Proposed methodology for Electricity Bill Discount Scheme cost allowance

Publication type:
Consultation
Publication date:
Closing date:
24 June 2026
Status:
Open
Topic:
Consumer protection,
Energy pricing rules
Subtopic:
Energy price cap

We would like views on adding a new cost allowance into the energy price cap for the cost of the Bill Discount Scheme.

Consultation description

We are proposing a new methodology for a cost allowance in the energy price cap to reflect the costs energy suppliers will incur as a result of the new Bill Discount Scheme.

The scheme is a government scheme that will give ongoing electricity bill discounts to households living near new or significantly upgraded transmission network infrastructure.

Who should respond

We would like views from people with an interest in the energy price cap (default tariff cap) level. We particularly welcome responses from:

  • energy suppliers
  • other interested industry parties
  • consumer groups
  • charities
  • energy bill payers

How to respond

Submit your response by 24 June 2026 by emailing retailpriceregulation@ofgem.gov.uk.

Note: some of the files attached below are not fully accessible. If you require an alternative format, please contact retailpriceregulation@ofgem.gov.uk.