National Grid Transco Potential sale of gas distribution network businesses: Initial proposals on interim incentive schemes supporting the offtake arrangements

This document sets out Ofgems initial proposals on the scope, form and duration of interim incentive schemes that will be necessary in the event that National Grid Transco plcs (NGT) proposed sale of one or more of its gas distribution network (DN) businesses proceeds. This proposed sale necessitates significant changes to industry arrangements, as more fully described in Ofgems four Regulatory Impact Assessments (RIAs) issued during 2004 and its Final Impact Assessment (Final IA), published in November 2004.