Citation and commencement

1.  This Order may be cited as the Renewable Transport Fuel Obligations (Amendment) Order 2020 and comes into force on 31st December 2020.

Amendment of the Renewable Transport Fuel Obligations Order 2007

2.—(1) The Renewable Transport Fuel Obligations Order 2007(2) is amended as follows.

(2) In article 21(7) (payments)(3), after “Step 4”, for “Multiply the main obligation shortfall by £0.30 (“sum B”).”, substitute—

“Multiply the main obligation shortfall by—

(a)in the case of a main obligation shortfall arising in respect of an obligation period ending on or before 31st December 2020, £0.30;

(b)in any other case, £0.50,

(“sum B”).”.

(3) In article 23 (civil penalties)(4), after paragraph (8) insert—

“(8A) In order to establish the value of an RTF certificate in accordance with paragraph (8), were the fuel to which it relates to fall within the main obligation shortfall under paragraph (7) of article 21, the multiplier for the purpose of calculating sum B referred to in Step 4 of that paragraph is £0.30.”.

EXPLANATORY NOTE

(This note is not part of the Order)

This instrument amends the Renewable Transport Fuel Obligations Order 2007 (S.I. 2007/3072, “the RTFO Order”). It amends a step of the calculation used to determine the amount a supplier must pay to discharge any shortfall in their renewable transport fuel obligation in accordance with article 21 of the RTFO Order. The amendment increases the multiplier that will be applied to any shortfall in a supplier’s main renewable transport fuel obligation (as defined in article 4(6) of the RTFO Order) from £0.30 to £0.50 for obligation periods beginning on or after 1st January 2021. This instrument also makes a consequential amendment to article 23 (civil penalties) of the RTFO Order to ensure the amount of any civil penalty payable in accordance with that article is unchanged.

An impact assessment, in the form of a cost benefit analysis, on the effect that this Order will have on the costs of business and the voluntary sector is available from the Low Carbon Fuels Division, Department for Transport, Great Minister House, 33 Horseferry Road, London, SW1P 4DR (telephone 0207 944 4138). The impact assessment is annexed to the Explanatory Memorandum which is available alongside this Order on the UK legislation website at http://www.legislation.gov.uk.