Ofgem has published a decision, confirming changes to the Market-wide Half-Hourly Settlement (MHHS) Governance Framework, following its April 2025 consultation. In response to stakeholder feedback, Ofgem will now serve as the decision maker for all proposed changes to Tier 1 and Level 1 milestones. It has also concluded that no changes to the governance groups are required at this stage. The amendments take immediate effect.

Ofgem has confirmed the energy price cap for the third quarter of 2024. As from July to September 2024, the average household's direct debit energy price will decrease to £1568 per year which is a £122 reduction from the previous price cap of £1690. Ofgem's price cap assumes a standing charge of £334 for a dual fuel customer (£369 for those who pay by standard credit), which remains unchanged from the previous price cap period. Suppliers can offer a lower standing charge for their default tariffs under the price cap but to raise the unit rate above that assumed in Ofgem's price cap, they must prove that the overall amount charged to the consumer is at or below the total price cap.

Ofgem has confirmed £28bn of funding for Britain’s gas and electricity networks under the RIIO-3 price control, supporting asset maintenance, major transmission upgrades and expansion works needed to meet rising demand. The determination—covering 2026 to 2031—follows extensive scrutiny of network company proposals during 2025 and will enable 80 transmission projects nationwide, with overall investment forecast to rise to £90bn by 2031. Ofgem states the package will maintain world-class network resilience, support the shift to clean power and provide long-term bill savings despite short-term increases.

Ofgem has launched a consultation on its draft determinations for the 2026 Advanced Procurement Mechanism (APM) Re-opener, proposing to increase bespoke procurement allowances across the three electricity transmission licensees and to add modular substations (33kV, 132kV and 275kV) as a new APM cost category. The proposals would provide approximately £850 million in additional bespoke procurement allowances to support the early procurement of critical transmission equipment for 22 projects over the next 10 years. Ofgem is also seeking views on whether modular substations should be included within the scope of the APM as a flexible or bespoke procurement cost category. APM procurement allowances and add modular substations as a new eligible cost category. The consultation on closes 31 July 2026.

Ofgem has launched a consultation on its minded-to position to approve connection and use of system code (CUSC) modification CMP470, which would introduce an oversubscribed technologies commitment fee (OTCF). The measure is aimed initially at battery energy storage systems (BESS), after Ofgem found around 90 GW of BESS capacity is operational or has Gate 2 status, compared with an estimated requirement of about 29 GW by 2035. The OTCF is intended to strengthen financial commitment requirements, encourage lower-commitment projects to leave the connections queue earlier and improve queue credibility and network planning. Under the original proposal, the fee would activate where a technology exceeds its target capacity by more than 50% and would cease once oversubscription falls below 25%. It would start at £3,000/MW, rise to £5,000/MW after six months if oversubscription persists, then increase by £5,000/MW every six months up to £25,000/MW. The fee would operate through existing user commitment arrangements as a minimum cancellation charge and cancellation charge secured amount floor, with projects already above the relevant level unaffected. The National Energy System Operator would assess oversubscription through the biannual securities process and determine whether activation thresholds had been met, subject to Ofgem oversight. A final decision is anticipated later in 2026. The consultation closes on 1 October 2026.

Ofgem has launched a consultation on proposals for a Central Asset Register (CAR) to improve how energy asset information is stored, shared and accessed across Great Britain. The register would provide more complete and consistent data to support network planning, operations and policy decisions. The proposals focus on assets under 1MW, particularly those below 50kW, including electric vehicle chargers, rooftop solar and heat pumps. Ofgem has shortlisted two delivery options: Elexon’s Flexibility Market Asset Registration (FMAR) platform, which is under development, and ElectraLink’s existing EMPRIS platform. Its provisional preference is ElectraLink’s platform, reflecting its delivery readiness and greater confidence in cost estimates and implementation approach. However, questions remain about governance, accountability and regulatory oversight. Ofgem seeks views on the register’s proposed framework, the shortlisted delivery options and the accompanying draft impact assessment. It expects to make a final decision in spring 2027, subject to consultation responses, impact assessment evidence and alignment with wider programmes. The consultation closes on 7 December 2026.

Ofgem has launched a consultation, as part of the electricity distribution price control (ED3) methodology, seeking views on the role Distribution Network Operators (DNOs) could play in supporting the rollout of low carbon technologies (LCTs) and energy efficiency (EE) measures in homes across Great Brittian. The consultation considers ‘Enhanced Co-ordination’ and a potential ‘Expanded Role’ for DNOs in enabling an efficient energy system transition aligned with Clean Power 2030 and Net Zero 2050. Responses will inform decisions on the ED3 price control and any subsequent consultation on future pilots of an Expanded Role. The consultation closes on 2 April 2026.

Ofgem has published the decision of its August 2024 consultation on the review of the Gas Transporters’ traditional metering licence conditions, outlining its proposal and reasoning for extending these licence conditions to 31 December 2025. In addition, Ofgem has launched a statutory consultation on the proposed modifications to the Special and Standard Special licence conditions for Gas Transporters held by National Gas Transmission Plc and the Gas Distribution Network Operators, proposing a further extension of the current end date of the ‘Sunset Conditions’ to 31 December 2025. The consultation closes on 24 October 2024. Alongside this consultation, Ofgem has published a notice with the proposed draft licence condition changes.

Ofgem has launched a consultation on the draft Impact Assessment (IA) for the proposed Regional Energy Strategic Plan (RESP) policy framework. The draft IA outlines the potential impacts of implementing the RESP, concluding that the quantified benefits could substantially outweigh the associated costs. Ofgem intends to publish the final IA alongside a decision on the RESP policy framework by the end of Q1 2025. The consultation closes on 24 February 2025.

Ofgem has launched a consultation, seeking views on its proposed Multi-Criteria Assessment framework for assessing and selecting Long Duration Electricity Storage (LDES) projects under the cap and floor regime. The proposed framework comprises economic, strategic, and financial assessments. Ofgem, in collaboration with the National Energy System Operator, will use the framework to determine which eligible LDES projects from the first application window—opened on 8 April 2025—will be awarded cap and floor support. The consultation closes on 25 June 2025, with the final framework expected to be published in Q3 2025.

Ofgem has launched a consultation on the enduring regulatory framework for the National Energy System Operator (NESO), starting with the business plan cycle from 1 April 2026. This represents the third stage in Ofgem’s phased implementation of NESO’s regulatory framework, and the first period following the end of the RIIO-2 framework. Ofgem is also consulting on NESO’s Business Plan guidance, which aims to provide an update on the information required in the Business Plan. The document sets out key submission and determination dates, explains Ofgem’s assessment process for the Business Plan, and specifies the duration of the Business Plan cycle. Both consultations close on 8 July 2025, with decisions expected in summer 2025.

Ofgem has launched two related consultations on extending Network Innovation Allowance (NIA) arrangements for Distribution Network Operators under RIIO-ED2. The first proposes changes to the RIIO-2 NIA Governance Document to allow project registration beyond 31 March 2026. The second seeks views on statutory licence modifications to Special Condition 5.2 of electricity distribution licences to facilitate additional NIA funding for the final two years of RIIO-ED2, following Ofgem's August and October 2025 funding decisions. Both consultations close on 5 January 2026.