OFSI Updates its General Licence on Payments to Energy Companies

04 Nov 2024, 17 mins ago

On 29 October, OFSI amended its General Licence INT/2022/2300292 on Payments to Energy Companies for Gas and/or Electricity (“General Licence”).

OFSI clarified who falls under its definition of a UK Designated Person (UK DP) under the General Licence by specifying that the term includes individuals or entities owned or controlled by a designated person.

Permitted payments under the General Licence now also include utility payments for heating and/or hot water powered by gas or electricity from an external source, such as through a district heating network.

The expanded definition of a UK DP means that individuals and entities owned or controlled by a designated person can no longer make permitted payments to energy companies from accounts outside the UK, as payments under this General Licence are possible only from frozen UK bank accounts. However, the General Licence continues to permit any person to make energy-related payment for or on behalf of a designated person, or for the benefit of a designated person.

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