DNO connection performance under scrutiny by developers

Ofgem is asking renewable generators for feedback on distribution network operators’ (DNOs) performance on facilitating connections to local electricity networks as capacity gets increasingly constrained.

Ofgem said feedback from the consultation will inform whether it decides to hand out financial penalties on DNOs for failing to meet the needs of their connection customers.

The regulator introduced the incentive on connections engagement (ICE) into the price control in 2015 to ensure that DNOs are engaging effectively with their customers over new connections.

DNOs are required by the incentive to produce plans setting out the actions they intend to carry out to meet their customer’s requirements.

Today’s consultation will also inform Ofgem’s assessment of whether DNOs ICE plans for 2016-2017 address any of the issues raised.

Ofgem last year issued a range of measures DNOs are to undertake to help speed up connections and free up additional capacity on networks without having to undertake costly reinforcement as capacity becomes increasingly constrained.

A range of milestones that developers must hit to keep their allocated capacity are due to go to consultation later this year, and the Department for Energy and Climate Change is currently considering the reintroduction of design and assessment fees in an effort to cut the connections pipeline.

Ofgem is also requiring DNOs to provide and more widely publicise flexible connections which allow renewable generators to connect to the grid if they agree to being constrained at peak times.

Today Ofgem singled out Western Power Distribution as leading the way in offering flexible connections to facilitate connection in one of the most congested parts of the network.

It is calling on other DNOs to follow its example.