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Equipping the OFTO regime for the future

Publication type:
Consultation
Publication date:
Closing date:
23 March 2026
Status:
Open
Topic:
Offshore electricity transmission
Subtopic:
OFTO tender rounds

Policy proposals to help meet increased demand and maximise participation in the tenders.

Since the first Offshore Transmission Operator (OFTO) licences were granted in 2011, the OFTO market has become increasingly mature and complex. In the first 14 years of the regime, we have licensed 28 OFTOs, worth £10bn, across 9 tender rounds, with a highly competitive cost of capital. 

However, due to the rapid growth of UK offshore wind capacity over the next decade, there is likely to be a significant increase in the number of offshore transmission assets coming forward for tender in the coming years. We have been working to ensure that the regime is fit for purpose, and this consultation puts forward further proposals to help us meet this increased demand and maximise participation in the tenders.  

What we are consulting on

  • allowing bidders to claim reimbursement of costs for their first successful application for Enhanced Pre-Qualification (EPQ) status
  • being able to ‘passport’ the EPQ status across tender rounds
  • including more qualitative elements in bid assessments
  • management of large tender rounds with more than four assets

Who should respond 

People with an interest in offshore transmission, particularly developers, offshore transmission owners, investors and potential bidders. We also welcome responses from other stakeholders and the public.  

How to respond 

We are asking for your feedback on each topic with questions throughout. Please respond as fully as you can and send your response to offshorelicencing@ofgem.gov.uk