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Draft Renewables Obligation (Amendment No. 2) Order (Northern Ireland) 2013

Due to a drafting error in the Renewables Obligation (Amendment) Order (Northern Ireland) 2013 which came into operation on 1 May 2013 it is DETI’s intention to lay the draft Renewables Obligation (Amendment No. 2) Order (Northern Ireland) 2013 in early June. This is to ensure that DETI’s agreed policy position on the proposed six month extension of support for biomass combined heat and power stations which is due to come into effect in 2015/16, is set out clearly in law.

The Article subject to amendment is Article 26 (Electricity generated by qualifying combined heat and power generating stations) of the Renewables Obligation Order (NI) 2009 as amended by Article 14 in the 2013 Order. In the Draft Renewables Obligation (Amendment No. 2) Order (Northern Ireland) 2013, Article 26 has been amended to reflect the period to end September 2015/16 (summer) and the subsequent six month period to end March 2016 (winter) to distinguish between the levels of support. The tables at PART 2C and PART 2D of Schedule 2 have been amended to reflect the proposed new ROC levels so that an eligible biomass CHP station which accredits during the ‘summer’ period will receive 2 ROCs as per the policy intent (changes highlighted).

Draft Renewables Obligation (Amendment No. 2) Order (Northern Ireland) 2013

Renewables Obligation (Amendment) Order (Northern Ireland) 2013

The Renewables Obligation (Amendment) Order (Northern Ireland) 2013 was approved in the Northern Ireland Assembly on 22 April 2013. The Order will come into operation on 1 May 2013.

The Order can be viewed by clicking on the link below

Renewables Obligation (Amendment) Order (Northern Ireland) 2013

Supplementary consultation on solar PV support, biomass affordability and retaining the minimum calorific value in the NIRO - Consultation Response

The Departments response to the supplementary consultation on proposed changes to the NIRO on solar PV support, biomass affordability and retaining minimum calorific value from 1 April 2013 was published on 24 January 2013

Government Response

Consultation

Consultation Responses

Final Regulatory Impact Assessment

RETAINING A MINIMUM GROSS CALORIFIC VALUE REQUIREMENT IN THE RENEWABLES OBLIGATION

The Department for Energy and Climate Change (DECC) is seeking views on the retention of a minimum gross calorific value requirement in the Renewables Obligation for gaseous fuel produced by means of gasification or pyrolysis.

A letter from DECC Minister, John Hayes can be viewed on the DECC website using the following link: Retention of Minimum Gross Calorific Value Requirement. A copy of the letter can also be viewed below:

Letter from John Hayes

The Department of Enterprise, Trade and Investment does not intend to issue a separate request but would invite any NI related responses to be forwarded to NIRO2012@detini.gov.uk by 30 November 2012.

If you wish to make comments directly to DECC please forward responses to robr@decc.gsi.gov.uk by 30 November 2012.

(If you do intend to comment directly to DECC, please copy DETI into your response)

Proposed changes to the Northern Ireland Renewables Obligation (NIRO) – Supplementary Consultation on Large Scale Solar PV and Biomass Sustainability

The Department of Enterprise, Trade and Investment has launched a statutory consultation on further proposed changes to the Northern Ireland Renewables Obligation (NIRO). This is supplementary to the recent consultation and subsequent government response published in August 2012 on changes to NIRO in 2013. This consultation relates to proposed changes to banding levels for large scale solar PV, biomass sustainability and value for money and grace periods for CHP projects. The proposals to amend ROC banding levels will come into operation on 1 April 2013.

Responses to the large-scale solar PV consultation, Part B of the biomass consultation and proposed grace period for CHP projects should be submitted by 4 December 2012.

Responses to Part A of the biomass consultation should be submitted by 15 January 2013.

The consultation document can be obtained by clicking on the link below:

Statutory Consultation on amendments to the Northern Ireland Renewables Obligation in 2013

This consultation is closely linked to the consultations on changes to the Renewables Obligation being undertaken by the Department of Energy and Climate Change. The RO consultation documents can be accessed at:

Consultation on proposals for the levels of banded support for solar PV under the Renewables Obligation for the period 1 April 2013 to 31 March 2017

Consultation on proposals to ensure sustainability and affordability for the use of biomass under the Renewables Obligation (RO) - Department of Energy and Climate Change

NIRO Banding Review - Consultation Response

The Department's response to the consultation on the Renewables Obligation Banding Levels from 1 April 2013 was published on 2 August 2012.

