Gnergy warned licence may be revoked over RO debt as Ofgem issues ‘notice of failure’

Ofgem has issued Gnergy with a notice of failure after the supplier failed to comply with a final order over £673,876.62 of unpaid Renewables Obligation payments and warned it may revoke the supplier’s licence.

The final order was issued on 29 October, requiring the supplier to make the outstanding payment plus interest by 31 October. Ofgem said Gnergy was unable to give it any assurance it would meet its obligation. The supplier failed to make any payments by the deadline and has not paid the outstanding amount since.

Under the government’s Renewables Obligation schemes, suppliers have to demonstrate they have sourced enough electricity from renewable sources to meet their obligation by presenting Renewables Obligation Certificates (ROCs) to Ofgem. If suppliers do not have enough ROCs to meet their obligations, they must make up the shortfall by paying into a buy-out fund administered by Ofgem by 31 August, or in a ‘late payment’ window by 31 October.

Further reading

Ofgem says it expects ’1-4′ suppliers a year to fail as it sets out tighter oversight regime

Final order for Gnergy: supplier must pay RO bill by tomorrow

Ofgem: 42 suppliers missed RO payment deadline