The Electricity Act 1989 prohibits certain activities unless the person or company is licensed or is specifically exempt. The licence allows the licensee to generate electricity for the purpose of giving a supply to a premises or enabling a supply to be given.

Licensees are obliged to comply with the licence conditions for their type of licence from the day the licence is granted. Licensees must also become party to and/or comply with certain industry codes.

The Utility Regulator issues licences, subject to the satisfaction of certain criteria, to those who wish to engage in electricity generation or supply.

Definition

A licence granted pursuant to section 6(1)(a) of the Act, as modified from time to time;

Further information

• Ofgem licences and licence conditions
• Utility Regulator: About electricity licences
• Electricity Act 1989