The Renewables Obligation buy-out fund 2014-15

Data, Correspondence and other

Publication date

Scheme name

RO

We have recently redistributed the Renewables Obligation (RO) buy-out fund for 2014/15. As we confirmed  in August, the total obligation for electricity suppliers in the UK was 71,922,000 ROCs. Suppliers were able to comply with their obligations through presenting ROCs, making buy-out payments at £43.30 per ROC, or through a combination of both. The deadlines for submission were 1 September 2015 to present ROCs and 31 August 2015 to make buy-out payments. Details of the obligations and total payments for each RO scheme are shown in the table below.

Table 1

Obligation

Total Obligation
(ROCs)

ROCs presented
by suppliers

Percentage of obligation
met by ROCs

Buy-out payments
made by suppliers

Buy-out
redistributed

England & Wales (RO)

64,502,089

63,991,929

99.2%

£17,772,168.40

£15,020,418

Scotland (ROS)

6,579,671

6,527,541

99.2%

£1,914,379.60

£1,619,421

Northern Ireland (NIRO)

840,240

757,055

90.1%

£515,010.20

£435,261

Total

71,922,000

71,276,525

99.1%

£20,201,558.20

£17,075,100

Suppliers that presented ROCs towards their obligations received buy-out fund recycle payments on 16 October 2015, as shown in the far-right column in Table 1. We reached these values by withdrawing our and UREGNI's administration costs, factoring in interest and rounding the redistribution amounts to the nearest whole pound. Suppliers received approximately £0.24 for each ROC they presented. The proportion of the total ROCs each supplier presented, and therefore the share of buy-out payments they received, is shown in Table 2 (rounded to 2 decimal places).

Table 2

 

Addito Supply Limited*

<0.01%

Axis Telecom Limited

0.01%

AXPO UK Limited

0.20%

BES Commercial Electricity Limited

0.13%

British Gas Trading Limited

13.45%

Budget Energy Limited

0.03%

Corona Energy Retail 5 Limited

0.01%

Dong Energy Power Sales UK Limited

0.24%

Dual Energy Direct Limited

0.10%

E.ON Energy Limited

8.17%

E.ON UK Plc

7.09%

Economy Energy Trading Limited

0.05%

The Renewable Energy Company Limited

0.15%

British Energy Direct Limited

0.63%

EDF Energy Customers Plc

16.72%

Eneco energy Trade BV

0.04%

ESB Independent Energy NI Limited

0.15%

Extra Energy Supply Limited

0.17%

F & S Energy Limited*

<0.01%

First Utility Limited

0.85%

Gazprom Marketing & Trading Retail Limited

0.53%

GDF Suez Marketing Limited

3.24%

I Supply Energy Limited

0.07%

Good Energy Limited

0.08%

Green Energy (UK) plc

0.03%

Haven Power Limited

4.22%

Hudson Energy Supply UK Limited

0.35%

LoCO2 Energy Limited

0.02%

MA Energy Limited

0.01%

Farmoor Energy Limited

0.07%

Opus Energy (Corporate) Limited

0.65%

Opus Energy Limited

0.58%

OVO Electricity Limited

0.61%

Power4All Limited

0.43%

Power NI

0.44%

Coulomb Energy Supply Limited

0.03%

Electricity Plus Supply Limited

0.71%

Npower Direct Limited

0.85%

Npower Limited

11.17%

Npower Northern Supply Limited

2.51%

Npower Yorkshire Supply Limited

0.36%

Scottish Power Energy Retail Limited

6.92%

SmartestEnergy Limited

1.96%

Spark Energy Supply Limited

0.04%

SSE Energy Supply Limited

13.64%

SSE Airtricity Energy Supply Limited

0.29%

Co-Operative Energy Limited

0.13%

Total Gas & Power Limited

1.75%

Tradelink Solutions Limited*

<0.01%

Viridian Energy Supply Limited

0.14%

*Presented under 0.01% of the total ROCs

There was a shortfall of £7,747,509.30 in the England & Wales, Scotland and Northern Ireland buy-out funds combined. This was due to seven suppliers not meeting their total obligations by the above deadlines and therefore owing late payments. The deadline for suppliers to make late payments is 31 October 2015 and we will redistribute them before 1 January 2016. This will include interest paid by the suppliers at an annualised rate of 5.5% (5% + Bank of England base rate) as well as interest earned on the funds while in our accounts. When we redistribute the late payments we will also confirm the final recycle value, which will include an extra amount on top of the £0.24.