Energy regulator Ofgem has deferred its decision on the cost of equity range for energy networks in the forthcoming RIIO-2 framework until December, but has unveiled a raft of decisions as its new framework begins to take shape.
A range of potential flexibility providers, backed by leading energy trade associations, have called on the government to ensure that the next price controls regime incentivises network companies to procure flexibility rather than carry out reinforcements.
Ofgem could save customers a further £4.1 billion by tightening new price controls set out within RIIO-2, Citizens Advice has said.
Ofgem’s proposals to overhaul forthcoming price controls for network companies will prove to be the “acid test” for its ability to properly regulate the market.
Ofgem has published its proposals for a radical overhaul of how it controls the cost of the UK’s energy networks.