Warrington at risk of £52M bill, as Together Energy warned over default at BSC

Together Energy is in default of credit requirements under the Balancing and Settlement Code (BSC) and has been notified that it is set to be expelled on 7 February. The BSC Panel is required to give 28 days notice of expulsion to allow for representations to be made.
Ofgem said in December that it was continuing to pursue Together Energy for £12,402,390 in outstanding payments made under the Renewables Obligation for FY 2020/21, plus interest.
The failure of Together Energy would leave Warrington Borough Council with financial exposure calculated by the Financial Times at up to £52 million. The council took a 50% stake in the energy company when it was launched in 2019, at a cost of £18 million. The FT says the rest of the exposure is due to a £20 million revolving credit facility arranged by the council and a £14 million guarantee to wholesale energy supplier Orsted.
A second energy supplier, Logicor Energy, is also set to be expelled from the BSC after it failed to meet BSC credit requirements.

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