(a) may exclude amounts of a specified description from being
used as mentioned in subsection (6);

(b) may prevent the administrator using amounts to make
payments in respect of costs of a specified description.

(9) 5The purchasing body of GB certificates must, if directed to do so by the
Secretary of State, pay into the Consolidated Fund any amounts
received under subsection (2) that it would (but for the direction) be
able to use under subsection (3) for the purpose of discharging the
purchase obligation in respect of GB certificates.

(10) 10The purchasing body of NI certificates must, if directed to do so by the
Secretary of State, pay into the Consolidated Fund of Northern Ireland
any amounts received under subsection (2) that it would (but for the
direction) be able to use under subsection (3) for the purpose of
discharging the purchase obligation in respect of NI certificates.

(11) 15In this section “the order”, in relation to the certificate purchase levy,
means the certificate purchase order that imposes the levy.

32R Designation of a CFD counterparty as purchasing body or
administrator

(1) This section applies in relation to the designation of a person who is a
20CFD counterparty—

(a) as a relevant purchasing body under section 32N(4)(b) or (5)(b),
or

(b) as the administrator of the levy under section 32P(7)(b) or (8)(b).

(2) A designation may be made only with the consent of the person
25designated.

(3) A designation does not cease to have effect if the person’s designation
as a CFD counterparty ceases to have effect by virtue of section 7(6)(a)
or (b) of the Energy Act 2013.

(4) A designation ceases to have effect if—

(a) 30the Secretary of State by order revokes the designation, or

(b) the person withdraws consent to the designation by giving not
less than 3 months’ notice in writing to the Secretary of State.

(5) The Secretary of State may by order make transitional provision in
connection with a designation ceasing to have effect.

(6) 35An order under subsection (5) may in particular make provision about
how obligations, imposed by virtue of a certificate purchase order on a
person whose designation ceases to have effect, are to be discharged in
any period before or after the time when the designation ceases to have
effect.

(7) 40Subsection (5) is not to be taken as limiting the power to make
transitional provision in a certificate purchase order by virtue of section
32Y(1)(b).

32S GB certificates

(1) A certificate purchase order may (subject to subsection (3)) provide for
45the Authority to issue from time to time, in accordance with such

criteria (if any) as are specified in the order, a certificate (“a GB
certificate”) to—

(a) the operator of a generating station, or

(b) if the order so provides, a person of any other description
5specified in the order.

(2) A GB certificate is to certify—

(a) the matters within subsection (4) or (5), or

(b) if the order provides that a certificate may certify the matters
within subsection (6), (7), (8) or (9), the matters within that
10subsection.

(3) A GB certificate certifying that an amount of electricity has been
generated from renewable sources in any period may not be issued if—

(a) a renewables obligation order is in force, and

(b) a renewables obligation certificate has been, or could be, issued
15under the order in respect of the generation in that period of the
same electricity.

(4) The matters within this subsection are—

(a) that the generating station, or, in the case of a certificate issued
otherwise than to the operator of a generating station, a
20generating station specified in the certificate, has generated
from renewable sources the amount of electricity stated in the
certificate, and

(b) that the electricity has been supplied by an electricity supplier
to customers in Great Britain.

(5) 25The matters within this subsection are—

(a) that the generating station, or, in the case of a certificate issued
otherwise than to the operator of a generating station, a
generating station specified in the certificate, has generated
from renewable sources the amount of electricity stated in the
30certificate,

(b) that the generating station in question is not in Northern
Ireland, and

(c) that the electricity has been supplied by a Northern Ireland
supplier to customers in Northern Ireland.

(6) 35The matters within this subsection are—

(a) that two or more generating stations have, between them,
generated from renewable sources the amount of electricity
stated in the certificate, and

(b) that the electricity has been supplied by an electricity supplier
40to customers in Great Britain.

(7) The matters within this subsection are—

(a) that two or more generating stations have, between them,
generated from renewable sources the amount of electricity
stated in the certificate,

(b) 45that none of them is a generating station in Northern Ireland,
and

(c) that the electricity has been supplied by a Northern Ireland
supplier to customers in Northern Ireland.

