Ofgem has rejected the modifications outlined in the modification proposal and the Final Modification Report (FMR) for Uniform Network Code (UNC) 0831/0831A: Allocation of LDZ UIG to Shippers Based on a Straight Throughput Method (UNC0831) and Allocation of LDZ UIG to Shippers (Class 2, 3 and 4) Based on a Straight Throughput Method (0831A), in accordance with Standard Special Condition A11 of the Gas Transportation Licence. After considering the modification proposal, the FMR and the responses to the industry consultation, Ofgem concluded that the implementation of the modification proposal will not better facilitate the achievement of the relevant objectives of the UNC and directed that the modification not be made is consistent with its principal objective and statutory duties.

Ofgem has released the Renewables Obligation (RO) buy-out price and mutualisation threshold and ceilings for the 2025-26 obligation period. The buy-out price is set at £67.06 per RO Certificate (ROC). Suppliers must pay this amount for each ROC they do not present. The mutualisation threshold is set at £82.2m for England and Wales, and £8.2m for Scotland. The corresponding mutualisation ceilings are set at £404,010,856.41 and £40,401,085.62, respectively.

Ofgem has released a draft consultation document that updates its guidance for gas and electricity licence applications. The revised guidance features a re-ordered structure with additional sections designed to improve clarity and assist applicants in understanding the process more effectively. Open for public comment until 21 May 2025, the consultation invites feedback on the document's readability and overall usability. Feedback may be submitted to: licensing@ofgem.gov.uk . Once finalised, the enhanced guidance will apply to both new and existing licence applications while maintaining its established methodological framework.

Ofgem has reported that Maxen Power, an energy company supplying over 10,000 non-domestic customers, paid £1.65m to the Energy Industry Voluntary Redress Fund due to customer service failures. This Fund supports charities that deliver energy-related projects and assist energy consumers in vulnerable situations. Following Ofgem’s recent investigation, which found that Maxen Power breached its licence conditions by failing to implement robust systems to protect its customers, Ofgem has increased its oversight of the company. It is also working with Maxon Power to update its policies, processes and contractual terms, including updating its deemed rates policy to safeguard customers from volatile price changes and its change of tenancy policy to facilitate easier supplier changes.

Ofgem has published its response, rejecting a request from the National Energy System Operator (NESO) and Transmission Owners to be relieved of obligations under the Connections Methodologies. The request was made in response to delays in connection dates for TMO4+ Protected Projects under the Gate 2 to Whole Queue process. Ofgem confirmed it would not grant relief, despite the widespread delays affecting projects that were expected to retain their original connection dates and points.

Ofgem is seeking feedback on the draft Request for Information (RFI) from suppliers who have a derogation from the default tariff cap. The annual RFIs were introduced to monitor the compliance of suppliers who have been granted a derogation from the default tariff cap for certain tariffs. The final RFI will apply to all existing derogations for the previous year (1 April 2023 to 31 March 2024). Suppliers are requested to submit their feedback by 9 October 2024.

Ofgem is seeking feedback on proposals to modify ring fence licence conditions within the energy network infrastructure. Ofgem seeks feedback from individuals and organisations who are part of different energy industries, including network companies, credit rating agencies, energy suppliers, energy generators, and system operators. The request for feedback closes on 11 November 2024.

Ofgem has launched a call for input seeking views on the growing use of artificial intelligence (AI) across Britain’s energy sector and how organisations are assuring the safe, secure, fair and effective operation of AI systems. The call for input seeks evidence on the current use of AI assurance, the maturity of AI governance and assurance practices, challenges and gaps in assuring AI systems in operational environments, and whether energy sector-specific good practice guidance on AI assurance would be useful. Ofgem states that the exercise is exploratory and does not introduce new regulatory requirements. It is interested in understanding what ‘good’ AI assurance looks like in practice, including evidence, testing, audit and independent validation that demonstrate AI system risks are effectively controlled and outcomes remain safe, fair and effective. Responses must be submitted by 12 August 2026.

Ofgem is seeking views on the domestic standing charges option paper from energy suppliers, consumer groups, household bill payers, industry groups, and network companies. This follows Ofgem’s 2023 review of standing charges and call for input, where it received feedback from several customers, consumer groups, and charities. Ofgem has now reviewed the feedback and outlined its options to reduce domestic standing charges for households. The discussion closes on 20 September 2024.

Ofgem has launched a statutory consultation on the proposed Whole Electricity System Licence Condition, in which it proposes the modification of standard licence conditions for electricity distributors and transmission owners. The licence condition proposed outlines an obligation on both electricity distributors and transmission owners to coordinate with electricity network licensees and foster cooperation. The objective is to identify incidents whereby any actions taken by either a transmission owner or an electricity distributor could result in cross-network impacts. The consultation closes on 3 April 2020.

Ofgem has selected DCC2 Ltd, a wholly owned subsidiary of SECCo Ltd, as the successor licensee for the Smart Meter Communication Licence (SMCL) following a competitive tender process that commenced on 8 September 2025. DCC2 will operate on a not-for-profit basis and will be responsible for enacting changes introduced through Ofgem’s DCC review programme. Key changes include: (1) a transition to majority independent governance; (2) the introduction of an ex-ante cost control process and (3) the development of a business strategy and technology roadmap.

Ofgem has published a direction, setting out the new maximum value recoverable by the National Grid Electricity System Operator (NGESO) for all Future System Operator (FSO) Transition Activities conducted before 1 October 2024. The direction increases the total maximum amount recoverable from £75m to £91m.