BEIS advances loan to support Interim Levy Rate for the current Quarterly Obligation PeriodPosted on:
EMRS, on behalf of Low Carbon Contracts Company (LCCC), would like to confirm to Suppliers the Interim Levy Rate (ILR) and Total Reserve Amount (TRA) for the current Quarterly Obligation Period remains unchanged from the rate previously published.
On 30 March 2020, LCCC issued a Stakeholder Bulletin to indicate that increases to the ILR for Q2 and Q3 could be necessary to ensure LCCC had sufficient funds to pay CFD Generators. Today, LCCC has issued a further Stakeholder Bulletin to confirm without additional revenue, it is highly likely LCCC will have insufficient funds in June. This is mainly due to the significant drop in demand resulting from actions to combat COVID-19.
BEIS and LCCC have agreed, BEIS will extend to LCCC a one-off interest-free loan, up to a designated amount, that LCCC will be able to use to cover any shortfall in funds to make payments to CFD Generators this Quarterly Obligation Period (Q2).