P491 Balancing and Settlement Code (BSC) changes
- Publication type:
- Code modification
- Publication date:
- Topic:
- Metering, Energy codes
- Subtopic:
- Radio Teleswitch
- Industry sector:
- Supply and Retail Market
Outcome of changes to Balancing and Settlement Code P491, amending the Radio Teleswitch (RTS) funding mechanism to move operational costs solely to suppliers.
Details of outcome
Ofgem has approved BSC Modification Proposal P491, which revises the cost-sharing model for the RTS. Previously, RTS operational costs were split equally between suppliers and generators.
Under the new arrangement, suppliers will bear 100% of the costs based on their share of RTS meters still in use as of 27 June 2025. Generators will no longer contribute, reflecting their lack of involvement in RTS operations.
This change aims to incentivise suppliers to accelerate RTS meter replacement and ensures fair cost allocation during the extended phase-out period.
Start date
The implementation date for Modification Proposal P491 is 12 October 2025. The cost-sharing model is applied retrospectively to RTS-related costs invoiced from July 2025 onward.
Code modification description
Modification P491 was proposed by Centrica to address concerns from generators about the fairness of the RTS funding mechanism, especially given the extended RTS signal phase-out into 2026. The change was requested to better reflect market roles and responsibilities, and to support consumer protection and competition objectives under the Balancing and Settlement Code.