Citation and commencement

1. These Regulations may be cited as the Contracts for Difference (Definition of Eligible Generator) Regulations 2014 and come into force on the day after the day on which they are made.

Interpretation

2. —(1) The following definitions have general application—

“accredited CHP station” means a CHP station which is accredited under the CHPQA;

“anaerobic digestion” means the bacterial fermentation of organic material in the absence of free oxygen;

“biomass” means material which is, or is derived directly or indirectly from, algae, animal or plant matter, bacteria or fungi, including where such material is contained in waste; but does not mean fossil fuel or peat;

“biomass conversion station” means a generating station which—

“CHPQA” means the Combined Heat and Power Quality Assurance Standard, Issue 5, November 2013( 2 );

“CHP station” means a combined heat and power generating station;

“combined heat and power generating station” means a station which generates electricity and is (or may be) operated in order to supply to any premises—

“complete CCS system” means a system of plant and facilities for—

“dedicated biomass with CHP station” means a generating station which—

“energy from waste with CHP station” means a generating station which—

“fossil fuel” means—

“gasification” means the substoichiometric oxidation or steam reformation of a substance to produce a gaseous mixture and that mixture contains at least two of (a), (b) and (c) from the following list—

“generating station” means a station which generates electricity;

“hydro generating station” means—

“landfill” has the meaning given in Article 2(g) of Council on the Directive 1999/31/EClandfill of waste( 3 );

“landfill gas” means gas formed by the digestion of material in a landfill;

“photovoltaic array” means equipment which directly converts solar radiation into electricity;

“pyrolysis” means the thermal degradation of a substance in the absence of any oxidising agent (other than that which forms part of the substance itself) to produce—

“relevant fossil fuel generating station” means a generating station—

“sewage gas” means gas formed by the anaerobic digestion of sewage (including sewage which has been treated or processed);

“tidal movement” means the release of water impounded behind a barrier using the difference in tidal levels;

“tidal stream” means the motion of naturally occurring tidal currents in water;

“waste” has the meaning given in Article 3(1) of of the European Parliament and of the Council on Directive 2008/98/ECwaste( 4 ) but does not include landfill gas or sewage gas;

“wave” means the energy created from the motion of naturally occurring waves on water.

(2) The following definitions apply in relation to a hydro generating station—

“civil works” means all man-made structures and works for holding water which are located on the inlet side of a turbine (“turbine A”), excluding any such structures or works which are used in respect of the supply of water to another turbine before water is supplied to the structures and works which supply turbine A;

“compensation flow turbine” means a turbine driven by a compensation flow supplied by or from civil works in a natural water course where there is a statutory obligation to maintain that compensation flow in that water course, including any infrastructure associated with the turbine in the generation of electricity;

“driven by water” excludes ocean currents or water derived from naturally occurring subterranean heat.

(3) The following definitions apply in relation to a relevant fossil fuel generating station—

“combustion system” means a boiler, turbine or engine in which combustion occurs;

“commissioned” means the date of completion of those procedures and tests in accordance with applicable industry standards which demonstrate that the generating station is capable of commercial operation;

“energy content” means the energy contained within fuel or waste (measured by a calorimeter or determined in some other equivalent way) expressed as its gross calorific value within the meaning of “British Standard BS 7420:1991 (Guide for determination of calorific values of solid, liquid or gaseous fuels (including definitions)”, published by the British Standard Institute on 28th June 1991( 5 );

“generation of electricity in standby” means the generation of electricity by the station where—

“relevant ancillary purposes” means—

“ROC” means—

“ROC generation types” means those types of generating stations defined as “dedicated biomass”, “station conversion” or “unit conversion” under the relevant ROC.

Definition of eligible generator

3. —(1) This regulation defines “eligible generator” for the purposes of Chapter 2 of Part 2 of the Energy Act 2013.

(2) A person (“A”) who intends to carry out a generating activity in relation to an eligible generating station is an eligible generator in respect of the station.

(3) Where—

(a) a person (“B”) intends—

(i) to operate; or

(ii) to participate in the operation of,

an eligible generating station; and

(b) A is an eligible generator in respect of the eligible generating station,

B is also an eligible generator in respect of the eligible generating station.

(4) Where—

(a) A or B is an eligible generator in respect of an eligible generating station;

(b) A or B is a corporate body; and

(c) a corporate body (“C”) is associated with A or B,

C is also an eligible generator in respect of the eligible generating station.

(5) In this regulation—

“associated” has the same meaning as it has in section 67 of the Energy Act 2008( 8 ) and as if that section applied to Scotland;

“carry out a generating activity” means—

“eligible generating station” means a generating station of a type described in the Schedule.

Regulation 3(5)

SCHEDULE Eligible generating stations

1. An “eligible generating station” means a generating station of any of the following types—

(a) a biomass conversion station;

(b) a dedicated biomass with CHP station;

(c) an energy from waste with CHP station;

(d) a generating station connected to a complete CCS system;

(e) a hydro generating station;

(f) a nuclear power station; or

(g) a station which generates electricity by the use of any of the following sources of energy—

(i) gas, other than landfill gas or sewage gas, formed by the anaerobic digestion of material;

(ii) gas or liquid formed by gasification or pyrolysis of biomass or waste;

(iii) landfill gas;

(iv) naturally occurring subterranean heat;

(v) sewage gas;

(vi) solar radiation when captured by a photovoltaic array;

(vii) tidal movement where the station has a declared net capacity of less than 1 gigawatt;

(viii) tidal stream;

(ix) waves; or

(x) wind.

2. In paragraph 1(g)(vii), “declared net capacity” means the capacity of electricity generation of a generating station calculated by A-B, where—

“A” means the maximum capacity of electricity generation at which a generating station is able to be operated for a sustained period without damage being caused to it (assuming the source of energy used to generate electricity is available without interruption); and

“B” means the amount of electricity that is consumed by the station whilst operating at such maximum capacity.