We had previously concluded that the COVID-19 pandemic had resulted in additional material costs, specifically debt-related costs for credit meter default tariff customers. An additional allowance was included in cap periods six and seven as an adjustment allowance. This was set as a float, which we would “true up” later using final costs. This policy document consults on how we plan to true up the additional float allowance we previously set. We set out how we will determine the final additional debt-related costs as a result of COVID-19.
We are seeking written responses by 17 December 2021.