Direction that SLC 13C of the Distribution Licence ceases to exist for Scottish Hydro Electric Power Distribution Plc (SHEPD)

Publication date
20th May 2016
Information types
Policy areas

This Direction corrects the inadvertent omission of Scottish Hydro Electric Power Distribution Plc (SHEPD) from the list of Licensees in our Direction turning off SLC13C for all Distribution Network Operators which was published on 4 April 2016.

Standard licence condition (SLC) 13C of the Distribution Licence sets out restrictions on the recovery of Reinforcement Costs arising in respect of Relevant Customers, and the Licensee’s ability to recover these Reinforcement Costs from Relevant Customers.

Part C of SLC13C provides that Ofgem may issue a direction so that the condition ceases to have effect, once we are satisfied that the Licensee’s Connection Charging Methodology has been modified accordingly.

In March 2015 we approved a modification to the Common Connection Charging Methodology (CCCM) contained in Schedule 22 of the Distribution Connection Use of System Agreement (DCUSA). The modification effects the requirements of SLC13C in DCUSA version 7.2 (effective from 1 April 2015). The CCCM is part of a Distribution Service Provider’s approved Connection Charging Methodology. 

For the avoidance of doubt please note that SLC13C will continue to have effect for all other Distribution Licensees (e.g. Independent Distribution Network Operators) until directed otherwise.