Subject to Assembly and EU State Aid approval, the regulations setting the new bands in law will take effect on 1 April 2013

Government Response to the consultation on proposed changes to the Northern Ireland Renewables Obligation in 2013

Proposed Changes to the Northern Ireland Renewables Obligation (Consultation Document)

DECC Consultation on the Renewables Obligation Banding Review

THE NORTHERN IRELAND RENEWABLES OBLIGATION

The Northern Ireland Renewables Obligation (NIRO) is the main support mechanism for encouraging increased renewable electricity generation in Northern Ireland.  It operates in tandem with the Renewables Obligations in Great Britain - the 'ROS' in Scotland and the 'RO' in England & Wales - in a UK-wide market for Renewables Obligation Certificates (ROCs) issued to generators under the Obligations.

The NIRO, like the Obligations in Great Britain, obliges electricity suppliers to produce a certain number of these ROCs for each Megawatt-hour (MWh) of electricity which they supply to their customers in Northern Ireland or to pay a Buy-Out fee that is proportionate to any shortfall in the number of ROCs being so presented.

NIRO – An outline of its operation

The Renewables Obligation places a legal requirement on all Northern Ireland licensed electricity suppliers, from 1 April2005, to provide Ofgem (on behalf of the Northern Ireland Authority for Utility Regulation (NIAUR)) with evidence that a specified quantity of the electricity supplied to final consumers can be accounted for by generation from renewable sources.

You can find out more about how the ROCs mechanism works at the following link:

NIRO - how it works

NIRO Banding Table

Following recent consultation on changes to the NIRO, the following table sets out current ROC banding levels and those confirmed from 1 May 2013.

Existing and confirmed ROC/MWh levels from 1 May 2013

NIRO legislation

The NIRO was introduced on 1 April 2005 and has been the subject of several amendments, the most significant of which was the introduction of ROC banding levels for different technologies in 2009.  The current legislation governing the NIRO is the Renewables Obligation Order (Northern Ireland) 2011.

The Renewables Obligation Order (Northern Ireland) 2009

The Renewables Obligation (Amendment) Order (Northern Ireland) 2010

The Renewables Obligation (Amendment) Order (Northern Ireland) 2011

Information for Suppliers

Renewables Obligation - Confirmation of Obligation Level for Northern Ireland Suppliers for 2013/14

The Northern Ireland Renewables Obligation, known as the NIRO, is DETI’s main means of increasing renewable electricity generation in Northern Ireland. The NIRO works in tandem with Renewables Obligations covering the rest of the UK. It obliges electricity suppliers to produce a certain number of certificates - known as ROCs - as a proportion of the amount of electricity which they supply to their customers in Northern Ireland.

Alternatively, instead of producing these certificates, suppliers may choose to make a payment to Ofgem (the body which administers the NIRO on behalf of DETI).

Article 12(4) of the Renewables Obligation Order (Northern Ireland) 2009 requires the Department to publish the level of a forthcoming Obligation period six months in advance of its commencing. As each new Obligation period runs from 1st April, this means that the announcement in question must be made by the preceding 1st October.

The calculation process set out in articles 5 to 12 of the RO Order has now been completed. In accordance with Article 12(4), the Department can today confirm that the Obligation level for supplies to customers in Northern Ireland for the period running from 1st April 2013 to 31st March 2014 will be 0.097 ROCs per MWh (megawatt hour). The Obligation level for England, Wales and Scotland has been set at 0.206 ROCs/MWh for the same period.

Full details of how the Obligation level is calculated are available on the DECC Website

Obligation Level for 2012/13

The obligation level for suppliers to customers in Northern Ireland for the period running from 1 April 2012 to 31 March 2013 is 0.081 ROCs per MWh (megawatt hour).

Further information

For further information on the Northern Ireland Renewables Obligation contact:

Michael Harris, Renewable Electricity; DETI

Tel: (028) 9052 9269;

E-Mail: michael.harris@detini.gov.uk

Information on the accreditation process for receiving ROCs can be found on the Ofgem website where you will also find information on the historical performance of ROCs.