Energy regular Ofgem has banned one of Berangere’s generating units from taking part in Capacity Market auctions for two years after the company provided “inaccurate information”.

The watchdog said: “Ofgem found that Berangere, which secured contracts for three generating units, did not have planning consent for one of these units when it applied for the Capacity Auction.

“Adret secured contracts for two generating units, for which it had supplied correct information.

“However it falsely claimed that it had planning consent for another unit which failed to win an agreement in the capacity auction.”

Agreement terminated

Ofgem added: “Because of the failings of these companies, Berangere has had its capacity agreement terminated for the generating unit it did not have planning consent for, and will be disqualified from entering the unit into the capacity auction for the next two years.”

Both Adret and Berangere are now both subsidiaries of GF Energy.

The regulator has now changed the rules for the Capacity Market so that bidders must now prove to National Grid that they have planning permission for their generating units.

Separately, Ofgem is requiring npower to pay £26m as a consumer redress package, following the supplier’s billing and complaint handling failings. The money will be divided between some of the worst affected customers and charity.

Ofgem has also agreed targets with npower for it to further improve its billing and complaints handling. If npower fails to meet these targets, it will stop proactive domestic sales activity and advertising until all are met.

> See Ofgem's statement