ECO3 Notifying a supplier of a decision to refuse or revoke approval of a measure

Guidance

Publication date

Industry sector

Supply and Retail Market

Scheme name

ECO

After a supplier notifies a measure to Ofgem we must decide whether we can attribute savings to the measure. We may decide that we can and in this case we say we have ‘approved’ the measure. We may decide that we cannot and in this case we say we have ‘refused to approve’ the measure.

Sometimes we need to revoke an earlier decision to approve a measure – and in this case we say we have ‘revoked our approval’ of the measure. There are two main stages to us deciding to refuse or revoke approval of a measure. These are explained in more detail below.

‘Minded to’ notice

Where we intend to refuse or revoke approval of a measure we notify the supplier in writing of our intention. This is done using a notice which details our ‘minded to’ decision to refuse or revoke approval of a measure. We refer to this as our ‘Minded to’ notice. A supplier has a defined period, normally two weeks, to make ‘representations’ to this minded to notice. A representation will often include further evidence submitted by the supplier for our consideration. We refer to this evidence as a representation against our intended decision to refuse or revoke approval of a measure.

The ‘minded to’ notice will include the following information for each measure:

  • measure reference number
  • reason for rejection.

We will assess any representations made about a measure to determine whether they address the causes of non-compliance. In some cases, we may determine that a measure is compliant but only if certain changes are made to the notified information for the measure. In these cases, we say that our acceptance of the representations is conditional on these changes being made. We may decide that the representation made is insufficient to demonstrate compliance or we may not receive any representations. In these cases we will proceed to either refuse or revoke approval of the relevant measures.

Savings decision notice

Once we have made our decision we will notify the supplier in writing of that decision. We refer to this as our ‘Savings decision notice’. We will explain if we have accepted the representation for a measure, and also if we have decided to refuse or revoke approval of a measure. Where a representation was made but we still determined the measure to be non-compliant, we will explain why we came to that decision.

This notice will include the following information for each measure:

  • supplier licence
  • measure reference number
  • measure type
  • date of installation
  • reason for rejection
  • assessment of representations (if representations were made for a measure but not accepted by Ofgem, we will include our assessment of the representation).

Documents updated March 2020

The ECO (Amendment) Order 2019 came into force on 1 January 2020 and we have updated our documents to reflect this.