The Electricity (Individual Exemption from the Requirement for a Supply Licence) (JG Pears Power Limited) (England) Order 2025
This order temporarily exempts JG Pears Power Limited from needing an electricity supply license to provide power to the High Marnham Green Energy Business Park in England.
The exemption, granted under the Electricity Act 1989, runs until December 31, 2034, and is subject to conditions limiting the maximum electricity supply to 37 megawatts.
The order's justification involves facilitating the prompt delivery of renewable energy while acknowledging a lack of significant impact on the public or private sectors.
Arguments For
Facilitating Renewable Energy Development: The exemption allows JG Pears Power Limited to expedite the supply of electricity from renewable sources to the High Marnham Green Energy Business Park, potentially accelerating the transition to cleaner energy.
Addressing Specific Circumstances: The exemption may address unique circumstances related to the project, infrastructure limitations, or regulatory complexities that would delay or hinder the project's completion without a temporary exception.
Limited Timeframe: The exemption is temporary (until December 31, 2034), mitigating potential longer-term risks associated with a complete deregulation of the electricity supply market.
Legal Basis: The Order is made under the powers granted by section 5(1) and (6)(b) of the Electricity Act 1989, providing a clear legal justification for the exemption.
Arguments Against
Potential for Market Distortions: Granting exemptions could create inequality between established licensed suppliers and those temporarily exempt, potentially leading to competitive imbalances.
Regulatory Oversight Concerns: The temporary nature of the exemption might reduce incentives for JG Pears Power Limited to fully comply with stringent safety and environmental regulations typically associated with full licensing.
Lack of Comprehensive Impact Assessment: The lack of a full impact assessment raises concern about the potentially unforeseen implications of the exemption, regarding both market dynamics and environmental factors.
Transparency and Accountability: The process and criteria for granting such exemptions may require added transparency and accountability to ensure that they are granted only in exceptional circumstances and with proper justification.
- Citation, commencement, extent and application (1) This Order may be cited as the Electricity (Individual Exemption from the Requirement for a Supply Licence) (JG Pears Power Limited) (England) Order 2025 and comes into force on 25th June 2025. (2) This Order extends to England and Wales and Scotland. (3) This Order applies in relation to England only.
This section provides the order's name, effective date (June 25, 2025), geographical reach (England, Wales, and Scotland), and its specific application to England.
The official title is the "Electricity (Individual Exemption from the Requirement for a Supply Licence) (JG Pears Power Limited) (England) Order 2025".
- Exemption from prohibition of unlicensed supply of electricity (1) Exemption is granted from section (4)(1)(c) of the Act (prohibition of unlicensed supply of electricity to any premises) to JG Pears Power Limited in respect of supply of electricity to High Marnham Green Energy Business Park. (2) Exemption granted by paragraph (1) of this article applies for the period beginning with the day after the day on which this Order comes into force, and ending on 31st December 2034. (3) Exemption granted by paragraph (1) is subject to the following conditions— (a) JG Pears Power Limited does not hold a supply licence under section 6(1)(d) of the Act; (b) except in circumstances outside its reasonable control, JG Pears Powers Limited must not at any time supply more than 37 megawatts of electricity to High Marnham Green Energy Business Park. (4) In this article— “the Act” means the Electricity Act 1989; “High Marnham Green Energy Business Park” means the business park (including a hydrogen production plant) located at High Marnham, Nottinghamshire, whose entrance is situated at Ordnance Survey map reference SK 808 709; “JG Pears Power Limited” means the company of that name registered in England with company number 09998472.
This section details the specific exemption granted.
It removes the prohibition against unlicensed electricity supply (Section 4(1)(c) of the Electricity Act 1989) for JG Pears Power Limited, allowing them to supply electricity to High Marnham Green Energy Business Park.
This exemption lasts until December 31, 2034, and is subject to conditions, most notably a limit of 37 megawatts of electricity supply.
Definitions for 'the Act,' 'High Marnham Green Energy Business Park,' and 'JG Pears Power Limited' are included for clarity.
Explanatory Note (This note is not part of the Order) This Order grants exemption from the requirement to hold an electricity supply licence. Section 4(1)(c) of the Electricity Act 1989 prohibits the supply of electricity to any premises without a licence. The Secretary of State, exercising the powers under section 5(1) of that Act, grants a time-limited exemption from the requirement to hold a supply licence to JG Pears Power Limited in respect of supply of electricity to High Marnham Green Energy Business Park. A full impact assessment has not been produced for this instrument as it is a temporary measure. No, or no significant, impact on the private, voluntary or public sector is foreseen.
The explanatory note summarizes the order's purpose—providing a temporary exemption from the electricity supply license requirement for JG Pears Power Limited.
It clarifies that the exemption is based on Section 5(1) of the Electricity Act 1989, which allows for such exemptions.
The note also states that a full impact assessment was not conducted because the measure is temporary and no significant impact is expected on the public or private sectors.
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