The Renewables Obligation, Ofgem’s First Annual Report, February 2004 reported the cuts as follows:

Down-rating of hydro generating stations

5.9    The Orders define a hydro generating station (see paragraph 5.2). They also define a large hydro generating station as being one “which has, or has had at any time since 1 April 2002, a declared net capacity of more than 20 MW”. This provision allowed what would otherwise have been large hydro generating stations to down-rate their declared net capacity (DNC) to 20 MW or below before 1 April 2002 in order to be eligible for accreditation under the Orders. In relation to a hydro generating station, the Orders define DNC as:

“the highest generation of electricity (calculated by adding together the highest generation of electricity at the main terminals of each alternator and dynamo) which, on the assumption that the source of power is available uninterruptedly, can be maintained indefinitely without causing damage to the plant less so much of that electricity as is consumed by the plant”.

5.10    Ofgem is aware that ten stations have taken advantage of this provision and have undertaken activity to ensure that their DNCs were under or at the threshold prior to the statutory deadline of 1 April 2002. The details are provided in the following table:

 
• Dolgarrog was previously treated as one hydro generating station but took action to be treated as two hydro generating stations as per the definition in the Orders.

•• These stations are either only recently accredited or have not yet sought accreditation as, having commissioned prior to 1 January 1990, they would have been required to also renew the main components of the generating stations before they would be eligible for accreditation.

5.11 The capacity that was down-rated equated to 59.21 MW in total. This ranged from 3.62 MW for the down-rating in respect of the Dolgarrog stations together to 13.95 MW for Finlarig. This capacity would have contributed to the Government’s targets for renewable generation. [Emphasis added]

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