On 26 August 2022 we published our Decision (the “August 2022 Decision”) to extend the Market Stabilisation Charge (“MSC”) and the Ban on Acquisition-Only Tariffs (“BAT”) until 31 March 2023 following a period of consultation. Our Decision also invited comments from stakeholders on what action, if any, Ofgem should take in relation to the period after 31 March 2023, when the current licence conditions for the MSC and the BAT end.
In light of energy market conditions and stakeholder feedback from the August Decision, we are consulting on proposals to extend the MSC and the BAT until 31 March 2024, with new powers given to the Authority to enable both measures to be renewed on an annual basis, where required. The existing power for the Authority to end the MSC at an earlier date is proposed to be retained. We expect to publish our Decision in early February 2023, and the changes would go live from 1 April 2023.
We welcome views from energy consumers and others with an interest in the domestic retail energy supply market. We particularly welcome responses from energy suppliers and consumer groups.