Ofgem proposes new regulatory framework for network companies
-
- Site Admin
- Posts: 708
- Joined: Wed Mar 09, 2011 2:39 pm [phpBB Debug] PHP Warning: in file [ROOT]/vendor/twig/twig/lib/Twig/Extension/Core.php on line 1266: count(): Parameter must be an array or an object that implements Countable
Ofgem proposes new regulatory framework for network companies
Ofgem says that its proposal "includes a cost of equity range (the amount network companies pay their shareholders) of between 3% and 5%, if we had to set the rates today. This is the lowest rate ever proposed for energy network price controls in Britain."
Oftem estimates its proposals should result in savings of around £15 - £25 per year on a typical dual-fuel household bill, of which network costs account for around £250.
Other measures to be introduced under the new regulatory framework include:
- a five-year price control period instead of the current eight years
- setting up independent user and consumer engagement groups
- wider scope for opening up high value network upgrades to competition
- support for inventors and entrepreneurs in trialling new innovative business models
- measures to ensure that consumers don’t pay for capacity which is not used
- 'failsafe measures' to protect consumers including companies having to share more of the savings they make due to greater efficiency or use of innovation with consumers.
For more information, see:
https://www.ofgem.gov.uk/publications-a ... -companies
Who is online
Users browsing this forum: No registered users and 82 guests