Delta Gas and Power: Final Order

Orders
  • Open - Decision Proposed - Confirm Final Order
  • Decision Proposed – Revoke Final Order
  • Final Order issued
  • Notice to rectify
  • Notice to revoke licence
  • Closed
Publication date
Industry sector
Supply and Retail Market

Proposal to make Final Order

On 28 September 2022, the Authority issued a Notice of Proposal to make a Final Order on Delta Gas and Power Ltd. (“Delta”) in accordance with section 26(1) of the Electricity Act 1989.

The behaviour of concern giving rise to the proposal is that Delta failed to meet its Renewables Obligations (RO), by failing to produce Renewables Obligations Certificates to the Authority by 1 September 2022 or to make payments as an alternative before 1 September 2022, sufficient to discharge its RO.

On 7 September 2022 the Authority requested for Delta to provide sufficient assurances that it would be in a position to make the necessary payment, including applicable daily interest, by no later than the late payment deadline of 31 October 2022; whilst Delta provided information in response to this, these assurances were insufficient.

Representations or objections concerning the proposed Final Order were invited to be made to the Authority by 5pm on 19 October 2022. The Authority received representations from Delta and a third party which were considered. Additionally, during the consultation period, Delta made full payment of their RO (Scotland), however the remaining RO is still outstanding.

Making of Final Order

Therefore, on 25 October 2022, the Enforcement Decision Panel (“EDP”), decided to make a Final Order.

The Final Order required Delta to make payment to the Authority in full settlement of its RO for the obligation period of 1 April 2021 to 31 March 2022, the sum of £530,809.20, plus accrued interest, by no later than 31 October 2022.

Proposal to revoke Final Order

On 25 November 2022, Delta paid its remaining RO balance for the 2021/22 year. The Authority is satisfied that the Final Order is no longer requisite for the purposes of securing Delta’s compliance with its 2021/22 RO because Delta has paid its outstanding RO obligation in full, albeit late.

On 22 December 2022 the Authority published a Notice of Proposal to revoke the final order issued to Delta Gas and Power Limited (“Delta”). The Authority was satisfied that the Final Order should be revoked because Delta had paid its RO payment in full for the year 2021/2022, albeit late.

The Authority gave this notice in accordance with section 26(6) of the Electricity Act 1989. Any representations or objections with respect to the proposed revocation were invited to be made to the Authority by 5pm on 19 January 2023. No representations or objections were received in response to the proposal to revoke the Final Order.

Revocation of Final Order

On 3 February 2023, the Authority issued a revocation order under section 25(7)(c) of the Electricity Act 1989. The Authority decided that the Final Order was no longer required for the purpose of ensuring Delta’s compliance with the RO as Delta had paid its RO payment in full for the year 2021/2022, albeit late. The Final Order is no longer in place.