Policy Consultation: Strengthening Financial Resilience
- Closed (awaiting decision)
- Closed (with decision)
- Electricity Supply Licence
- Gas Supplier Licence
We are consulting on changes to improve retail supplier financial resilience and ensure that risks are not inappropriately passed on to consumers. In this consultation, we are proposing measures to protect customer credit balances and money collected to meet Renewables Obligation payments. Building on our existing programme of work to improve supplier resilience, we are also consulting on our proposal to introduce specific capital adequacy requirements for suppliers. In addition, we are seeking views on initial proposals aimed at reducing the costs associated with hedging when a supplier fails.
We also commissioned NERA to produce a report detailing and quantifying the potential impacts of our proposed interventions on credit balances and Renewables Obligations. This analysis is published as a separate document alongside this consultation.