Direction under Part B of Special Condition 3.7 (Non-Operational IT Capex Re-opener) of an additional Re-opener application window
Decision
- Publication date
- Industry sector
- Transmission Network
- Licence type
- Electricity Transmission Licence
In April 2021, NGET submitted a Re-opener application in respect of the needs case, option selection and initial costs of its Integrated Energy Management systems (IEMs)/Transmission Network Control Centre (TNCC)/Supervisory Control and Data Acquisition (SCADA) project (the ‘Project’). On 1 September 2021, we consulted on NGET’s Re-opener application and will be making a decision in due course. Further to this, we acknowledged that the costs incurred for the latter stages of the Project remained uncertain at the time of the April 2021 Re-opener application but that greater clarity and certainty should be available towards the end of 2021.
Ofgem had originally issued a direction under paragraph 3.7.5(c) on 29 November 2021 for an application window between 24 and 28 January 2022. Since this was issued NGET have informed us of a delay to finalising their procurement process. To ensure the best quality information is available for the application and to maximise consumer value NGET have requested the application is deferred until 7 March 2022. Ofgem agree that this is in the best interests of consumers and will defer the application window as requested.
On the basis of the above and pursuant to paragraph 3.7.5(c), the Authority hereby directs an additional application window between 7 and 11 March 2022 to enable NGET to apply to the Authority for a direction adjusting the value of the NOITt term in respect of the costs for the next phase of the Project that are within the scope of paragraph 3.7.4. Any application must comply with the requirements set out in Special Condition 3.7.