Promoting sustainability

Mae’r dudalen yma ar gael yn Gymraeg.

When promoting sustainability, our principal objective is to look after the interests of consumers. This includes reducing greenhouse gas emissions and, more generally, contributing to the achievement of sustainable development while taking note of government guidance on social and environmental matters.

Energy companies have a vital role in facilitating the transition to a low carbon economy. Our work in promoting sustainability includes initiatives to:

  • protect vulnerable consumers
  • promote energy saving and demand side response
  • support improvements in all aspects of the environment.

EU and UK targets for curbing greenhouse gas emissions and increasing renewable power provide the overall policy direction for the energy sector. With this as our guiding beacon, we focus on the challenges faced by the transmission and distribution companies that we regulate.

For example, as part of the current electricity distribution price control mechanism that runs to 31 March 2015, we established the Low Carbon Networks Fund. This provides support for Distribution Network Operators’ projects to try out ways to address the challenges they face in moving to a low carbon economy.

Similarly, as part of our RIIO price controls , we will introduce annual Network Innovation Competitions for electricity transmission (£30m pa) and gas transmission and distribution (£20m pa) for them to address the challenges they face in moving to a low carbon economy.

Furthermore, over the coming year, we will continue to develop our Smarter Markets Programme and our approach to smart grids.

We monitor progress on a range of sustainable development indicators, such as carbon emissions, which you can view in Sustainability reporting: interactive data application.

The Innovation Link

If you have a new business proposition, Ofgem’s Innovation Link offers a ‘one stop shop’ for support on energy regulation and what it might mean for you.

You can find out more on the The Innovation Link web page.

Publications and updates

  • Published: 7th Dec 2016
  • Reports & plans
  • 1 Associated documents
This report provides an overview of Ofgem’s work to facilitate innovations that are in consumers’ interests.

  • Published: 2nd Dec 2016
  • Decisions
  • 1 Associated documents
Our decision on the Environmental Discretionary Reward (EDR) scheme for the 2015-16 scheme year of the RIIO-T1 price control period.

  • Published: 14th Nov 2016
  • Reports & plans
  • 1 Associated documents
This paper is the second in our series of “Future Insights” publications and outlines the key challenges involved with the decarbonisation of heat.

  • Published: 11th Oct 2016
  • Reports & plans
  • 1 Associated documents
In this paper, we outline emerging thinking on the types of changes we may see in the energy sector and the potential challenges for Ofgem.

  • Published: 23rd Mar 2016
  • Open letters & correspondence
  • 1 Associated documents
We are initiating a new process of horizon scanning to help us identify and understand the impacts of energy system change on consumers and regulation. This will help us set our future priorities. We need your help to do this.

  • Published: 13th Nov 2015
  • Decisions
  • 1 Associated documents
The Environmental Discretionary Reward (EDR) is designed to encourage and recognise good environmental performance from the three companies who own the electricity transmission networks. We are pleased to announce the first award under the scheme.

  • Published: 1st Oct 2015
  • Agendas, minutes and presentations
  • 5 Associated documents
In February 2015, we published a discussion paper on ‘Non-traditional business models: Supporting transformative change in the energy market’. We are hosting workshops in London and Glasgow where we hope to discuss your views on this subject.

  • Published: 1st Apr 2015
  • Decisions
  • 1 Associated documents
In 2014 we consulted on proposed revisions to the 2009 operating guidance for implementation of Standard Licence Condition (SLC) 11.3. This Licence Condition is often referred to as ‘Licence Lite’.

  • Published: 1st Apr 2015
  • Guidance
  • 1 Associated documents
Guidance on Licence Lite, a way to apply for a licence to supply electricity and to get a direction which will relieve you from your obligation to directly fulfil Standard Licence Condition (SLC) 11.2.

  • Published: 17th Mar 2015
  • Decisions
  • 0 Associated documents
Direction in relation to the RIIO- T1 Electricity Transmission Price Control – Environmental Discretionary Reward Guidance. This revised guidance comes into effect from 16 March 2015.