Renewables Obligation: Call for Evidence on introducing Fixed-Price Certificates into the UK-wide Renewables Obligation schemes

The RO has incentivised UK renewable electricity generation since 2002. It is now closed to new applications, but stations that accredited in the early years of the scheme receive support until 2027. Later stations are supported for 20 years or until final closure of the scheme on 31 March 2037, whichever is the earliest. Three separate complementary obligations cover England Wales, Scotland, and Northern Ireland. The scheme puts an obligation on UK electricity suppliers to present a certain number of RO Certificates (ROCs) to Ofgem in respect of each MWh of electricity they supplied to their customers during an obligation year. Generators obtain ROCs free of charge from Ofgem in relation to the renewable electricity they generate. Suppliers buy these ROCs from generators (or traders), giving generators extra income in addition to the wholesale price of their renewable electricity. Instead of presenting ROCs, suppliers may make a cash payment into a buy-out fund