The Electricity and Gas (Energy Company Obligation) Order 2023

• (i) article 49(b) makes a correction as to how references to the person that promoted the measure are to be interpreted in the 2022 Order following approval of an application to transfer the measure;

• (j) article 50 contains saving provisions.

A full impact assessment of the effect that this instrument will have on the costs of business and the public sector has been published and is available at www.legislation.gov.uk. Hard copies of the impact assessment can be obtained from the Energy Company Obligation Team, Department for Energy Security and Net Zero, 1 Victoria Street, London SW1H 0ET.

Footnotes

[^f00001]: 1986 c. 44. Section 33BD was inserted by section 68 of the Energy Act 2011 (c. 16).

[^f00002]: 1989 c. 29. Section 41B was inserted by section 69 of the Energy Act 2011.

[^f00003]: 2000 c. 27. Section 103A was inserted by section 70 of the Energy Act 2011 and amended by section 60 of the Scotland Act 2016 (c. 11) and S.I. 2014/631 and 2022/34.

[^f00004]: Notwithstanding section 33BDA of the Gas Act 1986 and section 41BA of the Electricity Act 1989, as inserted by section 59 of the Scotland Act 2016, the Secretary of State may, by virtue of section 33BDA(10) of the Gas Act 1986 and section 41BA(10) of the Electricity Act 1989, make provision under section 33BD of the Gas Act 1986 and section 41B of the Electricity Act 1989 for the purposes of obligations imposed under those sections in relation to Scotland, with the agreement of the Scottish Ministers.

[^f00005]: Section 33BC was inserted by section 99 of the Utilities Act 2000 (c. 27) and amended by section 15 of, and the Schedule to, the Climate Change and Sustainable Energy Act 2006 (c. 19), Schedule 8 to the Climate Change Act 2008 (c. 27), section 66 of the Energy Act 2011 (c. 16) and S.I. 2014/631 and 2022/34.

[^f00006]: Section 41A was inserted by section 70 of the Utilities Act 2000 and amended by section 16 of, and the Schedule to, the Climate Change and Sustainable Energy Act 2006, Schedule 8 to the Climate Change Act 2008, section 67 of, and Schedule 1 to, the Energy Act 2011 and S.I. 2014/631 and 2022/34.

[^f00007]: S.I. 2022/875.

[^f00008]: S.I. 2015/962. Amended by S.I. 2016/660, 2019/595 and 2022/907.

[^f00009]: 2006 c. 46.

[^f00010]: Section 6 was substituted by section 30 of the Utilities Act 2000 (c. 27) and amended by section 89(3) of the Energy Act 2004 (c. 20) and S.I. 2011/2704. There are other amendments which are not relevant.

[^f00011]: Section 7A was inserted by section 6(1) of the Gas Act 1995 (c. 45) and amended by section 3(2) of, and Schedule 6 to, the Utilities Act 2000. There are other amendments which are not relevant.

[^f00013]: See section 33BD(1) of the Gas Act 1986 and section 41B(1) of the Electricity Act 1989 for the definition of “home-heating cost reduction obligation”. Subject to article 34, a participant’s home-heating cost reduction obligation for an ECO4A phase is the amount determined for the participant under article 6(1).

[^f00014]: The Government’s Standard Assessment Procedure for Energy Rating of Dwellings (2012 Edition, version 9.92). Copies can be accessed at https://www.bre.co.uk/filelibrary/SAP/2012/SAP-2012_9-92.pdf. A copy can be inspected by contacting the Energy Company Obligation Team at the Department for Energy Security and Net Zero, 1 Victoria Street, London SW1H 0ET.

[^f00015]: The Administrator is the Gas and Electricity Markets Authority. See sections 33BD(2)(a) and 66 of the Gas Act 1986 and sections 41B(2)(a) and 111 of the Electricity Act 1989.

[^f00016]: See section 33BD(2)(b) of the Gas Act 1986 and section 41B(2)(b) of the Electricity Act 1989 for the definition of “home-heating cost reduction target”. Section 103A(1) of the Utilities Act 2000 provides for the specification of an overall target.

