Part 2: Revenue collection contracts Section 19: Supplier obligation
This section deals with the obligations of suppliers in relation to the functioning of the revenue stream.
	Subsection (1) places an obligation on the Secretary of State, when making revenue regulations under section 15, to include provision requiring electricity suppliers in GB to make payments to the revenue collection counterparty to enable it to make payments under revenue collection contracts. Subsection (2) describes other areas where revenue regulations may place obligations on suppliers to pay the revenue collection counterparty. Suppliers may also be obliged to make payments to cover administration costs of the revenue collection counterparty for managing the revenue collection contracts. Payments may also be required in order to enable the revenue collection counterparty to hold sums in reserve (subsection 2(b)) and to mutualise costs across suppliers to cover those not made by an insolvent or defaulting supplier (subsection 2(c)) . Subsection (3) defines ‘costs’ for the use in subsection 2(a).
	Subsection (4) enables revenue regulations to require suppliers to provide financial collateral to a revenue collection counterparty.
	Subsection (5) specifies that the regulations must place the revenue collection counterparty under a duty in relation to the collection of sums that are owed by suppliers.
	Subsections (6) to (8) provides further details of the types of provision that revenue regulations may include by virtue of this section. This includes, for example, provision enabling the supplier obligation to be varied according to the supplier or factors in relation to a supplier (such as the amount of electricity it supplies to particular groups of consumers). It also allows provision for the revenue collection counterparty to provide notices to suppliers and to enforce such notices, and for dispute resolution arrangements.
	Subsection (9) clarifies that any sum which a supplier is required to pay the revenue collection counterparty by virtue of the revenue regulations, and which is not paid when it is due under the regulations, is recoverable as a civil debt.