(8) The matters within this subsection are—

(a) that the generating station, or, in the case of a certificate issued
otherwise than to the operator of a generating station, a
generating station specified in the certificate, has generated
5from renewable sources the amount of electricity stated in the
certificate, and

(b) that the electricity has been used in a permitted way.

(9) The matters within this subsection are—

(a) that two or more generating stations have, between them,
10generated from renewable sources the amount of electricity
stated in the certificate, and

(b) that the electricity has been used in a permitted way.

(10) For the purposes of subsections (8) and (9), electricity generated by a
generating station, or generating stations, of any description is used in
15a permitted way if—

(a) it is used in one of the ways mentioned in subsection (11), and

(b) that way is specified in the order as a permitted way—

(i) in relation to all generating stations, or

(ii) in relation to generating stations of that description.

(11) 20Those ways are—

(a) being consumed by the operator of the generating station or
generating stations by which it was generated;

(b) being supplied to customers in Great Britain through a private
wire network;

(c) 25being provided to a distribution system or a transmission
system in circumstances in which its supply to customers
cannot be demonstrated;

(d) being used, as respects part, as mentioned in one of paragraphs
(a), (b) or (c) and as respects the remainder—

(i) 30as mentioned in one of the other paragraphs, or

(ii) as respects part, as mentioned in one of the other
paragraphs and as respects the remainder as mentioned
in the other;

(e) being used, as respects part, as mentioned in paragraph (a), (b),
35(c) or (d) and as respects the remainder by being supplied by an
electricity supplier to customers in Great Britain or by a
Northern Ireland supplier to customers in Northern Ireland, or
both.

(12) Subsection (11) of section 32B (meaning of supply of electricity through
40a private wire network) applies for the purposes of subsection (11)(b)
as it applies for the purposes of subsection (10)(b) of that section.

32T NI certificates

(1) A certificate purchase order may (subject to subsection (3)) provide for
the Northern Ireland authority to issue from time to time, in accordance
45with such criteria (if any) as are specified in the order, a certificate (“a
NI certificate”) to—

(a) the operator of a generating station in Northern Ireland, or

(b) if the order so provides, a person of any other description.

(2) A NI certificate is to certify—

(a) the matters within subsection (4), or

(b) if the order provides that a certificate may certify the matters
within subsection (5), (6) or (7), the matters within that
5subsection.

(3) A NI certificate certifying that an amount of electricity has been
generated from renewable sources in any period may not be issued if—

(a) an order under Article 52 of the Energy (Northern Ireland)
Order 2003 is in force, and

(b) 10a Northern Ireland RO certificate has been, or could be, issued
under that order in respect of the same electricity.

(4) The matters within this subsection are—

(a) that the generating station, or, in the case of a certificate issued
otherwise than to the operator of a generating station, a
15generating station in Northern Ireland specified in the
certificate, has generated from renewable sources the amount of
electricity stated in the certificate, and

(b) that it has been supplied by a Northern Ireland supplier to
customers in Northern Ireland.

(5) 20The matters within this subsection are—

(a) that two or more generating stations in Northern Ireland have,
between them, generated from renewable sources the amount
of electricity stated in the certificate, and

(b) that it has been supplied by a Northern Ireland supplier to
25customers in Northern Ireland.

(6) The matters within this subsection are—

(a) that the generating station, or, in the case of a certificate issued
otherwise than to the operator of a generating station, a
generating station in Northern Ireland specified in the
30certificate, has generated from renewable sources the amount of
electricity stated in the certificate, and

(b) that the electricity has been used in a permitted way.

(7) The matters within this subsection are—

(a) that two or more generating stations in Northern Ireland have,
35between them, generated from renewable sources the amount
of electricity stated in the certificate, and

(b) that the electricity has been used in a permitted way.

(8) For the purposes of subsections (6) and (7), electricity generated by a
generating station, or generating stations, of any description is used in
40a permitted way if—

(a) it is used in one of the ways mentioned in subsection (9), and

(b) that way is specified in the order as a permitted way—

(i) in relation to all generating stations, or

(ii) in relation to generating stations of that description.