[^f00017]: 1992 c. 14.

[^f00018]: S.I. 1987/1968. Paragraph 6 of Schedule 9 was amended by S.I. 1991/2284, 1992/2595, 1996/1460, 1999/3178, 2002/3019, 2003/492, 2006/2377, 2013/443, 2021/456 and 2023/232.

[^f00019]: S.I. 2010/2214. See regulation 2(1). There are amending instruments but none are relevant.

[^f00020]: S.S.I. 2004/406. See regulation 2(1). There are amending instruments but none are relevant.

[^f00021]: S.I. 2018/1183, amended by S.I. 2019/1441 and 2019/1458.

[^f00022]: 1986 c. 44. Section 30O was inserted by paragraph 1 of Schedule 14 to the Energy Act 2013 (c. 32).

[^f00023]: 1989 c. 29. Section 27O was inserted by paragraph 2 of Schedule 14 to the Energy Act 2013.

[^f00024]: Sections 25 to 28 of the Electricity Act 1989 and sections 28 to 30O of the Gas Act 1986 provide for the enforcement of relevant requirements by the Gas and Electricity Markets Authority.

[^f00025]: 2008 c. 32. Section 100(4) is amended by S.I. 2011/2195.

[^f00026]: Published as Appendix S of the Government’s Standard Assessment Procedure for Energy Rating of Dwellings (2012 Edition, version 9.92). Copies can be accessed at https://www.bre.co.uk/filelibrary/SAP/2012/SAP-2012_9-92.pdf. A copy can be inspected by contacting the Energy Company Obligation Team at the Department for Energy Security and Net Zero, 1 Victoria Street, London SW1H 0ET.

Editorial notes

[^key-9f5ac3f85a4e98fce70b6da54470a2d7]: Art. 1 in force at 25.7.2023, see art. 1(2)

[^key-f97964d8c108bb4a071779a930d3c9d1]: Art. 2 in force at 25.7.2023, see art. 1(2)

[^key-aebe79424376e7d468a5d06e4843bc4e]: Art. 3 in force at 25.7.2023, see art. 1(2)

[^key-48e33eeedb9c9e5bd0cd67ead918a388]: Art. 4 in force at 25.7.2023, see art. 1(2)

[^key-34a044fc17104da4cf00c9a14095b58a]: Art. 5 in force at 25.7.2023, see art. 1(2)

[^key-29e0057434a461d2f40cefc64122bfcf]: Art. 6 in force at 25.7.2023, see art. 1(2)

[^key-80c016482e5f846d844d59b5519ec389]: Art. 7 in force at 25.7.2023, see art. 1(2)

[^key-64d265e3c3018fbdeaca1be8540368b9]: Art. 8 in force at 25.7.2023, see art. 1(2)

[^key-003ba51fdf53cb00d3ca5a77c6ae5425]: Art. 9 in force at 25.7.2023, see art. 1(2)

[^key-8e763da8799717a7707ed653d757a076]: Art. 10 in force at 25.7.2023, see art. 1(2)

[^key-f3436b4775beb53d76ffcd50084ff5a4]: Art. 11 in force at 25.7.2023, see art. 1(2)

[^key-666184a1e356f3906d104250bb823f06]: Art. 12 in force at 25.7.2023, see art. 1(2)

[^key-f04524d810ff9beee57df8e219041604]: Art. 13 in force at 25.7.2023, see art. 1(2)

[^key-199e2fc0d6a528f2e2846bd07c5a9c53]: Art. 14 in force at 25.7.2023, see art. 1(2)

[^key-c63fdb63a1ef49900ce218fb53badca1]: Art. 15 in force at 25.7.2023, see art. 1(2)

[^key-9c1808b070a8d4699227e17ab216d8e2]: Art. 16 in force at 25.7.2023, see art. 1(2)

[^key-0a55e6b5b3ab269efaa49af1da6edf93]: Art. 17 in force at 25.7.2023, see art. 1(2)

[^key-f12700470b1e64982f2719d03c56a0a3]: Art. 18 in force at 25.7.2023, see art. 1(2)

