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Detail of outcome
This is the government response to two consultations:
The Capacity Market Supplementary Design proposals and Transitional Arrangements, which was published in September and closed on 5 November 2014.
The Consultation on proposed amendments to the Capacity Market Rules 2014 and explanation of some immediate amendments to the Capacity Market Rules 2014, which was published in August and closed on 9 September 2014.
This consultation seeks views on proposed amendments to the Capacity Market Rules 2014 (“the Rules”) which are intended to clarify eligibility for fifteen-year capacity agreements. For the purposes of illustrating the policy proposals underpinning the amendments a draft of the proposed amendments will shortly be published in a separate document alongside this consultation.
Alongside this consultation, Government will shortly bring into force an amended set of Rules, ‘The Capacity Market (Amendment No.1) Rules 2014’ (“the Amended Rules”) containing a number of technical amendments which correct drafting errors in the Rules. These amendments are summarised in Chapter 3 of the consultation document.
As set out in the consultation on ‘proposed amendments to the Capacity Market Rules 2014 and explanation of some immediate amendments to the Capacity Market Rules 2014’ and to inform consideration of this consultation, DECC has published two draft amendments to the Rules. These reflect DECC’s preferred position to clarify in the Rules the circumstances in which an applicant can apply for a fifteen-year capacity agreement.
The draft amendments published reflect both option 1 and option 2 in the consultation document. The intention is for one of these amendments, or a variation of it which is developed in line with consultation responses, to be implemented in time for the second capacity auction in 2015.
The consultation closes on 9th September.
Your response will be most useful if it is framed in direct response to the questions posed, though further comments and evidence are also welcome. Responses should be sent to firstname.lastname@example.org.