Consultation on additional Network Innovation Allowance funding for National Gas Transmission
Consultation
- Upcoming
- Open
- Closed (awaiting decision)
- Closed (with decision)
- Publication date
- Closing date
- Company
- National Gas Transmission plc
- Industry sector
- Transmission Network
- Licence type
- Gas Transporter Licence
We are consulting on a proposal to direct an extension of the Network Innovation Allowance (NIA) to National Grid Transmission (NGT) for their hydrogen innovation projects via the Hydrogen Innovation Funding (HYINt) mechanism found in Special Condition (SpC) 5.2 of NGT’s Gas Transporter Licence.
Who should respond
We would like views from gas network transmission companies along with those that have an interest in gas transmission and distribution networks, and the adaptability of these for hydrogen.
Background
The NIA is funding available to fund innovation relating to support for consumers in vulnerable situations and/or the energy system transition.
At RIIO-2 Final Determinations we recognised that in the gas sector, there was uncertainty around the extent to which gas networks may, in the future, have in the role of transporting hydrogen and the extent of innovation activity needed to support this. We therefore introduced Part B “Hydrogen Innovation Funding (HYINt)” of SpC 5.2 to the Gas Transporter Licence, to allow Ofgem to direct additional NIA funding for hydrogen innovation activities during RIIO-2 subject to the conditions set out in the licence being met.
The additional funding requested by NGT would cover the development of the hydrogen safety case which would contribute to being able to repurpose the National Transmission System for hydrogen.
See the latest version of the RIIO-2 NIA Governance Document
Why your views matter
Your responses will help us to inform our final decision.
How to respond
Send your response to networks.innovation@ofgem.gov.uk. This consultation closes for responses on Friday 4 April 2025.