On 25 September 2020, Low Carbon Contracts Company (LCCC) announced it has determined the Total Reserve Amount (TRA) and the Interim Levy Rate (ILR) for Quarterly Obligation Period 1 January 2021 to 31 March 2021 are as follows:
- Total Reserve Amount is £127,252,857.68
- Interim Levy Rate is £8.283/MWh
LCCC communicated this information via the Stakeholder Bulletin, which also confirms the Forecasting team will be hosting a webinar at 10-11am on 28 October 2020. EMRS has also sent Suppliers a notice to inform them.
What are the key dates I need to be aware of?
The table below shows the key dates for the 1 January 2021 to 31 March 2021 Quarterly Obligation Period:
|9 October 2020||Suppliers Reserve Payment Notice issued|
|31 December 2020||Suppliers to ensure their Credit Cover lodged is sufficient for ILR of £8.283/MWh from 1 January 2021 to 31 March 2021|
|1 January 2021||ILR of £8.283/MWh applies from 1 January 2021|
|12 January 2021||Suppliers to be invoiced for the first Interim Rate payment based on £8.283/MWh from 1 January 2021 to 31 March 2021|
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 ILR and the TRA for the Quarterly Obligation Periods. These are both available on the Settlement Data webpage on the EMRS website.
What are my requirements against Interim Rate payments and Credit Cover?
Suppliers must make Interim Rate payments and provide Credit Cover if they supply electricity within the Quarterly Obligation Period.
Suppliers are required to maintain their Credit Cover requirement using the ILR applicable for the Quarterly Obligation Period. If Suppliers need to lodge additional Credit Cover the process is detailed in WP42 – Supplier CFD Credit Cover and G5 – Supplier CFD Credit Cover.
Where can I locate information on how my Reserve Payment is calculated?
G3 – CFD Reserve Payment provides information on how the Reserve Payments are calculated.