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DCC Review Phase 2: Objectives, operational model and future role of DCC

Publication type:
Consultation
Status:
Closed (with decision)
Publication date:
Last updated:
Closed date:
Topic:
Metering
Subtopic:
Smart meters
Industry sector:
Supply and Retail Market
Licence type:
Smart Meter Communication Licence

Our conclusions in relation to the strategy-setting, objectives, operational model and scope of Authorised Business of DCC under the Successor Licence.

The Data Communications Company (DCC) manages the communications and data transfer service for smart metering. We are reviewing the regulatory arrangements for DCC ahead of the expiry of its Licence due in September 2027 ("DCC review") to design a Successor Licence and appoint a holder of that licence. 

Details of outcome

The decision document below summarises the responses to our June 2025 consultation and outlines our policy conclusions on the areas we sought responses on, including the Successor Licensee’s:  

  • strategy-setting
  • future objectives
  • operational model
  • scope and governance for the evolution of Authorised Business

Read the full outcome

DCC Review Phase 2: Objectives, operational model and future role of DCC conclusions [PDF, 425.46KB]
Consultation responses to DCC Review Phase 2: Objectives, operational model and future role of DCC.zip [ZIP, 2.63MB]

Next steps 

This decision will be followed by a consultation on the draft conditions of the Successor Licence, which will build on our policy conclusions reached across all three workstreams of the DCC review programme set out below. 

Original consultation

Background

In August 2023, the DCC review: Phase 1 Decision concluded the first, scoping phase of our review with a set of key features to form the basis of the design of the new regulatory model.   

Phase 2 of our review has focused on developing these key features into detailed policy proposals to underpin the Successor Licence in three workstreams:   

Governance

In May 2024, we published the DCC Review Phase 2: Governance and Centralised Registration Service arrangements consultation. We published our decision in two parts: 

Cost control

In December 2024, we published the DCC Review Phase 2: Determination of Allowed Revenue consultation, focused on the process for determination of the Successor Licensee’s Allowed Revenue (cost control). 

In May 2025, we published the DCC Review Phase 2: Determination of Allowed Revenue conclusions, followed by underpinning guidance documents:

We also published modifications to the Smart Meter Communication Licence for transition to ex-ante cost control and other changes required for licence closure.  

Future role

We published the 'DCC Review Phase 2: Objectives, operational model and future role of DCC' consultation in June 2025.

Consultation documents

DCC Review Phase 2 - Objectives, operational model and future role of DCC [PDF, 809.26KB]