Energy from waste

LCCC signs Revenue Collection Contract for Sizewell C nuclear project

The Low Carbon Contracts Company (LCCC) has signed the Revenue Collection Contract for Sizewell C, representing Great Britain's first nuclear project to be supported through the Regulated Asset Base (RAB) model. Under the contract, LCCC will serve as revenue collection counterparty, managing payment flows between electricity suppliers and licensed nuclear companies in accordance with instructions from Ofgem. The RAB model is intended to enable investors to receive a regulated return during both construction and operation, helping to lower the cost of capital and reduce overall costs for consumers. Once operational, Sizewell C is expected to generate electricity for approximately six million homes.

Ofgem publishes open letter highlighting coordination challenges in energy sector digitalisation governance

Ofgem has published an open letter outlining the urgent need for architectural coordination in the digitalisation of the UK's energy system. Drawing on the Clean Flexibility Roadmap and the Sector Digitalisation Plan, the letter sets out five key questions that must be resolved to achieve effective coordination and ensure that digitalisation efforts are coherent and cost-effective. Notably, Ofgem highlights a significant governance gap, noting the absence of a neutral body or group capable of overseeing architectural coordination across all delivery bodies. Ofgem invites stakeholder feedback on these issues until 5 December 2025, including participation in related workshops.

Ofgem sets out strategic direction for flexibility digital infrastructure

Ofgem has published a letter setting out its policy positions on the need for common digital infrastructure across the National Energy System Operator (NESO) and Distribution System Operator (DSO) flexibility markets. The letter addresses support for small-scale flexible asset participation in flexibility markets, considering where common digital infrastructure may be required across flexibility market processes. Ofgem previously decided that Flexibility Market Asset Registration should be delivered as common digital infrastructure by Elexon, acting as the Market Facilitator. It is now considering whether other steps in the flexibility market process should also be supported by common digital infrastructure. The open letter provides Ofgem's current policy position for each step of the process and outlines its forward monitoring approach. Stakeholders are invited to submit informal feedback on the policy positions by 2 December 2025.

Ofgem consults on future of gas transporter traditional metering obligations post-2025

Ofgem has launched a consultation on proposals for the future of regulated traditional gas metering obligations following the expiry of the current licence conditions on 31 December 2025. Ofgem’s preferred approach is to transition to a voluntary market arrangement from 1 January 2026 to 31 December 2026, allowing Gas Distribution Networks and National Gas Transmission to deliver services commercially while maintaining key consumer protections. The consultation covers proposed licence changes and the removal of sunset obligations, alongside new service standards and pricing principles under Ofgem’s proposed post-2025 voluntary agreements. The consultation runs until 1 December 2025.