On 7 February 2023, LCCC issued a Stakeholder Bulletin to confirm the increase of the Interim Levy Rate to £8.120/MWh from £0.000/MWh. This will be effective from the 9 March 2023 for the remainder of the Quarterly Obligation Period. Notices will be issued to Suppliers to confirm the above change.
LCCC have detailed further information on making this adjustment and this is available in the Stakeholder Bulletin.
To support Suppliers with Credit Cover this news item includes:
- What are my requirements against Credit Cover?
- How is my Credit Cover requirement calculated?
- What is the process for lodging Credit Cover?
- Where you can locate supporting information?
The two key documents to help Suppliers are G5 – Supplier CfD Credit Cover and WP42 – Supplier CfD Credit Cover. Also, the Credit Cover process is details on the Stakeholder Support for CfD Suppliers webpage.
What are my requirements against Credit Cover?
From 9 March 2023, Suppliers will be required to maintain Credit Cover using the Interim Levy Rate of £8.120/MWh.
How is my Credit Cover requirement calculated?
The minimum Credit Cover requirement is calculated using a Supplier’s metered volumes for a 21 day reference period multiplied by the Interim Levy Rate.
G5 – Supplier CfD Credit Cover provides information on how to calculate your Credit Cover, the daily Credit Cover Report and what happens if a Supplier doesn’t lodge sufficient Credit Cover.
What is the process for lodging Credit Cover?
WP42 – Supplier CfD Credit Cover provides details on the process for lodging Credit Cover including the Letter of Credit templates (from p20) and the approved bank account details for cash Credit Cover (p6).
In order for Credit Cover to be considered;
- Cash amount must have been received in the relevant bank account;
- Valid Letter of Credit received electronically; and
- Received by 5pm on 8 March 2023.
PLEASE NOTE: The bank account details and Letter of Credit templates are different to those used for CM Credit Cover.
Where can you locate supporting information?
For further details on LCCC’s calculations, please refer to the CfD Levy Dashboards and the recording from our latest quarterly webinar on the Q2 2023 Interim Levy Rate and Total Reserve Amount.
Where can I locate information on when invoices are generated?
EMRS Settlement Calendar will provide the dates for when invoices will be generated and when payments are due. Key Payment Figures will provide details of the Interim Levy Rate and the Total Reserve Amount for each Quarterly Obligation Periods. These are both available on the Settlement Data webpage on the website.
Who do I contact if I have a query?
|EMRS||Reserve Payment, Total Reserve Amount & Interim Levy Rate Notice, Quarterly Supplier Reconciliation Invoice, and Credit Cover||020 7380 4333||[email protected]|
|LCCC||Calculation of the Total Reserve Amount and Interim Levy Rate||020 7211 8881||[email protected]|
|LCCC||General queries about LCCC or management of the CfD scheme||020 7211 8881||[email protected]|