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RIIO-ED2 Network Innovation Allowance (NIA) funding for years 2026 to 27 and 2027 to 28

Content:
Decision
Publication date:
Topic:
Electricity distribution
Energy network price controls
  • ➞ Electricity distribution price control 2023 to 2028 (RIIO-ED2)
Innovation
Industry sector:
Distribution Network
Licence type:
Electricity Distribution Licence

This document confirms our decision to proceed with a detailed assessment before providing additional funding through the Network Innovation Allowance (NIA) to Distribution Network Operators (DNOs) for the final 2 years of RIIO-ED2. We initially provided NIA funding for the first 3 years of RIIO-ED2 and our minded-to position was to provide the same amount of funding on a pro rata basis for the final 2 years of RIIO-ED2. 

Responses to our consultation did not provide the evidence needed to support our minded-to position. We have decided instead that a detailed assessment is needed to determine which DNOs require further funding for the final two years of RIIO-ED2, and how much. 

The document outlines our consultation position, the responses received, our assessment of those responses, and our final decision. Consultation responses can be found before the decision document, providing further context on the considerations that shaped our final position. Non-confidential responses are published alongside this decision.