[^key-6533b27c230940a65e0ab1f57d138d25]: Art. 19 in force at 25.7.2023, see art. 1(2)

[^key-94db9d9d5ffa96ec74934a54b1693352]: Art. 20 in force at 25.7.2023, see art. 1(2)

[^key-2a853933fd74ee926aaefe26a57680f6]: Art. 21 in force at 25.7.2023, see art. 1(2)

[^key-e13d05ff9db816049c253430222a6b56]: Art. 22 in force at 25.7.2023, see art. 1(2)

[^key-4a44645ec50c9594c2c87a6e707c7a76]: Art. 23 in force at 25.7.2023, see art. 1(2)

[^key-1dffb40a102d28a20fced7a9b329cd75]: Art. 24 in force at 25.7.2023, see art. 1(2)

[^key-6a2c8c76bbd29dcf7fb83511815a2070]: Art. 25 in force at 25.7.2023, see art. 1(2)

[^key-32fd661cac48a07673c986a6e52d2a09]: Art. 26 in force at 25.7.2023, see art. 1(2)

[^key-9420990faaf6717cfe7813e831f2b2b1]: Art. 27 in force at 25.7.2023, see art. 1(2)

[^key-daf0351387a0bf3aa6500a770ec571dd]: Art. 28 in force at 25.7.2023, see art. 1(2)

[^key-c0c6250663e11cda083294e92de2c3b0]: Art. 29 in force at 25.7.2023, see art. 1(2)

[^key-65dd3853e0f8ab5a8a214d118b2f1606]: Art. 30 in force at 25.7.2023, see art. 1(2)

[^key-bd5a6e619aba383e376793f150bcdc71]: Art. 31 in force at 25.7.2023, see art. 1(2)

[^key-13238105f31681384e4835fedb2fdd71]: Art. 32 in force at 25.7.2023, see art. 1(2)

[^key-d8f68504df7dc03d533c6c59cbb7b412]: Art. 33 in force at 25.7.2023, see art. 1(2)

[^key-071e2b3026aac54fec84238be6561a1b]: Art. 34 in force at 25.7.2023, see art. 1(2)

[^key-8212a359161cfe35b0f5300d4698babd]: Art. 35 in force at 25.7.2023, see art. 1(2)

[^key-335fed573a27f9d648578e183a4de913]: Art. 36 in force at 25.7.2023, see art. 1(2)

[^key-5b18a125c417230909a13b4dd3e91bb3]: Art. 37 in force at 25.7.2023, see art. 1(2)

[^key-ee0339b59eaa7d9bc9942afc257b588f]: Art. 38 in force at 25.7.2023, see art. 1(2)

[^key-6c800b80fb194572774c4632cf6b2d27]: Art. 39 in force at 14.8.2023, see art. 1(3)

[^key-76108cda640cdfe29517eca413ed9a76]: Art. 40 in force at 14.8.2023, see art. 1(3)

[^key-65d324281471f0973b8d860e6e2d04ec]: Art. 41 in force at 14.8.2023, see art. 1(3)

[^key-4984d12728bcf51f6616dd6f1feca1c8]: Art. 42 in force at 14.8.2023, see art. 1(3)

[^key-44718f946ebaafc409781f37d73d0fe7]: Art. 43 in force at 14.8.2023, see art. 1(3)

[^key-132d8572198464db32c623dded0cb371]: Art. 44 in force at 14.8.2023, see art. 1(3)

[^key-835154b1f0b4dbd4a7b78ac8b6c4844f]: Art. 45 in force at 14.8.2023, see art. 1(3)

[^key-8fb3cf0aad97c25e68a9ac0d53b78c88]: Art. 46 in force at 14.8.2023, see art. 1(3)

[^key-162c3493a3d51dd160fb2e005379fbb5]: Art. 47 in force at 14.8.2023, see art. 1(3)

[^key-3610a10a4738a467edb1237633cc4e31]: Art. 48 in force at 14.8.2023, see art. 1(3)

[^key-c46689741da5d2b71170cac1c48cdf1e]: Art. 49 in force at 14.8.2023, see art. 1(3)

