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Elexon returns £1.5m of cost savings to industry

Elexon, the administrator for the Balancing and Settlement Code, has announced it is returning £1.5 million of cost savings to trading parties.

As well as achieving improvements in efficiency, the not-for-profit company said it has seen costs fall since closing its office on 12 March due to the coronavirus lockdown. In light of the economic impact of the pandemic, it has also decided not to award an annual pay rise to staff.

The money will be returned to trading parties through reduced balancing charges over the rest of its financial year.

Elexon chief executive Mark Bygraves said: “I recognise this is not a significant amount but the principle of returning underspend and savings is correct as many of our customers are dealing with difficult circumstances due to the impact of Covid-19 on the economy, as well as other challenges.

“We strive to deliver value for money to our customers and we are committed to tight cost controls as well as transparency of our spending. We have returned unused funds in the past, and we will look for further opportunities to return more money to trading parties as we head towards the end of the financial year.”