The Clean Heat Market Mechanism Regulations 2025
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Change 1
26 Certificates: carry over
(1) In this regulation— (a) “use”, in relation to a certificate, means transferring the certificate, or where applicable, surrendering the certificate; (b) the retention of a certificate for use for a scheme year later than the scheme year for which the certificate was acquired is referred to as the “carrying over” of the certificate; and (c) the scheme year for which a scheme participant or certificate holder does not use all its certificates is referred to as the “surplus scheme year”. (2) Where a scheme participant or a certificate holder does not use all of its certificates for a surplus scheme year, it may retain certificates for use for a scheme year later than the surplus scheme year, subject to the following provisions of this regulation. (3) A scheme participant may not carry over a certificate unless it has more certificates than it requires in order to meet its low-carbon heat target for a scheme year, without carrying forward any part of that target in accordance with regulation 27 or making a payment under regulation 28. (4) The number of certificates which a scheme participant carries over for use for a scheme year later than the scheme year for which the certificate was acquired may not exceed 10% of the number of certificates held by that participant in the registry immediately before the participant is required to surrender an appropriate number of certificates to meet its low-carbon heat target in accordance with regulation 25(1) for the surplus scheme year. (5) The number of certificates which a certificate holder carries over for use for a scheme year later than the scheme year of acquisition may not exceed 10% of the number of certificates which the certificate holder acquired for the surplus scheme year. (6) If the number of certificates which a scheme participant or a certificate holder is to carry over in accordance with paragraph (4) or (5) is not a whole number, the number is rounded to the nearest whole number, rounding down any fraction of less than one half and rounding up any other fraction. (7) The administrator must record in the registry the carry over of certificates in accordance with this regulation.
26 Certificates: carry over
(1) In this regulation— (a) “use”, in relation to a certificate, means transferring the certificate, or where applicable, surrendering the certificate; (b) the retention of a certificate for use for a scheme year later than the scheme year for which the certificate was acquired is referred to as the “carrying over” of the certificate; and (c) the scheme year for which a scheme participant or certificate holder does not use all its certificates is referred to as the “surplus scheme year”. (2) Where a scheme participant or a certificate holder does not use all of its certificates for a surplus scheme year, it may retain certificates for use for a scheme year later than the surplus scheme year, subject to the following provisions of this regulation. (3) A scheme participant may not carry over a certificate unless it has more certificates than it requires in order to meet its low-carbon heat target for a scheme year, without carrying forward any part of that target in accordance with regulation 27 or making a payment under regulation 28. (4) The number of certificates which a scheme participant carries over for use for a scheme year later than the scheme year for which the certificate was acquired may not exceed 10% of the number of certificates held by that participant in the registry immediately before the participant is required to surrender an appropriate number of certificates to meet its low-carbon heat target in accordance with regulation 25(1) for the surplus scheme year. (5) The number of certificates which a certificate holder carries over for use for a scheme year later than the scheme year of acquisition may not exceed 10% of the number of certificates which the certificate holder acquired for the surplus scheme year. (6) If the number of certificates which a scheme participant or a certificate holder is to carry over in accordance with paragraph (4) or (5) is not a whole number, the number is rounded to the nearest whole number, rounding down any fraction of less than one half and rounding up any other fraction. (7) The administrator must record in the registry the carry over of certificates in accordance with this regulation.
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