Electricity generator levy technical note
The government is introducing a tax on the extraordinary returns of electricity generators resulting from the spike in gas prices driven by Russia’s weaponisation of gas supplies.
On the 17th of November the Government published a technical note which set out the operation of the Electricity Generator Levy, and the plans for discussion with the industry before its introduction on 1 January 2023.
The Government has been engaging with generators on implementing the Electricity Generator Levy and has published a supplementary technical note.
This supplementary technical note accompanies the publication of draft legislation that gives the new levy effect. It replaces the original technical note and brings together confirmation of the policy where this remains the same as previously announced, as well as giving updates where the approach has been further developed or where there have been changes.
The legislation, explanatory notes and tax information and impact note are available here Electricity Generator Levy - GOV.UK (www.gov.uk)