(9) 45Those ways are—

(a) being consumed by the operator of the generating station or
generating stations by which it was generated;

(b) being supplied to customers in Northern Ireland through a
private wire network;

(c) being provided to a distribution system located in Northern
Ireland, or to transmission system located in Northern Ireland,
5in circumstances in which its supply to customers in Northern
Ireland cannot be demonstrated;

(d) being used, as respects part, as mentioned in one of paragraphs
(a), (b) or (c) and as respects the remainder—

(i) as mentioned in one of the other paragraphs, or

(ii) 10as respects part, as mentioned in one of the other
paragraphs and as respects the remainder as mentioned
in the other;

(e) being used, as respects part, as mentioned in paragraph (a), (b),
(c) or (d) and as respects the remainder by being supplied by a
15Northern Ireland supplier to customers in Northern Ireland.

(10) Paragraph (9) of Article 54 of the Energy (Northern Ireland) Order 2003
(meaning of supply of electricity through a private wire network)
applies for the purposes of subsection (9)(b) as it applies for the
purposes of paragraph (8)(b) of that Article.

32U 20Sections 32S and 32T: supplemental provision

(1) A certificate purchase order may provide—

(a) that no certificates are to be issued in respect of electricity
generated in specified cases or circumstances, or

(b) that certificates are to be issued in respect of a proportion only
25of the electricity generated in specified cases or circumstances.

(2) In particular, provision made by virtue of subsection (1) may specify—

(a) electricity generated using specified descriptions of renewable
sources,

(b) electricity generated by specified descriptions of generating
30station, or

(c) electricity generated in specified ways.

(3) Provision made by virtue of subsection (1)(b) may include—

(a) provision about how the proportion is to be determined;

(b) provision about what, subject to such exceptions as may be
35specified, constitutes sufficient evidence of any matter required
to be established for the purpose of determining that
proportion;

(c) provision authorising the relevant authority, in specified
circumstances, to require an operator of a generating station to
40arrange—

(i) for samples of any fuel used (or to be used) in the
generating station, or of any gas or other substance
produced as a result of the use of such fuel, to be taken
by a person, and analysed in a manner, approved by the
45relevant authority, and

(ii) for the results of that analysis to be made available to the
relevant authority.

(4) In the case of electricity generated by a generating station fuelled or
driven—

(a) partly by renewable sources, and

(b) partly by fossil fuel (other than waste which constitutes a
renewable source),

only the proportion attributable to the renewable sources is to be
5regarded as generated from such sources.

(5) A certificate purchase order may specify—

(a) how the proportion referred to in subsection (4) is to be
determined, and

(b) the consequences for the issuing of certificates if a generating
10station of the type mentioned in that subsection uses more than
a specified proportion of fossil fuel during a specified period.

(6) Those consequences may include the consequences that no certificates
are to be issued in respect of any electricity generated by that
generating station during that period.

(7) 15A certificate purchase order may provide that ownership of a certificate
may be transferred—

(a) only to persons of a specified description;

(b) only if other specified conditions are met.

(8) A certificate purchase order may specify circumstances in which the
20relevant authority may revoke a certificate before the certificate
purchase obligation in respect of the certificate is discharged (whether
before or after the certificate is presented for payment).

(9) A certificate purchase order must—

(a) prohibit the issue of GB certificates certifying that electricity has
25been supplied to customers in Northern Ireland by virtue of
section 32S(5) or (7) where the Northern Ireland authority has
notified the Authority that it is not satisfied that the electricity
in question has been supplied to customers in Northern Ireland,
and

(b) 30require the revocation of such a certificate if the Northern
Ireland authority so notifies the Authority at a time between the
issue of the certificate and its presentation for payment for the
purposes of the certificate purchase obligation.

(10) A certificate purchase order may make provision requiring a person to
35whom a certificate is issued to pay to the relevant authority an amount
equal to any amount that has been paid in respect of the certificate
under the certificate purchase obligation if it appears to the authority
that—

(a) the certificate should not have been issued to that person, and

(b) 40it is not possible to secure the recovery of such an amount by
refusing to issue another certificate to the person.

(11) Provision under subsection (10) may include provision about
enforcement and appeals.

(12) The Authority must pay any amounts it receives by virtue of subsection
45(10) into the Consolidated Fund.

