The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025
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Change 1
7 Reassignment of ECO4 savings to ECO4A scheme
(1) In the 2022 Order, after article 82 insert— Reassignment of ECO4 savings to the ECO4A scheme 82A (1) For the purposes of articles 10(1) and (2) and 82(1)(a), any amount of a participant’s annual cost savings which is reassigned under article 34A of the 2023 Order no longer contributes towards the achievement of the participant’s total home-heating cost reduction obligation. (2) If— (a) a participant has reassigned an amount under article 34A of the 2023 Order; and (b) there is a question about the qualification of any action the savings of which are proposed to be contributed towards the achievement of any obligation under this Order, any conclusion that the action does not qualify must be resolved only by reference to the amount of the participant’s annual cost savings which have not been reassigned. . (2) After article 34 of the 2023 Order, insert— Reassignment of ECO4 savings to the ECO4A scheme 34A (1) This article applies to a participant who is also an ECO4 participant. (2) A participant may apply to the Administrator for an amount of the participant’s annual cost savings from ECO4 qualifying actions to be reassigned so as to be contributed towards the achievement of— (a) the participant’s total home-heating cost reduction obligation; (b) the participant’s total low-income minimum requirement, (“relevant ECO4A obligations”). (3) A reassignment approved under this article is subject to the following conversion— Step 1 Take the amount of the participant’s annual cost savings from ECO4 qualifying actions to be reassigned Step 2 Multiply the amount taken at step 1 by 1.251 (In this article “converted” means converted in accordance with this paragraph.) (4) “ECO4 qualifying action” means a qualifying action within the meaning of article 11(1) of the 2022 Order. (5) An application may not be made to reassign an amount which, as converted, exceeds 75% of the participant’s total home-heating cost reduction obligation. (6) An application under paragraph (2) must— (a) be made, in writing, on or before 31st July 2026; (b) state the amount of annual cost savings proposed to be reassigned; (c) state the amount, as converted, proposed to be contributed towards the achievement of the participant’s relevant ECO4A obligations; and (d) include such other information as the Administrator may require. (7) The Administrator must reject the application if the requirements in paragraphs (2) to (6) are not met. (8) If the Administrator rejects the application, it must notify in writing the participant of the rejection and of any reasons for that decision. (9) If the Administrator approves the application— (a) for the purposes of articles 9(1), (2) and (5)(c) and 35(1)(a) and (b) (so far as it relates to article 9(5)(c)) the amount set out in accordance with paragraph (6)(c) is contributed towards the achievement of the participant’s relevant ECO4A obligations; and (b) the Administrator must notify the participant in writing of the matters mentioned in paragraph (10). (10) The matters are— (a) the amount mentioned in paragraph (6)(b) and the consequence that this will no longer contribute towards the achievement of the participant’s obligations under the 2022 Order in accordance with article 82A of that Order; (b) the amount mentioned in paragraph (6)(c) and the consequence that this will contribute towards the achievement of the participant’s relevant ECO4A obligations; and (c) the date on which the application was approved. . (3) The amendments made by paragraphs (1) and (2) apply— (a) in relation to any amount of a participant’s annual cost savings under the 2022 Order (subject to the limit mentioned in article 34A(5) of the 2023 Order); and (b) irrespective of when any installation for the measure relating to those savings is or was completed.
7 Reassignment of ECO4 savings to ECO4A scheme
(1) In the 2022 Order, after article 82 insert— Reassignment of ECO4 savings to the ECO4A scheme 82A (1) For the purposes of articles 10(1) and (2) and 82(1)(a), any amount of a participant’s annual cost savings which is reassigned under article 34A of the 2023 Order no longer contributes towards the achievement of the participant’s total home-heating cost reduction obligation. (2) If— (a) a participant has reassigned an amount under article 34A of the 2023 Order; and (b) there is a question about the qualification of any action the savings of which are proposed to be contributed towards the achievement of any obligation under this Order, any conclusion that the action does not qualify must be resolved only by reference to the amount of the participant’s annual cost savings which have not been reassigned. . (2) After article 34 of the 2023 Order, insert— Reassignment of ECO4 savings to the ECO4A scheme 34A (1) This article applies to a participant who is also an ECO4 participant. (2) A participant may apply to the Administrator for an amount of the participant’s annual cost savings from ECO4 qualifying actions to be reassigned so as to be contributed towards the achievement of— (a) the participant’s total home-heating cost reduction obligation; (b) the participant’s total low-income minimum requirement, (“relevant ECO4A obligations”). (3) A reassignment approved under this article is subject to the following conversion— Step 1 Take the amount of the participant’s annual cost savings from ECO4 qualifying actions to be reassigned Step 2 Multiply the amount taken at step 1 by 1.251 (In this article “converted” means converted in accordance with this paragraph.) (4) “ECO4 qualifying action” means a qualifying action within the meaning of article 11(1) of the 2022 Order. (5) An application may not be made to reassign an amount which, as converted, exceeds 75% of the participant’s total home-heating cost reduction obligation. (6) An application under paragraph (2) must— (a) be made, in writing, on or before 31st July 2026; (b) state the amount of annual cost savings proposed to be reassigned; (c) state the amount, as converted, proposed to be contributed towards the achievement of the participant’s relevant ECO4A obligations; and (d) include such other information as the Administrator may require. (7) The Administrator must reject the application if the requirements in paragraphs (2) to (6) are not met. (8) If the Administrator rejects the application, it must notify in writing the participant of the rejection and of any reasons for that decision. (9) If the Administrator approves the application— (a) for the purposes of articles 9(1), (2) and (5)(c) and 35(1)(a) and (b) (so far as it relates to article 9(5)(c)) the amount set out in accordance with paragraph (6)(c) is contributed towards the achievement of the participant’s relevant ECO4A obligations; and (b) the Administrator must notify the participant in writing of the matters mentioned in paragraph (10). (10) The matters are— (a) the amount mentioned in paragraph (6)(b) and the consequence that this will no longer contribute towards the achievement of the participant’s obligations under the 2022 Order in accordance with article 82A of that Order; (b) the amount mentioned in paragraph (6)(c) and the consequence that this will contribute towards the achievement of the participant’s relevant ECO4A obligations; and (c) the date on which the application was approved. . (3) The amendments made by paragraphs (1) and (2) apply— (a) in relation to any amount of a participant’s annual cost savings under the 2022 Order (subject to the limit mentioned in article 34A(5) of the 2023 Order); and (b) irrespective of when any installation for the measure relating to those savings is or was completed.
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