Centrica: DNOs are holding up EV and heat pump connections

Distribution Network Operators (DNOs) are unable to deal with an increasing volume of electric vehicle (EV) chargepoint and heat pump connection requests, according to Centrica.

In spite of improvements seen in the last year, the DNOs’ connection services still present challenges for the rollout of low carbon technologies (LCTs), Centrica said in response to an Ofgem consultation relating to RIIO-ED1 Incentive on Connections Engagement (ICE).

In particular, Centrica has raised concerns around “chronic capacity shortages”, lengthy response times to connection requests and charging inconsistencies.

Centrica also claims that some DNOs don’t have accurate information relating to their low voltage networks and fuse sizes, which the British Gas-owner claims creates delays to connections.

Centrica’s consultation response adds: “There needs to be a concerted effort by DNOs (working with Ofgem as needed) to address chronic capacity shortages on distribution networks; improve customer communications, overall transparency and processes […] address inconsistencies between DNOs not being resolved e.g. A&D fees and charges for minor works for residential LCT (EV/HP) installations.”

Centrica’s response adds that the company “remains frustrated at the inconsistencies in the way DNOs charge or don’t charge residential customers for works needed to enable their installation” adding that “there can even be inconsistencies within DNO regions”.

Despite Centrica’s concerns, Ofgem has ruled that the DNOs have met the minimum criteria under the ICE for this year and as such has decided not to consult on potential penalties.

The regulator has, however, said that it expects DNOs to continue making improvements to the provision of their connection services.

In particular, Ofgem has urged DNOs to provide “accurate, comprehensive and user-friendly information, including […] access to transparent, up to date and relevant information on where to connect, including – but not limited to – network capacity and design (eg providing network data to EV connection customers to help tailor location of EV chargepoints and maximum demand capacity requirements).”

Ofgem’s consultation response adds: “Overall, feedback relating to the level and type of engagement from all DNOs has been positive, with the majority of respondents to our consultation indicating a general level of satisfaction with DNO performance.

“However, there were some issues raised that, while not being sufficient to mean the DNOs did not meet the minimum criteria, could become of concern if not addressed in future years. We expect DNOs to engage further with stakeholders on these issues where appropriate.”

In response to the criticism, a spokesperson from Energy Networks Association, which represents the UK’s energy network operators, said: “There is a real sense of urgency to this. The industry has received 69GW of new connection requests in the year to October 2022 alone. That’s an entire grid’s worth of capacity in just one year.

“The electricity networks are taking immediate steps to speed up the connections process. We are moving from the old ‘First Come, First Served’ model to a ‘First Ready, First Connect’ plan which will unlock green capacity at pace.

“We’re innovating and investing billions of pounds to ready the grid for decarbonisation by 2035 and we’ll continue to work with the regulator and government to connect an unprecedented number of projects faster.”

Centrica did praise UKPN for its support for EV chargepoint and heat pump installations, saying that the DNO’s “online portal was great and designed to make the service more efficient”. Its response adds: “UKPN is also ultra responsive to queries and requests concerning EV CP connections. We rarely have to chase UKPN for updates.”

Northern Powergrid also came in for praise from Centrica for establishing its LCT Connections Working Group, which Centrica said “created a useful dialogue between stakeholders connecting EV charge points and heat pumps”.

SPEN was also praised for “a good all round service” and for setting up its iDentify project which is forming the basis for the ENA’s future standardised AI solution.