(13) The Northern Ireland authority must pay any amounts it receives by
virtue of subsection (10) into the Consolidated Fund of Northern
Ireland.

32V Certificate purchase orders: amounts of electricity stated in certificates

(1) 5A certificate purchase order may specify the amount of electricity to be
stated in each certificate, and different amounts may be specified in
relation to different cases or circumstances.

(2) In particular, different amounts may be specified in relation to—

(a) electricity generated from different renewable sources;

(b) 10electricity generated by different descriptions of generating
station;

(c) electricity generated in different ways.

(3) In this section “banding provision” means provision made in a
certificate purchase order by virtue of subsection (1).

(4) 15Before making any banding provision, the Secretary of State must have
regard to the following matters—

(a) the costs (including capital costs) associated with generating
electricity from each of the renewable sources or with
transmitting or distributing electricity so generated;

(b) 20the income of operators of generating stations in respect of
electricity generated from each of those sources or associated
with the generation of such electricity;

(c) the effect of paragraph 19 of Schedule 6 to the Finance Act 2000
(supplies of electricity from renewable sources exempted from
25the climate change levy) in relation to electricity generated from
each of those sources;

(d) the desirability of securing the long term growth, and economic
viability, of the industries associated with the generation of
electricity from renewable sources;

(e) 30the likely effect of the proposed banding provision on the
number of certificate issued by the relevant authority, and the
impact this will have on consumers;

(f) the potential contribution of electricity generated from each
renewable source to the attainment of any target which relates
35to the generation of electricity or the production of energy and
is imposed by, or results from or arises out of, an EU obligation.

(5) For the purposes of subsection (4)(a), the costs associated with
generating electricity from a renewable source include any costs
associated with the production or supply of heat produced in
40connection with that generation.

(6) For the purposes of subsection (4)(b), an operator’s income associated
with the generation of electricity from a renewable source includes any
income connected with—

(a) the acquisition of the renewable source;

(b) 45the supply of heat produced in connection with the generation;

(c) the disposal of any by-product of the generation process.

(7) After the first order containing banding provision is made by the
Secretary of State, no subsequent order containing such provision may

be made by the Secretary of State except following a review held by
virtue of subsection (8).

(8) A certificate purchase order—

(a) may authorise the Secretary of State to review the banding
5provision at such intervals as are specified in or determined in
accordance with the order, and

(b) may authorise the Secretary of State to review the whole or any
part of the banding provision at any time when the Secretary of
State is satisfied that one or more of the specified conditions is
10satisfied.

32W Section 32V: transitional provision and savings

(1) This section applies where a certificate purchase order contains
banding provision.

(2) The order may provide for the effect of any banding provision made in
15an earlier such order to continue, in such circumstances as may be
specified, in relation to—

(a) the electricity generated by generating stations of such
descriptions as may be specified, or

(b) so much of the electricity as may be determined in accordance
20with the order.

(3) The order may provide for—

(a) the effect of any banding provision made in a renewables
obligation order by virtue of section 32D(1) to apply, in such
circumstances as may be specified, in relation to GB certificates
25as it applied in relation to renewables obligation certificates;

(b) the effect of any banding provision made in an order under
Article 52 of the Energy (Northern Ireland) Order 2003, by
virtue of Article 54B(1) of the Order, to apply, in such
circumstances as may be specified, in relation to NI certificates
30as it applied in relation to Northern Ireland RO certificates.

(4) Section 32V(4) and (7) do not apply in relation to provision of the kind
mentioned in subsection (2) or (3) above.

(5) Subsection (7) applies to a generating station in respect of which a
statutory grant has been awarded if—

(a) 35the generating station is of a specified description, or

(b) the circumstances of the case meet specified requirements.

(6) The requirements specified under subsection (5)(b) may relate to the
time when the grant was awarded (whether a time before or after the
coming into force of this section).

(7) 40A certificate purchase order which contains banding provision may
provide for the operation of that provision in relation to electricity
generated by a generating station to which this subsection applies to be
conditional upon the operator of the station agreeing—

(a) if the grant or any part of it has been paid, to repay to the person
45who made the grant (“the payer”) the whole or a specified part
of the grant or part before the repayment date,

(b) to pay to the payer interest on an amount repayable under
paragraph (a) for such period, and at such rate, as may be
determined in accordance with the order (which may confer the
function of making the determination on a person), and

(c) 5if the grant or any part of it has not yet been paid, to consent to
the cancellation of the award of the grant or part.

