Ofgem has formally decided to impose nearly £10m in fines SSE Generation (SSE) for breaching its Generation Licence.
The final decision to impose the £9.78m financial penalty was published this morning confirming the penalty will be paid to Ofgem’s voluntary redress fund after the regulator found that SSE had secured excessive payments from the Electricity System Operator (ESO) during “transmission constraint” periods.
In June, Ofgem announced its intention to impose this penalty and today’s decision finalises this compliance activity.
SSE Generation will be expected to pay the sum in full no later than Tuesday 5 September.
Cathryn Scott, Director of Enforcement and Emerging Issues at Ofgem, said: “Protecting consumers is a priority for Ofgem and we will continue to monitor the wholesale energy markets in Great Britain and ensure their integrity on behalf of energy users.
“This enforcement action sends another strong signal to all generators that they must put in place controls to ensure that their bid prices are set in a way that ensures that they do not obtain excessive benefits during transmission constraint periods.
“If they fail to do so, they will face significant consequences.”