[^key-9c3412358b0da412f9c96b819a8e17a9]: Art. 50 in force at 14.8.2023, see art. 1(3)

[^key-b044b8cdafea3c72436f7e0ee81facb6]: Art. 34A inserted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 7(2) (with art. 7(3))

[^key-51d5e5107720a1ee4355f6f22b085438]: Art. A35 inserted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 12(d)

[^key-7aa69a6b614312ce7718fbed0efb83a9]: Art. 32A inserted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 14(1)(b) (with art. 14(2))

[^key-72d5d245e37c2a02a4611b986ca66ec3]: Pt. 9 heading substituted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 12(c)

[^key-3ce591bc50057c3e42e95a835ad6d19b]: Art. 9(2) substituted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 12(a)(i)

[^key-35588aea2a89fa5bbe056198830c5548]: Art. 9(5) substituted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 12(a)(ii)

[^key-106106caaa4277270bf206c3dca381a1]: Art. 22(1A)-(1C) inserted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 13(1)(a)(ii) (with art. 13(2))

[^key-9bad51d79acd4e0d1ad5cbf39539b13c]: Art. 22(1)(aa) inserted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 6(2) (with art. 6(3))

[^key-51e6ba1ecd8f657cd3d94361912054a5]: Art. 22(1)(c) substituted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 13(1)(a)(i) (with art. 13(2))

[^key-7fea4d1b8d50b77c5509df4f02a7c54d]: Art. 22(2) omitted (1.8.2025) by virtue of The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 13(1)(a)(iii) (with art. 13(2))

[^key-b09b4ba6d4426155ff512b1dc625824c]: Art. 23(a) substituted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 13(1)(b) (with art. 13(2))

[^key-82cd5cb3d1fb09c5c80770903d733798]: Art. 24(1)(1A) substituted for art. 24(1) (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 5(2) (with art. 5(3))

[^key-5066f9b0b7aa42257fe89d87068d95c4]: Art. 29(5) inserted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 12(b)

[^key-f3052be7bfad55fa63ecdbab96e8f203]: Art. 30(3) substituted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 4(2) (with art. 4(4))

[^key-f97e3e36ffcdbc91d6a4211fe4189f9b]: Art. 32(5A) inserted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 14(1)(a) (with art. 14(2))

[^key-d67222afc6b54511075eed4fad7da172]: Art. 33(1A) inserted (1.8.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 (S.I. 2025/941), arts. 1(2), 13(1)(c) (with art. 13(2))

[^M_F_b760dc20-8e8d-489b-a14a-575d887d2a1e]: Words in art. 2(2) substituted (29.7.2025) by The Electricity and Gas (Energy Company Obligation) (Amendment, Saving and Transitional Provisions) Order 2025 (S.I. 2025/802), arts. 1(2), 10 (with art. 11)

Methodology for scoring smart thermostats

32A

• (1) This article applies to an ECO4A qualifying action for which—

• (a) there is no methodology for determining annual cost savings in the Standard Assessment Procedure for Energy Rating of Dwellings (2012 Edition, version 9.92); and

• (b) there is a methodology for determining annual cost savings in the Standard Assessment Procedure for Energy Rating of Dwellings (2023 Edition, version 10.2).

• (2) Before the end of the 6 week period beginning with the day on which the Electricity and Gas (Energy Company Obligation) (Amendment) Order 2025 comes into force, the Administrator must publish, on its website, a methodology for the purposes of determining the annual cost savings of the qualifying action.

• (3) The publication must state that the methodology has effect from 14th November 2024.

• (4) Before publishing a methodology under this article, the Administrator must have regard to the Standard Assessment Procedure for Energy Rating of Dwellings (2023 Edition, version 10.2).

• (5) On or before 30th June 2026, the Administrator may revise any methodology published under this article by publishing the revised methodology on its website.

Reassignment of ECO4 savings to the ECO4A scheme

34A

• (1) This article applies to a participant who is also an ECO4 participant.

