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MCS responds to DESNZ call for evidence on Ofgem review

MCS has backed a proposed extension of Ofgem's remit to enforce consumer law for low-carbon technologies, and asked to act as the regulator's delivery partner for small-scale renewables.

A newspaper on a kitchen table beside a model of rules and regulation

MCS published its response on 6 March 2025 to the call for evidence on the review of Ofgem, which the Department for Energy Security and Net Zero (DESNZ) issued in December 20241. The DESNZ call for evidence set out a review covering Ofgem's mandate, its consumer protection powers, its scope and remit, the standards it sets, and how redress is made when standards are not met1. Within that, DESNZ put forward a proposal to extend Ofgem's remit to enforce consumer law for low-carbon technologies1.

MCS, the UK standards organisation for small-scale renewable technology, said it supports that expansion1. It argued the extension must account for how the microgeneration sector differs from the energy supply sector Ofgem has regulated to date, noting the small-scale renewables market is largely made up of sole traders or small and medium-sized businesses, so the processes and mechanisms Ofgem currently uses may not be suitable or robust enough to regulate the sector effectively1.

"we propose a partnership with MCS as the established standard, quality assurance and consumer protection scheme"
MCS, source1

MCS said it is already expanding its capability to take on the responsibility of monitoring installers and to address consumer issues before they escalate, as part of its scheme redevelopment, with the goal of resolving problems before intervention from Ofgem becomes necessary1. It cited its work on the Boiler Upgrade Scheme (BUS) as an example of partnership with Ofgem, and said it is open to an expansion of the role it performs today in support of the BUS, with the potential to support a wider range of technologies1.

The response does not set out figures, timeframes or a list of technologies that would fall within an extended remit; those have not been reported1. The MCS response is one submission to a consultation, and no government decision on the proposal has been reported1.

Why it matters for households

Consumer protection for home energy work currently sits across several bodies. Ofgem regulates the energy supply market, while installation standards and consumer codes for small-scale renewables sit with schemes such as MCS and the Renewable Energy Consumer Code, and complaints routes run through the Energy Ombudsman, Citizens Advice and Ofgem depending on the issue. If Ofgem's remit were extended to enforce consumer law for low-carbon technologies, the regulator that households already associate with energy bills could gain a formal role in how installations are sold and installed.

For a household weighing a heat pump, solar panels or a battery, the practical question is where a problem is resolved and how quickly. MCS's proposal would place early monitoring and dispute handling with the certification scheme rather than the regulator, on the argument that most installers are small businesses. Whether that produces faster redress, or adds a further layer between a household and enforcement, is not settled by the response. The installers and retailers side of the market, and the codes that govern it, would be affected by any change in where enforcement sits.

What happens next

The call for evidence was published in December 2024 and MCS responded on 6 March 20251. No outcome, timetable or further consultation stage has been reported1.

Sources1 cited
  1. MCS responds to Ofgem call for evidence on their role - MCS, mcscertified.com