to provide information
Disclosure of information under capacity market rules
Delivery body reviewable decisions
Requesting reconsideration by the Delivery Body
Appeals to the Authority
Determination of appeal by the Authority
Appeals to the court
Disputes
Determination of disputes
Authority's power to make capacity market rules
Objectives
Appointment of Settlement Body
Review by Secretary of State
Review of capacity market rules
Annual operational reports
Settlement Body's annual report
Restricted liability in damages
Documents
Transitory provisions: the first T-4 auction
Repeal
"Interconnector CMU"
Reduction of the duration of capacity agreements: Secretary of State’s discretion
Second DSR transitional auction
Termination fees: adjustment for DSR providers
Termination of capacity agreements: CCS CFDs
Transfer of a capacity agreement
Transitory provisions: the second T-4 auction
Transitory provisions: the T-3 auction
Transitory provisions: the third T-4 auction and supplementary auction
Official guidance
Authoritative sources published by regulators or government explaining this legislation.
- CfD Allocation Round 7 (opens in a new tab) Detailed Guidance
Enforcement and responsible bodies
The regulators that administer or enforce this legislation.
Ofgem
PrimaryOffice of Gas and Electricity Markets
Regulates gas and electricity markets in Great Britain. Issues licences for generation, transmission, distribution, and supply. Protects consumers and promotes competition. Also …
Department for Energy Security and Net Zero
Government department responsible for energy policy, net zero strategy, and climate change. Administers Contracts for Difference (CfD) scheme, sets renewable energy targets, …
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Regulators
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