High-capacity, low-utilisation standing charges: minded-to position
- Publication type:
- Consultation
- Publication date:
- Closing date:
- 11 December 2026
- Topic:
- Electricity distribution,
- Energy codes
- Subtopic:
- Distribution connection and use of system agreement (DCUSA)
Initial assessment of a proposal to reduce standing charges for occasional and intensive business users.
Consultation description
Ofgem is consulting on its minded-to decision to reject Distribution Connection and Use of System Agreement (DCUSA) Change Proposal 412 (DCP 412), including the alternative proposals assessed through the code-change process.
DCP 412 would change how certain non-domestic customers with high-capacity connections but low overall electricity use are allocated to residual charging bands. Eligible customers would move to a lower band, reducing their fixed network charges, with the resulting costs redistributed across other users.
The consultation seeks evidence and views on Ofgem's assessment of the proposal against the relevant DCUSA charging objectives, its potential effects on supplier competition and consumers, and the impacts of re-banding on network cost recovery. It aims to test our reasoning, develop the evidence base and support a transparent final decision.
We particularly welcome evidence from affected non-domestic customers, suppliers and network operators on whether the current arrangements create material problems, whether DCP 412 would address them effectively, and whether there are other relevant considerations that should inform our final decision.
Who should respond
- non-domestic customers, including those affected by high standing charge costs relative to consumption
- suppliers
- network operators.
How to respond
Submit your response by 11 December 2026 by emailing duos@ofgem.gov.uk with the subject line “DCP 412 Consultation Response”.