Establishing a harmonised prioritisation process in the Industry Codes: statutory consultation

Details of outcome

We received 28 responses from stakeholders and carefully considered the feedback received and the potential impact of each decision on the prioritisation process in the industry codes.

We have decided to exercise our powers under schedule 12 to the Act to implement the changes set out in this decision publication to become effective on the 29 May 2026. These powers allow us to modify qualifying documents, for the purposes specified under schedule 12 (2).

The decision document details our decisions in response to stakeholder feedback on our policy proposals, proposed guidance document, and proposed code text changes. It also details our decision for the policy to become effective in the relevant codes from 29 May 2026.

Alongside the decision document, we have also published:

• a modification decision notice
• the related code modification text
• finalised guidance, in a marked-up version
• non-confidential responses to the consultation

Please refer to the code modification prioritisation guidance, which will come into effect from 29 May 2026. This is where any future updates to the guidance will be made.

Our prioritisation policy, code text, and guidance as per this decision will apply to the current code governance framework before code managers are appointed. In our second implementation decision, published on 6 March 2026, we set out our intention to take forward our proposals on how this process would apply after code manager appointment. This process will be subject to future consultation and decision under schedule 12 to the Act.

Read the full outcome

Original consultation

Who should respond 

As these proposals are part of energy code reform, we particularly welcome views from people with an interest in energy code governance. We welcome all responses from other stakeholders and the public. This includes: 

• code administrators 
• code parties 
• central system delivery bodies 
• consumer groups  

Background 

The Act sets out a significant package of reform to the governance of the energy industry codes, including new powers and responsibilities for Ofgem. To implement the Act, existing code governance arrangements must be updated to reflect new roles and responsibilities. Using the transitional powers provided by the Act, we proposed to harmonise the code modification prioritisation processes across all codes, with the aim of facilitating the introduction of the strategic direction statement (SDS) and the transition towards reformed code governance arrangements. 

Our proposals 

We are consulting on the following four policy areas to implement our proposed harmonised prioritisation process: 

1. prioritisation process
2. prioritisation criteria and categories
3. prioritisation governance
4. policy implementation 

We are seeking feedback on these policy areas, as well as on the accompanying guidance in ‘Annex A: Proposed Authority guidance on code modification prioritisation’, and our proposed code text changes in annexes B to L.   

We are also publishing a notice document alongside this consultation that sets out the transitional powers that we propose to use to make these changes, and our proposed basis for using them.