Ofwat: Water companies’ executive pay must be linked to customer service

It is part of regulator Ofwat’s proposals to rebuild public trust

Ofgem decides against mid-period review for networks price control

It follows Western Power Distribution’s decision to voluntarily return £77 million after the government cancelled its rail electrification schemes

Ofwat proposes payments and penalties for three water firms

Ofwat is proposing payments for water companies that have outperformed and penalties for those that have underperformed. It has launched a consultation, which will run until 20th November, on the proposals to adjust the price control to be applied from April next year. All water companies have committed to improve their performance for 2015/20 based […]

Power distribution operators’ allowances cut by £200m

Ofgem has confirmed the allowances of some of Britain’s electricity distribution network operators (DNOs) will be reduced by around £200 million. It follows a review of performance in the previous price control – 2010-2015 – which assessed how much DNOs had spent and what they had delivered. The regulator said some DNOs did not need […]

Ofgem proposes further £277.5m budget cut for National Grid

Ofgem is proposing reducing National Grid’s allowance for its gas transmission price control by £277.5 million. It covers the 2013-2021 period and relates to the national high-pressure gas pipeline at the Fleetwood entry point in Lancashire. National Grid Gas Transmission (NGGT) was required to offer 650GWh/day of entry capacity at Fleetwood, initially triggered by a […]

CMA rules on British Gas’ appeal against Ofgem’s price rules

British Gas’ appeal against electricity price rules imposed by Ofgem has been dismissed by the competition watchdog. The Competition and Markets Authority (CMA) had received requests from Centrica’s British Gas Trading (BGT) and Northern Powergrid (NPg) for permission to appeal against the regulator’s ‘RIIO-ED1’ ruling on the price control for network operators in March this […]

Ofgem consults on extra funding for network firms

Three consultations on proposals to allow additional costs for the transmission of gas and electricity have been launched. They are part of Ofgem’s price control and permits them to seek funding for costs as well as sets out the amount network operators can charge customers. The regulator received applications from National Grid and Scotia Gas Networks […]

British Gas appeals against Ofgem’s power price rules

Two UK energy companies have appealed against electricity price rules imposed by Ofgem. The Competition and Markets Authority (CMA) said it has received requests from Centrica’s British Gas Trading (BGT) and Northern Powergrid for permission to appeal against the regulator’s ‘RIIO-ED1’ ruling on the price control for network operators. It sets the amount they can […]

Ofwat urges water suppliers to cut costs

Ofwat is urging three water companies to lower some of their wholesale prices as they exceed the watchdog’s recommended pricing model. The regulator has written to Bristol Water, Thames Water and United Utilities to advise them to reconsider the prices they plan to charge customers for certain services. Its concerns are focused on the future […]

Ofgem plans to cap electricity distribution firms’ returns

Energy regulator Ofgem is proposing to place limits on investment returns Britain’s electricity distribution companies can generate. It plans to lower the assumed cost of equity, i.e. the return the firms pay to their investors, to 6%, which means an assumed cost of capital of 3.8% for five of the six electricity distribution companies in […]