• (2) A participant may apply to the Administrator for an amount of the participant’s annual cost savings from ECO4 qualifying actions to be reassigned so as to be contributed towards the achievement of—

• (a) the participant’s total home-heating cost reduction obligation;

• (b) the participant’s total low-income minimum requirement,

(“relevant ECO4A obligations”).

• (3) A reassignment approved under this article is subject to the following conversion—

• Step 1Take the amount of the participant’s annual cost savings from ECO4 qualifying actions to be reassigned

• Step 2Multiply the amount taken at step 1 by 1.251

(In this article “converted” means converted in accordance with this paragraph.)

• (4) “ECO4 qualifying action” means a qualifying action within the meaning of article 11(1) of the 2022 Order.

• (5) An application may not be made to reassign an amount which, as converted, exceeds 75% of the participant’s total home-heating cost reduction obligation.

• (6) An application under paragraph (2) must—

• (a) be made, in writing, on or before 31st July 2026;

• (b) state the amount of annual cost savings proposed to be reassigned;

• (c) state the amount, as converted, proposed to be contributed towards the achievement of the participant’s relevant ECO4A obligations; and

• (d) include such other information as the Administrator may require.

• (7) The Administrator must reject the application if the requirements in paragraphs (2) to (6) are not met.

• (8) If the Administrator rejects the application, it must notify in writing the participant of the rejection and of any reasons for that decision.

• (9) If the Administrator approves the application—

• (a) for the purposes of articles 9(1), (2) and (5)(c) and 35(1)(a) and (b) (so far as it relates to article 9(5)(c)) the amount set out in accordance with paragraph (6)(c) is contributed towards the achievement of the participant’s relevant ECO4A obligations; and

• (b) the Administrator must notify the participant in writing of the matters mentioned in paragraph (10).

• (10) The matters are—

• (a) the amount mentioned in paragraph (6)(b) and the consequence that this will no longer contribute towards the achievement of the participant’s obligations under the 2022 Order in accordance with article 82A of that Order;

• (b) the amount mentioned in paragraph (6)(c) and the consequence that this will contribute towards the achievement of the participant’s relevant ECO4A obligations; and

• (c) the date on which the application was approved.

Overall amounts for purposes of determining total obligations

A35

• (1) This article makes provision for the determination of overall amounts for the purposes of determining whether a participant has achieved its—

• (a) total home-heating cost reduction obligation under article 35(1)(a) (see paragraphs (2) to (5)); and

• (b) total low-income minimum requirement under article 35(1)(b) (see paragraphs (6) to (8)).

• (2) Before its final determination under article 35(1)(a), the Administrator must convert the sum of a participant’s scores in accordance with the following steps.

• Step 1Obtain the sum of all the participant’s scores (“A”)

• Step 2Multiply the participant’s total home-heating cost reduction obligation by 0.25 to get an amount (“B”)

• Step 3Subtract B from A to get a further amount (“C”) (where C is a negative number take E at step 5 to be A and go to paragraph (3))

• Step 4Multiply C by 1.716 to get an amount (“D”)

• Step 5Add D to B to get an amount (“E”)

• (3) In step 1 in paragraph (2) “scores” includes any scores for measures transferred to the participant under article 33.

• (4) E must be added to any amount, as converted, which is reassigned by the participant under article 34A to obtain an overall amount (“F”).

• (5) F is the overall amount used for the purposes of determining whether the participant has achieved its total home-heating cost reduction obligation under article 35(1)(a).

• (6) Before its final determination under article 35(1)(b) (so far as it relates to article 9(5)(c)), the administrator must take the following steps.

• Step 1Obtain the sum of all the participant’s scores for low-income qualifying actions (“G”)

• Step 2Add G to any amount, as converted, which is reassigned by the participant under article 34A to get an amount (“H”)

• (7) In step 1 in paragraph (6) “scores” includes any scores for low-income qualifying actions transferred to the participant under article 33.

• (8) H is the overall amount used for the purposes of determining whether the participant has achieved its total low-income minimum requirement under article 35(1)(b).

Final determination and reporting

Information from participants

Declaration verification service

Enforcement