Reform of electricity network access and forward-looking charges: a working paper

Publication date
6th November 2017
Information types
Policy areas

Current and likely future trends in the energy system will transform how we use the electricity networks. At the same time smart technologies and new, innovative business models offers opportunities to adjust demand and supply at times and places where network capacity is limited. It is increasingly important that network capacity is allocated and used in a way which reduces the potential costs to consumers as a whole.

Our ‘Strategy for regulating the future energy system’ and our ‘Plan for a Smart, flexible energy system’ (which is joint with government) both describe how providing users with better signals about the costs and benefits they confer on the network at a particular time and place is a priority area to address.

This working paper launches the process by which we plan to address the key regulatory gaps in this area, working in conjunction with industry. We are focusing in this project on options to define more explicitly arrangements for access to the networks, and on the options for improvement to the “forward-looking” elements of network charging.

We are keen to gain a wide range of views to inform this work. We are setting up two taskforces under the new Charging Futures Forum to help develop the options for reform further and will continue to engage with wider stakeholders.