Energy price cap: updating the time-of-use methodology
- Publication type:
- Call for input
- Publication date:
- Closing date:
- 20 November 2026
- Status:
- Open
- Topic:
- Energy pricing rules
- Subtopic:
- Energy price cap
Our case for change and the broad options to update the time-of-use methodology in the price cap.
Call for input description
Market Wide Half Hourly Settlement (MHHS) is an important part to make at least 95% of England, Scotland and Wales’s electricity generation come from clean sources by 2030 by enabling greater levels of consumer-led flexibility. Energy suppliers are incentivised to offer tariffs that pass on more price signals, such as lower prices overnight compared to daytime, to customers and reward them for using energy outside of high-cost periods.
With the MHHS migration well underway, we expect to see greater diversity in costs across customer types and suppliers as adoption of low carbon technologies and time-of-use tariffs changes customer usage behaviour. Given these changes, it is an appropriate time to review the methodology for setting the multi-rate price cap level.
This call for input sets out a case for change, highlighting the challenges in retaining the current methodology and three options that demonstrate the trade-offs for setting a time-of-use approach.
Who should respond
- Energy suppliers
- Energy industry bodies
- Consumer groups
- Charities
- Consumers
How to respond
Submit your response by 20 November 2026 by emailing priceprotectionpolicy@ofgem.gov.uk