DCC Operational Performance Regime: Final Proposals

Publication date
17th November 2016
Closing date
12th January 2017
Policy areas

As a monopoly, the Data and Communications Company (DCC) needs incentives, which in the absence of competitive pressure, ensure it delivers an appropriate quality of service to its customers, while also efficiently managing its costs. A key performance incentive in its licence is that DCC’s smart meter-related baseline margin be at risk each Regulatory Year.

Under current arrangements, DCC’s margin is tied to meeting certain Implementation Milestones (IMs). Once the IMs are complete, an Operational Performance Regime (OPR) will take over. We are responsible for developing the OPR, based on the framework provided in the licence.

This document outlines our final proposal on the structure and implementation of the OPR, and associated additional reporting requirements. We will give effect to the OPR by issuing a direction to populate the provisions in the framework. We expect the OPR to be in place by April 2017.

We will issue a final direction early next year confirming the arrangements for the interim regime and reporting requirements in time for April 2017. We have included a draft of the direction as an appendix and welcome feedback on this.

This consultation is the final consultation on the development of the OPR. Please provide your views by 12 January 2017.