Offtaker of Last Resort (OLR): Information for generators

If you’re a renewable generator with an Investment Contract or Contracts for Difference (CFD) contract and want to find out more about applying to the Offtaker of Last Resort (OLR) scheme, this section is for you.

Getting the basics

The OLR is a government scheme that aims to help eligible generators when they cannot obtain a power purchase agreement (PPA) through normal commercial avenues. It does this by facilitating a backstop power purchase agreement (BPPA) between the generator and a licensed supplier via a competitive auction – an OLR auction.

It’s part of the government’s wider programme on Electricity Market Reform.

The terms of the BPPA have been set by the government. Electricity generated under a BPPA will be sold at a specified discount below the market reference price and a BPPA can last no longer than 12 months.

The scheme’s designed so you can enter into a BPPA quickly, so statutory deadlines apply to all parties involved in the OLR process; generators, suppliers and Ofgem.

Before you apply

Before you apply to the OLR scheme you should ensure you have read our OLR: Essential Guide for Renewable Generators to familiarise yourself with the rules of the scheme.

To be eligible to enter into a BPPA you must:

  • meet the specified eligibility criteria, and

  • provide all the necessary Project Information to us in the timescales required.

You should also be aware that failure to act according to the Regulations during the OLR process may result in your generating station being added to the Record of Ineligible Generating Stations for OLR.

Details about eligibility for the OLR scheme and how to apply are provided in the Essential Guide.

Need help?

If you have questions about the OLR scheme and can't find the information you need on these pages, please contact us.

Publications and updates

  • Published: 1st Oct 2015
  • Guidance
  • 1 Associated documents
The standard terms of the contract that would be entered into between a supplier and an eligible generator under the Offtaker of Last Resort (OLR) scheme.

  • Published: 30th Sep 2015
  • Decisions
  • 1 Associated documents
See our response to consultation on the draft ‘Offtaker of Last Resort: Essential Guide for renewables generators’

  • Published: 30th Sep 2015
  • Guidance
  • 1 Associated documents
This form must be submitted as part of a generators Project Information submission to confirm they wish to proceed with their application to enter into a backstop power purchase agreement.

  • Published: 30th Sep 2015
  • Guidance
  • 1 Associated documents
This form is a required component of a generators Project Information submission for the Offtaker of Last Resort (OLR) scheme.

  • Published: 30th Sep 2015
  • Guidance
  • 1 Associated documents
This template should be used if you wish to withdraw from the Offtaker of Last Resort (OLR) process.

  • Published: 30th Sep 2015
  • Guidance
  • 1 Associated documents
This template should be used when you first want to apply to enter into a backstop power purchase agreement.

  • Published: 30th Sep 2015
  • Guidance
  • 1 Associated documents
This handbook is for generators who are applying to enter into a backstop power purchase agreement.

  • Published: 30th Sep 2015
  • Guidance
  • 1 Associated documents
This essential guide is for renewable generators with an Investment Contract of Contract for Difference who are interested in applying to the Offtaker of Last Resort scheme to enter into a backstop power purchase agreement.

  • Published: 30th Sep 2015
  • Guidance
  • 1 Associated documents
This helpsheet contains a step-by-step guide on how to submit your Project Information if you are applying to enter into a backstop power purchase agreement.

  • Published: 28th Aug 2015
  • Guidance
  • 0 Associated documents
List of mandatory licensed suppliers for the OLR year running from 1 April 2016 to 31 March 2017.

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