Second Tier projects

As part of the electricity distribution price control arrangements (1 April 2010 to 31 March 2015), we established the Low Carbon Networks (LCN) Fund. The LCN Fund allowed up to £500m of funding to support projects sponsored by the distribution network operators (DNOs). The projects trial new technology, operating and commercial arrangements.

Tier 2 of the LCN Fund provided DNOs with an annual opportunity to compete for funding for the development and demonstration of new technologies, operating and commercial arrangements. It has been replaced by the Electricity Network Innovation Competition (NIC), which is open to all electricity network companies. Funding was provided for the best innovation projects which help all DNOs understand what they need to do to provide environmental benefits, cost reductions and security of supply as Great Britain (GB) moves to a low carbon economy. Up to £64m per annum was available through the LCN Fund.

Information about the Electricity NIC projects awarded funding in 2014 can be found on our Electricity NIC Expert Panel page.

For further information please contact networks.innovation@ofgem.gov.uk.

Publications and updates

  • Published: 14th Jul 2017
  • Open letters and correspondence
  • 1 Associated documents
Low Carbon Networks Fund funding direction

  • Published: 16th May 2016
  • Closed: 6th Jun 2016
  • Consultations and responses
  • 9 Associated documents
This letter is to notify stakeholders of, and seek their views on, the Successful Delivery Reward applications from electricity distribution network operators for their completed Low Carbon Networks Fund innovation projects.

  • Published: 12th Jan 2016
  • Open letters and correspondence
  • 1 Associated documents
Low Carbon Networks Fund funding direction setting out the amounts for Distribution Network Operators to include in their allowed revenue for 2016/17 and the amounts they will transfer to the companies to fund existing projects.

  • Published: 20th Mar 2015
  • Closed: 16th May 2015
  • Consultations and responses
  • 1 Associated documents
Letter seeking views on the level of interest payments received by licensees implementing Low Carbon Networks Fund.

  • Published: 14th Jan 2015
  • Decisions
  • 1 Associated documents
Low Carbon Networks Fund funding direction setting out the amounts for Distribution Network Operators to include in their allowed revenue for 2015/16 and the amounts they will transfer to the companies implementing successful projects.

  • Published: 24th Nov 2014
  • Factsheets
  • 1 Associated documents
This brochure describes the projects we have funded through this year's innovation competitions.

  • Published: 24th Nov 2014
  • Decisions
  • 2 Associated documents
Our decision on which projects we will fund under the 2014 second tier of the Low Carbon Networks Fund.

  • Published: 11th Jun 2014
  • Guidance
  • 4 Associated documents
These are the proforma, spreadsheet and guidance that DNOs should use when completing their Full Submission for the 2014 LCNF competition.

  • Published: 17th Apr 2014
  • Reports and plans
  • 2 Associated documents
Screening submission from UK Power Networks for Kent Active Network Management (KASM).

  • Published: 17th Apr 2014
  • Reports and plans
  • 2 Associated documents
Screening submission from Southern Electric Power Distribution for Low Energy Automated Networks (LEAN).

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