Response to Distribution Network Operators’ request for relief from the penalty interest, as a consequence of under/over recovery relating to DPCR4 losses incentive mechanism

Correspondence and other

Publication date

Industry sector

Distribution Network

In our recent decision on the DPCR4 losses close-out, we indicated we would consider applications from Distribution Network Operators (DNOs), in relation to any adverse impact or penalty as a result of the effect of the restatement of losses data or the anticipation of the residual losses incentive (PPL values) on allowed revenue under/over recovery positions. This letter sets out our way forward for dealing with DNOs applications.