Citation, commencement and extent

1.—(1) These Regulations may be cited as the Electricity Capacity (Amendment) Regulations 2025.

(2) These Regulations come into force on the day after the day on which they are made.

(3) These Regulations extend to England and Wales and Scotland.

Amendment of the Electricity Capacity Regulations 2014

2.The Electricity Capacity Regulations 2014(2) are amended in accordance with regulations 3 to 10.

Amendment to regulation 2 (interpretation)

3. In regulation 2(1)—

(a)in the definition of “a CFD”, after “the Act”, insert “or an investment contract under Schedule 2 to the Act”;

(b)after the definition of “interconnector CMU”, insert—

““low emissions determination” has the meaning given in the Rules;”.

Amendment to regulation 11 (meaning of auction parameters)

4. In regulation 11—

(a)in paragraph (1)(e), after “15 year minimum £/kW threshold” insert “, 9 year minimum £/kW threshold”;

(b)in paragraph (3)—

(i)for “In paragraph (1)”, substitute “In this regulation”;

(ii)for the definitions of “15 year minimum £/kW threshold” and “3 year minimum £/kW threshold” substitute—

““3 year minimum £/kW threshold” means the minimum amount of capital expenditure per kilowatt of de-rated capacity which a bidder must commit to spending on a generating CMU or an unproven demand side response CMU that is not a three year zero capex threshold CMU to be eligible to bid for a capacity obligation for a period of 2 or 3 delivery years;

“9 year minimum £/kW threshold” means the minimum amount of capital expenditure per kilowatt of de-rated capacity which a bidder must commit to spending on a declared low carbon CMU that is a new build CMU, a refurbishing CMU or an unproven demand side response CMU to be eligible to bid for a capacity obligation for a period of more than 3 and up to 9 delivery years;

“15 year minimum £/kW threshold” means the minimum amount of capital expenditure per kilowatt of de-rated capacity which a bidder must commit to spending—

(iii) after the definition of “auction target capacity”, insert—

“; and

“declared low carbon CMU”, “new build CMU”, “refurbishing CMU”, and “three year zero capex threshold CMU” have the meaning given in the Rules.”.

Amendment to regulation 16 (excluded capacity, low carbon support scheme CMUs)

5. For regulation 16(2), substitute—

“(2)The Delivery Body must not prequalify CMU i if—

(a)the CFD counterparty has made an offer of a CFD in respect of the generating station that comprises or includes CMU i—

(i)under section 10(1) of the Energy Act 2013 (direction to offer to contract), and the CFD counterparty and an eligible generator have entered into that CFD; or

(ii)under regulation 10(1) of the Contracts for Difference (Standard Terms) Regulations 2014 (offer to contract) and an eligible generator has entered into that CFD; and

(b)that CFD has not expired or been terminated.

(2A)For the purposes of paragraph (2), a reference to an eligible generator entering into a CFD has the meaning given in regulation 10(3) of the Contracts for Difference (Standard Terms) Regulations 2014 (offer to contract)(3).”.

Amendment to regulation 30 (capacity agreements)

6. In regulation 30(6), for “a capacity agreement”, substitute “once a capacity agreement takes effect in accordance with the Rules, it”.

Amendment to regulation 39 (determination of adjusted load-following capacity obligation, net output and adjusted net output)

7. In regulation 39(4), for “20”, substitute “34”.

Amendment to regulation 50 (reducing capacity payments: failure to demonstrate satisfactory performance)

8. In regulation 50(6)—

(a)before the definition of relevant month, insert—

““extended performance” has the meaning given in the Rules;”;

(b)in the definition of “satisfactory performance requirement”, after “demonstrate satisfactory performance days”, insert “or extend performance during a satisfactory performance day”.

Amendment to regulation 68 (delivery body reviewable decisions)

9. In the table in regulation 68(2), insert a row at the end, as follows—

Amendment to regulation 70 (appeals to the Authority)

10. In regulation 70(4)(c), at the end, omit “and” and insert—

“(ca)in the case of an appeal relating to a low emissions determination, a copy of—

(i)the notice setting out the determination; and

(ii)any notice that the Rules required to be given before the low emissions determination was made; and”.