Commentary on Sections Part 2: Electricity Market Reform Chapter 2: Contracts for difference Section 14: CFD notification: offer to contract on standard terms
113.This section sets out how the CFD counterparty must act upon a notification from the System Operator to offer a CFD contract. Subsection (1) places a duty on the CFD counterparty to offer a contract to the eligible generator specified in a notification, and requires that this offer be on the standard terms, or on the standard terms as modified in accordance with the procedure provided for in section 15.
114.Subsection (2) confers a power on the Secretary of State to make further provision regarding matters such as how the CFD counterparty is to apply or complete the standard terms in response to a notification and how the eligible generator to whom the offer is made may enter into a CFD as a result.