Ofgem — which sets the maximum amount of revenue that network companies can recover from users — plans to set the baseline rate of returns at 4.3 per cent from 2021, just above the 4 per cent proposed last December.
FT 24th May 2019 read more »
The energy regulator has confirmed plans to slash the profits of the companies that operate Britain’s power lines and gas pipes. Ofgem said that its decision would save households £25 per year from 2021, or £6 billion over five years, by cutting the returns on offer for companies including National Grid, SSE and Scottish Power. Critics claim that the returns have been far too high in recent years: Citizens Advice, the consumer charity, claims that networks are making £7.5 billion in unjustified profits, while Labour has vowed to renationalise the companies.
Times 25th May 2019 read more »