Ofgem dishes out fines worth £1 million

Ofgem, the regulator of the gas and electricity industries in Great Britain, has handed out fines to three local power companies to the sum of £1 million. The fines were […]

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By Tom Gibson

Ofgem, the regulator of the gas and electricity industries in Great Britain, has handed out fines to three local power companies to the sum of £1 million.

The fines were given to the companies for not meeting the three month deadline for providing connection offers in multiple cases. Scottish Hydro Electric Power Distribution and Central Networks were fined £500,000 and £400,000 respectively. Electricity North West Limited was fined £100,000.

SHEPD and CN also failed to provide systems and processes sufficient to monitor their connections service.

Stuart Cook, Senior Partner, Smarter Grids and Governance, of Ofgem said: “Customers such as developers of housing estates or wind farms are reliant on local power network companies to provide a good service on connections. Today’s penalty sends a clear message that the companies must meet the standards set by Ofgem for connection services.”

Ofgem has now introduced compensation arrangements when local power network companies do not meet targets for good customer service in connections to improve the level of service customers receive from local power companies.