The Electricity (Guernsey) Law, 2001 defines the three activities that constitute the electricity supply chain under the current legislative framework. These comprise
- the generation of electricity
- the conveyance of electricity across predominantly the high voltage network and
- the supply of electricity through the low voltage network directly to homes and business
Guernsey Electricity (GEL) currently has a 15-year generation licence, without exclusivity, that expires on 31 January 2027. GEL has never enjoyed an exclusive licence for generation, indeed there are others on the Island with a licence to generate.
With regard to our conveyance and supply licences, these were also issued for 15 years on an exclusive basis for the first 10 years. It is therefore correct that we lose exclusive rights to supply and convey on 31 January 2022, for the remaining five years of the licence.
Energy Policy, which was approved in 2020, sets out the Island’s aspirations, and within this GEL has a responsibility to provide a secure and reliable supply of electricity for the Island, with appropriate back-up or standby measures that ensure energy security.
The policy propositions also deal specifically with the continuity of current licencing arrangements if a revised framework as outlined in the policy is not in place before the expiry dates. Any revised licencing framework, which would follow a technical consultation, is focused on creating targeted competition to support on-Island (including offshore) renewable energy generation.