| Licence
Condition: |
Needed only if
supplying electricity to final customers |
FURTHER INFORMATION:
Electricity Supply Licence
The developer of a CHP plant is only
required to hold an Electricity Supply Licence if it is
proposed that electricity be supplied to final customers
other than itself or its subsidiaries. If all electricity
is used on site by the Licensee or one of its subsidiaries,
or if excess electricity is sold to a licenced electricity
supplier (including under an AER Contract), there is no
need to hold such a licence. However, if excess electricity
is being sold to final customers, one of two licences
will be required:
- if the plant satisfies the definition of CHP in the
1999
Electricity Act, (CHP, as defined in section 2(1)
of the 1999 Act, must have and overall process operating
efficiency of greater than 70%) a licence to supply
all final customers with electricity produced using
CHP may be obtained (Application
Here) This will permit the supplier to supply electricity
to final customers which in aggregate does not exceed
the amount of electricity which is produced using CHP
or electricity purchased, in place of such electricity,
in accordance with the trading arrangements provided
by the CER; or
- if the plant does not satisfy the definition of CHP
in the 1999
Electricity Act, a licence to supply "eligible"
customers may be obtained ("eligible" customers are
those who consume more than 1GWh per annum at a single
premises). Issued by the CER pursuant
to section 14(1)(b) of the 1999 Act.
The critical difference between these
licences is that if the plant satisfies the definition
of CHP in the 1999 Act, the supplier may sell to all customers.
If the plant does not satisfy the definition of CHP, the
supplier may only sell to "eligible" customers.
A Supply Licence is obtained by application
to the CER. Any person who supplies electricity without
a Licence may be liable for fines up to €1,904 or a term
of imprisonment not exceeding 12 months. A decision to
refuse to grant a Licence may be appealed. Section
4 of the European
Communities (Internal Market in Electricity) Regulations
2000 (S.I 445 of 2000).
Applicants for a Supply Licence must
submit two copies of the following documents with their
application and pay the fee set out below:
- Financial History and Business Plan Proposal:
the same information required in connection with an
application for an Authorisation.
- IT System: Details of systems employed for
billing and customer care management.
- Employees: Estimate of the number of people
to be employed in relation to this operation and their
address of employment.
- Application Fee: The fee for a Supply Licence
application is €254.
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