Our current price control review period, RIIO-ED1, ends on 31 March 2023. Work is already underway to set the framework for our next price control review period, RIIO-ED2. Ofgem is consulting on how we should serve our customers, including new obligations, standards or services and how much we should charge.
Exploring future needs
We expect to see significant changes in our customers' day to day electricity usage and needs between 2023-2028. The uptake in electric vehicles, meeting the national 2050 'Net Zero' targets and our local Greater Manchester Combined Authority 2038 targets are just a few examples. We are now engaging with a wide range of customers and stakeholders to identify and understand those needs and improvements in customer service, environmental initiatives, social or community benefits. We're taking all feedback and translating it into actionable outcomes in our RIIO-ED2 business plan.
Why are we regulated?
Providing secure, reliable access to electricity is an essential service. As we all rely on the local distribution network for our energy supply, having one company that is accountable for the distribution of electricity, makes management of the network much more efficient, stable and secure, than it would be if the local network was operated by many companies. This means we avoid the need to duplicate expensive power cables or substations and keep bills low for everyone.
This is why Electricity North West Ltd, like all other GB Distribution Network Operators are monopoly businesses in the areas where they operate. This is to ensure a more effective and efficient delivery of critical services, to keep the lights on for us all. We have a licence, or permission, from Ofgem to serve you on the basis that we deliver on our obligations, or ‘Licence Conditions’. Ofgem oversees and agrees what we can charge you for the services we provide. We periodically put forward business plans to Ofgem who check them to make sure they are fair.
We have a strong track record of developing fair plans and delivering on our promises. The results we're delivering now are assessed in our business plan commitments report and show our great progress to date.
Our North West customers’ and stakeholders’ views are paramount in helping to shape the rules for our next price review control period. To date, we have consulted our own Advisory Panels on issues raised by Ofgem in their 2019 RIIO-ED2 Open Letter and are consulting again now on questions raised by Ofgem’s RIIO-ED2 Sector Specific Methodology Consultation.