(8) For the purposes of subsection (7)—

(a) “the repayment date” means the date specified in or determined
in accordance with the order, and

(b) 10the period for which interest is payable must not begin before
the grant was paid or, if the repayment relates to an instalment
of the grant, before the instalment was paid.

(9) In this section “statutory grant” means—

(a) a grant awarded under section 5(1) of the Science and
15Technology Act 1965 (grants to carry on or support scientific
research), or

(b) any other grant which is payable out of public funds and
awarded under or by virtue of an Act or other statutory
provision (as defined by section 1(f) of the Interpretation Act
20(Northern Ireland) 1954).

(10) This section is without prejudice to section 32Y(1)(b).

32X Certificate purchase orders: information

(1) A certificate purchase order may provide for—

(a) the Authority to require a person to provide it with information,
25or with information of a particular kind, which in the
Authority’s opinion is relevant to the question whether a GB
certificate is, or was or will in future be, required to be issued to
the person;

(b) the Northern Ireland authority to require a person to provide it
30with information, or with information of a particular kind,
which in the authority’s opinion is relevant to the question
whether a NI certificate is, or was or will in future be, required
to be issued to the person.

(2) That information must be given to the relevant authority in whatever
35form it requires.

(3) A certificate purchase order may—

(a) require operators of generating stations generating electricity
(wholly or partly) from biomass to give specified information,
or information of a specified kind, to the relevant authority;

(b) 40specify what, for this purpose, constitutes “biomass”;

(c) require the information to be given in a specified form and
within a specified period;

(d) authorise or require the relevant authority to postpone the issue
of certificates to the operator of a generating station who fails to
45comply with a requirement imposed by virtue of paragraph (a)
or (c) until such time as the failure is remedied;

(e) authorise or require the relevant authority to refuse to issue
certificates to such a person or to refuse to issue them unless the
failure is remedied within a specified period.

(4) The relevant authority may publish information obtained by virtue of
5subsection (3).

(5) No person is required by virtue of this section to provide any
information which the person could not be compelled to give in
evidence in civil proceedings in the High Court or, in Scotland, the
Court of Session.

32Y 10Certificate purchase orders: general provision

(1) A certificate purchase order may—

(a) make further provision as to the functions of the relevant
authority in relation to matters dealt with by the order;

(b) make transitional provision and savings;

(c) 15provide for anything falling to be calculated or otherwise
determined under the order to be calculated or determined by
such persons, in accordance with such procedure and by
reference to such matters and to the opinion of such persons, as
may be specified in the order;

(d) 20make different provision for different cases or circumstances.

(2) Provision made by virtue of subsection (1)(b) may, in particular,
include provision for—

(a) renewables obligation certificates, issued in respect of a period
before the imposition of the certificate purchase obligation, to
25be treated as if they were GB certificates issued in respect of a
subsequent period for which the order is in force;

(b) Northern Ireland RO certificates, issued in respect of a period
before the imposition of the certificate purchase obligation, to
be treated as if they were NI certificates issued in respect of a
30subsequent period for which the order is in force.

(3) Provision made by virtue of subsection (1)(d) may, in particular,
make—

(a) different provision in relation to different suppliers;

(b) different provision in relation to generating stations of different
35descriptions;

(c) different provision in relation to different localities or different
parts of the United Kingdom.

(4) In subsection (3) “supplier” means an electricity supplier or a Northern
Ireland supplier.

(5) 40The Authority and the Northern Ireland authority may enter into
arrangements for the Authority to act on behalf of the Northern Ireland
authority for, or in connection with, the carrying out of any functions
conferred on the Northern Ireland authority under, or for the purposes
of, a certificate purchase order.

(6) 45The duties imposed on the Secretary of State by section 3A (principal
objective and general duties in carrying out functions under this Part)
do not apply in relation to the exercise of a power under section 32N to
make a certificate purchase order so far as it is made for or in