Ofgem has reviewed the price controls for the four electricity and gas transmission companies which own Britain’s high-voltage national networks and the national gas pipeline. These are:
• National Grid Electricity Transmission (NGET);
• National Grid Gas NTS (National Transmission System);
• Scottish Power Transmission Limited (SPTL); and
• Scottish Hydro-Electric Transmission Limited (SHETL).
The companies have all accepted the price control and it will take effect from April 2007 and run to March 2012.
Key Features of TPCR4 include:
- more than £5 billion authorised for investment in Britain's electricity and gas transmission systems;
- investment to maintain the networks' high levels of performance and reliability;
- post-tax rate of return on capital of 4.4 per cent (post-tax real) to attract new investment; and
- safety net to protect customers if companies under-invest.
For further details take a look at the page on TPCR4.