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As part of our commitment to continually improve our service and to help our clients meet their legal obligations, we continue to update the Legal Registers on our website and provide free quarterly legal compliance updates to anyone who subscribes. The purpose of these updates is to ensure you stay up to date with any changes in your legal compliance obligations, our updates can also be kept and can be used as evidence that your business is staying up to date with any changes in the legislation, this can be very helpful at audit time.
The Renewables Obligation (Scotland) Order 2009 is a legislation implemented in Scotland with the aim of promoting renewable energy generation and reducing greenhouse gas emissions. It establishes a framework for supporting renewable electricity projects and incentivizing their development. The order is part of a broader UK-wide Renewables Obligation scheme but applies specifically to Scotland.
The purpose of the order is to encourage the generation of electricity from renewable sources by placing an obligation on electricity suppliers to source a certain percentage of their electricity from renewable sources. This obligation is known as the "Renewables Obligation" and is administered by the Office of Gas and Electricity Markets (Ofgem) in Scotland.
Under the Renewables Obligation (Scotland) Order 2009, electricity suppliers in Scotland are required to present evidence, known as Renewable Obligation Certificates (ROCs), to demonstrate compliance with the obligation. Suppliers are obligated to acquire a specific number of ROCs proportionate to their electricity sales. The ROCs are issued to eligible renewable electricity generators for each megawatt-hour of electricity they generate from eligible renewable sources.
The order applies to electricity suppliers, including licensed electricity suppliers, and certain other entities engaged in the supply of electricity to customers in Scotland. It also applies to renewable electricity generators, who can receive ROCs for the electricity they generate from eligible renewable sources.
The Renewables Obligation (Scotland) Order 2009 plays a vital role in driving the growth and deployment of renewable energy technologies in Scotland. It supports the transition to a low-carbon economy by increasing the share of renewable electricity in the overall energy mix and reducing dependence on fossil fuel-based electricity generation. The order contributes to Scotland's renewable energy targets and its commitment to combatting climate change.
The Renewables Obligation (Scotland) Order 2009 establishes evidence requirements to demonstrate compliance with the renewable energy generation obligations outlined in the legislation. The evidence requirements include the following:
1. Renewable Obligation Certificates (ROCs): Electricity suppliers are required to acquire and submit ROCs as evidence of meeting their obligations. ROCs are issued to renewable electricity generators for each megawatt-hour of eligible renewable electricity they generate. Suppliers must obtain a specific number of ROCs in proportion to their electricity sales.
2. Metering and Monitoring Data: Electricity suppliers need to provide metering and monitoring data to support their claim for ROCs. This data helps to verify the quantity of eligible renewable electricity generated and supplied. It includes accurate measurements of electricity output, generation profiles, and other relevant data required for the calculation of ROCs.
3. Accreditation and Registration: Renewable electricity generators must undergo an accreditation process to become eligible for ROCs. They need to provide evidence of meeting specific criteria and technical requirements for their renewable energy installations. Accreditation and registration details, such as the technology used, capacity, and location of the installations, need to be provided.
4. Auditing and Verification: Suppliers and renewable electricity generators may be subject to auditing and verification processes to ensure compliance with the order. This may involve independent audits or inspections conducted by approved assessors or Ofgem to verify the accuracy of data, metering systems, and compliance with relevant regulations.
5. Compliance Reporting: Suppliers are required to submit regular compliance reports to Ofgem, providing details of their renewable energy generation, ROC acquisitions, and any relevant supporting information or documentation. These reports help demonstrate ongoing compliance with the obligations set out in the Renewables Obligation (Scotland) Order 2009.
It is important to note that the specific evidence requirements may vary depending on the circumstances and the type of renewable energy generation involved. The order provides detailed guidelines and procedures for evidence submission and compliance reporting, which should be followed to ensure accurate and transparent reporting of renewable energy generation and ROC acquisitions.
Renewable electricity generators and electricity suppliers should consult the full text of the Renewables Obligation (Scotland) Order 2009 and refer to Ofgem's guidance documents for comprehensive information on the evidence requirements and compliance procedures.
The Renewables Obligation (Scotland) Order 2009 includes certain exemptions where the obligations under the legislation may not apply. These exemptions are intended to accommodate specific circumstances and ensure a fair and practical implementation of the scheme. Some exemptions to the Renewables Obligation (Scotland) Order 2009 include:
1. De Minimis Exemption: Small-scale electricity suppliers and generators may be eligible for a de minimis exemption. This exemption applies to those whose total supply or generation falls below a certain threshold, as defined in the legislation. It provides relief from the obligation to acquire and submit Renewable Obligation Certificates (ROCs).
2. Energy Intensive Industries: Energy-intensive industries that qualify for the compensation scheme may be exempted from the full obligations of the order. These industries, which are typically highly dependent on energy consumption, may be eligible for reduced obligations or exemptions to avoid an undue burden on their competitiveness.
3. Non-Combustion Technologies: Certain non-combustion renewable energy technologies, such as tidal and wave energy, may be eligible for exemptions or modified obligations due to their unique characteristics or development stage. The order provides specific provisions to address the challenges and uncertainties associated with these technologies.
4. Legacy and Closed Generation Stations: Generation stations that were accredited under previous renewables obligation schemes and closed before the introduction of the Renewables Obligation (Scotland) Order 2009 may be exempted from ongoing obligations. This exemption recognizes that such stations are no longer in operation and therefore not contributing to the current scheme.
It is important to note that exemptions under the Renewables Obligation (Scotland) Order 2009 are subject to specific conditions and eligibility criteria. The order provides detailed provisions and guidelines for each exemption category. It is advisable to consult the full text of the legislation and seek guidance from the relevant authorities or regulatory bodies, such as Ofgem, to fully understand the exemptions and their application in specific situations.
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Including our quarterly legal compliance updates that are a great resource for evidence for your ISO audits.