Tuesday 28th of August 2018 | Posted In: Renewable energy, Generating energy

Ofgem audits: Dealing with non-compliance

With Ofgem audits on the increase, many of our clients are receiving notification and this can be daunting. This is the second part of a three-part Ofgem audit series, in which we will cover the non- compliance notice, the submission of evidence and review and amendments of the application. The first blog covered what happened on the day of the audit and when you can expect to receive the results, you can read it here.

Non-Compliance Notice Received

Following the Closure Letter, if there were observations constituting non-compliance, you will receive a Non-Compliance Notice letter. This will detail the non-compliances in relation to the section of the Renewable Heat Incentive (RHI) regulations deemed to have been breached. There will be a ‘What happens next?’ section, which details the work/evidence required to be undertaken in order to cover the non-compliances. From the date of this letter, there is a very short time of 30 days given for the return of all requested evidence, in some circumstances Ofgem may provide an extension of an additional 30 days. There will also be a section of the letter suggesting what to do in the future to remain compliant.

Submission of Evidence and Review

Irrespective of whether you have posted or emailed the evidence, the review will be undertaken by Ofgem’s Compliance team. Initially, if insufficient evidence was provided, there will be some dialogue and allowance for additional evidence to be submitted. Ultimately, it is on the applicant to prove without a doubt that they have met the eligibility criteria and their ongoing obligations.

Amendment to Application

If the non-compliances require a change to the RHI application, then a formal amendment will have to be made to the online application. This will be processed by a separate department from the compliance team within Ofgem and can take several months to approve, with additional information often being required.

Stay tuned for my next blog that will cover the next steps:

  • Closure notice received
  • Input data to claim for historic periodic support payments

If you would like to take the stress out of dealing with your RHI Audit Response then contact us on 024 7669 8899. We can thoroughly discuss every step of the process and give sound, impartial advice on evidencing and remaining compliant. Alternatively, if you’re yet to have an audit and want some reassurance of your system and records being compliant, why not enquire about our Health Check service?