Modifications to the ET1 & GTD1 PCFMs to account for the London medium pressure refund and the National Grid voluntary allowance deferral

Publication date
4th August 2017
Information types
Policy areas

On 04 July 2017, we published a Statutory Consultation  on the modifications needed to the RIIO-ET1 and RIIO-GD1 Price Control Financial Models (PCFMs) to implement our decisions to:

  • Accept National Grid Electricity Transmission’s offer to defer voluntarily a total of £480m of its allowances with respect to non-variant load and asset replacement expenditures.
  • Accept Cadent’s offer to refund consumers £53.9 million for work to replace medium pressure iron mains in central London, which Cadent has partly delayed to future price controls. This decision was made as part of our Mid Period Review Parallel work process.

We have now consulted and decided on the modifications needed to the Price Control Financial Models (PCFMs) to implement the MPR Parallel Work decision, with respect to the LMP decision, and the NGET deferral. Individual PCFMs are published on their respective pages.

Please note that these models are not the final PCFM for use in the 2017 AIP, which will be published during September.