Statutory consultation on reassessing the wholesale allowance in the first default tariff cap period

Publication date
18th May 2020
Closing date
26th June 2020
Policy areas
Status

In November 2019, the High Court concluded that Ofgem should reconsider the wholesale allowance for the first cap period of the default tariff cap.

We published a policy consultation in January 2020 which set out our early thinking on our approach. Having considered stakeholders’ responses, we have now published a statutory consultation.

This consultation sets out our proposals on the methodology and level to adjust the default tariff cap in the fifth cap period (1 October 2020 to 31 March 2021).

Alongside the main consultation document, we have also published:

  • a draft notice for changes to standard licence condition 28AD of the gas and electricity supply licence conditions;
  • an annex model used to calculate the level of the adjustment; and
  • an updated default tariff cap model.

If you wish to respond to this consultation, please send your views to retailpriceregulation@ofgem.gov.uk by Friday 26 June 2020.