Suspension of the Capacity Market

On the 6 December 2018, the Energy Minister Claire Perry MP published a Ministerial Statement updating Parliament on the process that the Government will follow as it seeks to reinstate the Capacity Market following the European Court of Justice decision on the 15 November 2018. Links to the following items are below:

 

15 November 2018

Earlier today EMRS issued EMR Circular 169, on behalf of Electricity Settlements Company (ESC), to inform Suppliers that today the General Court of the Court of Justice of the European Union found in favour of Tempus Energy, against the European Commission, annulling the Commission’s State aid approval for the UK Capacity Market. The judgment has the effect of suspending State aid approval for the Capacity Market.

BEIS have released a statement on their website about the judgment and what it means, which you can find here on the Electricity Market Reform: Capacity Market webpage.

During the suspension no payments will be made to Capacity Providers. The Capacity Market Supplier Charge will not be collected from Suppliers during the standstill period. For further details please refer:

EMRS is working with ESC to continue to provide further updates as the situation becomes clearer.