We are consulting on the implementation of two of our recent decisions to modify allowances within the RIIO-ET1 and RIIO-GD1 network price controls made as part of separate processes. These two decisions were:
We propose to revise our PCFMs to reflect the refund and deferral in the companies’ allowances. We intend for these PCFM revisions to be decided on in time for their inclusion in the next price control Annual Iteration Process, due to conclude 30 November 2017.
The revenue reductions associated with these PCFM modifications will be realised over many years into the future. In the nearer-term, we estimate that these changes will reduce revenue by £101m and £13m for RIIO-ET1 (2019/20 to 2020/21) and RIIO-GD1 (2018/19 to 2020/21) price controls, respectively.