U.K. Sets Renewables Obligation Buy-Out Price at 42.02 PoundsAlex Morales
The U.K. will require power suppliers to pay a buy-put price of 42.02 pounds ($65.36) from April for any shortfall they have in certificates they’re required to hold to prove their power is from renewable sources.
The rate, which applies for the 2013-14 tax year, is an increase of 1.31 pounds on the current level, according to an e-mailed statement today from the energy regulator Ofgem. The regulator is required to set a new rate every year in line with changes to inflation levels.
The charge falls under the government’s Renewables Obligation program, which requires EON AG, RWE AG and other power suppliers to hold an annually-increasing amount of the certificates, known as ROCs, or pay a buy-out price. the certificates prove the power is from the wind, sun, hydro-power and other renewable sources.