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Latest Energy News

Ofgem publishes decision on governance and CRS arrangements

Ofgem has published its decision on the operator of the Centralised Registration Service (CRS) for smart metering as part of phase 2 of its review of the Data Communications Company (DCC)'s regulatory arrangements. It has decided to retain responsibility for the CRS with the DCC under the Smart Meter Communication Licence. Ofgem also intends to publish separate decisions on other consulted areas of DCC governance, including board composition, appointment requirements, and incentivisation. Additionally, it will launch two further consultations during this phase, addressing allowed revenue determination and the future role, objectives, and operating model of the DCC.

DESNZ publishes subsidy amount estimates for CfD Allocation Round 6

The Department for Energy Security and Net Zero (DESNZ) has published a document, outlining the subsidy amount estimates for Contracts for Difference (CfD) Allocation Round 6 (AR6) on the Subsidy Control Transparency Database. The estimates, based on the 'valuation formula' from the AR6 Allocation Framework, are rounded to the nearest £5m for individual projects and to the nearest £5bn for the total subsidy amount for the round. DESNZ emphasises that actual subsidy amounts may vary from these estimates due to factors such as future wholesale prices and project-specific electricity generation.

DESNZ publishes consultation response on electricity networks land rights

The Department for Energy Security and Net Zero (DESNZ) has published the summary of responses to its August 2022 call for evidence on land rights and consents processes for electricity network infrastructure. The document outlines stakeholder feedback on several aspects of the current processes, including voluntary wayleaves, necessary wayleaves, and Section 37 consents. Key issues identified include delays, high costs, and inefficiencies in the existing system. In response, DESNZ established a Working Group to explore potential changes to land purchase and wayleave processes. Suggested improvements include introducing a Code of Practice, implementing alternative dispute resolution mechanisms, and standardising compensation rates. The government is now considering policy changes and intends to conduct further consultations as required, with the objective of facilitating the UK's ambition of achieving net zero power by 2030.

Ofgem approves MHHS Programme delay

Ofgem has approved Change Request CR055 for the Market-wide Half Hourly Settlement (MHHS) Programme, resulting in a 6.5-month delay to its implementation. To mitigate the risk of further delays, Ofgem has announced its intention to introduce a package of regulatory measures in early 2025. These proposed measures include issuing directions to Elexon and MHHS Participants, modifying the licences of supply and licensed distribution system operators, and revising the MHHS Governance Framework.