One of the key decisions from our Integrated Transmission Planning and Regulation project, was that new, separable and high value onshore transmission assets should be competitively tendered. This is to ensure value for consumers, with potential reduced costs and increased innovation. The successful outcome of a tender would see us grant a licence to a competitively appointed transmission owner (CATO).
The process will build on our offshore transmission regime which grants licences on the basis of competitive tendering. The regime has led to considerable savings for consumers of between £600m and £1.2bn since its implementation in 2009.
We decided early in 2015 to introduce competition for who builds, finances, owns and operates parts of Britain's onshore electricity transmission system. We have been working to develop the policy and supporting documents that will enable us to tender onshore transmission assets, and plan to be able to run the first onshore tender from early 2019.
Our previous consultations and decisions are available in the ‘Publications and updates’ section of this webpage. Stakeholders can also sign up to publication notifications of future consultations on the page of each ‘Upcoming consultation’.
We have also developed a quick reference guide to CATO policy development which covers the key policy proposals we are currently working on, and the policy decisions we have already made.
We are continuing to develop our detailed proposals and documentation for introducing competition into onshore transmission assets and are working with Government to seek legislative change to underpin the new CATO regime. Alongside this, we are monitoring and assessing potential Strategic Wider Works (SWW) projects for their suitability for competition. For a list of potential projects please refer to the NOA or the SWW page on our website.
We are happy to meet with stakeholders to discuss any aspects of implementing competition in onshore electricity transmission. If you would like to organise a meeting, please email us.
We’ll publish updates on our policy and detailed arrangements as they develop, alongside guidance on the tender process, in the publications and updates feed below.
If you can’t find the information you’re looking for, email us.
This page sets out information on the policy and processes around tendering onshore transmission assets. If you're looking for information on other aspects of onshore electricity transmission, please refer to the transmission networks page.