Rules and Regulation News: page 27
- April 2024
Ofgem confirms technical changes to price cap wholesale model taking effect from April 2024
Ofgem has confirmed technical changes to the wholesale cost allowance model used to set the energy price cap, taking effect from April 2024, and decided against adjusting the cap for 2022 to 2023 wholesale costs.
Ofgem to consult on operating cost allowances in spring 2024
Ofgem expects to consult in spring 2024 on changes to operating cost allowances, following a call for input and its analysis of requests for information.
Ofgem planned formal consultation on Consumer Consent for Spring 2024
Ofgem has said it will publish a consultation in spring 2024 setting out proposed decisions on how energy consumers give, manage and revoke consent to share their data.
Ofgem price cap from April 2024 puts poorly insulated homes around £340 a year worse off on gas bills
Analysis from the Energy and Climate Intelligence Unit finds that under Ofgem's April 2024 price cap, homes rated EPC band F pay around £340 a year more for gas than band C homes.
Prepayment meter standing charges levelled with Direct Debit under the price cap
From 1 April 2024 prepayment meter standing charges fall to the level paid by direct debit customers under Ofgem's price cap, ending the long-standing prepayment premium.
Recast EU Energy Performance of Buildings Directive adopted
The recast EU Energy Performance of Buildings Directive was adopted in April 2024, setting renovation and zero-emission building goals that the Scottish Government says it aims to align with where possible.
New redeveloped MCS Scheme comes into effect
The redeveloped MCS Scheme took effect on 1 April 2024, resetting the consumer protections that sit behind certified small-scale renewable installations in UK homes.
REMA update includes zonal pricing as an option for further consideration
Ofgem's discussion paper on the future of the default tariff price cap sets out options for reform, including zonal wholesale pricing, and asks for responses by 10 May 2024.
Supplier switches must complete within five working days with £30 compensation
Ofgem rules in force from 1 April 2024 require energy suppliers to complete a customer's switch within five working days, with £30 compensation payable if the deadline is missed.
Temporary debt-related costs allowance introduced in the price cap
Ofgem introduced a temporary allowance in the price cap from April 2024 letting suppliers recover debt-related costs incurred between April 2022 and March 2024 above the permanent allowances.
TrustMark notifies DESNZ of suspected fraud under ECO schemes
The National Audit Office reports that TrustMark told DESNZ in April 2024 that some retrofit businesses were suspected of overclaiming for work carried out under the Energy Company Obligation.
Updated WHQS 2023 standard published
The Welsh Government has published an updated Welsh Housing Quality Standard, WHQS 2023, adding guidance on carbon emissions across housing portfolios and on whole stock assessments and the Target Energy Pathway.
- March 2024
Energy price cap levels updated for 1 April to 30 June 2024 with standing charge levelisation introduced
Ofgem has set the default tariff cap for 1 April to 30 June 2024 at £1,690 for a typical Direct Debit household, down £238, and has levelled prepayment standing charges with Direct Debit.
ECIU analysis finds Government policy pushing UK backwards on energy security
A year after the Government's Powering Up Britain strategy, the Energy and Climate Intelligence Unit says recent policy changes have increased the UK's reliance on imported gas and oil.
Scottish Government publishes analysis of phase 3 PDR consultation responses
The Scottish Government has published its analysis of 467 responses to a consultation on extending permitted development rights for renewable energy equipment, with most proposals drawing majority support.
Statutory instrument on solar Permitted Development Rights laid before Scottish parliament
The Scottish Government laid a statutory instrument before parliament on 28 March 2024 to simplify permitted development rules for solar, with changes expected to take effect on 24 May.
Consultation on the Home Energy Model: Future Homes Standard Assessment closed
The National Insulation Association has published its response to the Home Energy Model consultation, which closed on 27 March 2024 and will set the assessment method for the Future Homes Standard.
Solar Energy UK submits response to Future Homes and Buildings Standards 2023 consultation
Solar Energy UK has told the Government it backs an amended Option 1 with mandated solar in the Future Homes and Buildings Standards, opposes Option 2, and has flagged a bug in the Home Energy Model.
Ofgem publishes discussion paper on the future of domestic price protection
Ofgem has opened a discussion on whether the default tariff price cap needs reform, seeking views by 10 May 2024 on how household price protection should work as the retail market changes.
Consultation launched on postponing Clean Heat Market Mechanism to 1 April 2025
The Government has opened a consultation on postponing the Clean Heat Market Mechanism to 1 April 2025, while confirming changes to Boiler Upgrade Scheme eligibility rules.
DESNZ announces delay of Clean Heat Market Mechanism and changes to Boiler Upgrade Scheme
DESNZ announced on 14 March 2024 that the Clean Heat Market Mechanism would be delayed to 1 April 2025 and that the Boiler Upgrade Scheme would drop its insulation requirement and accept biomass boilers with integrated cooking functions.
DESNZ announces significant changes to the Boiler Upgrade Scheme
The Department for Energy Security and Net Zero has announced changes to the Boiler Upgrade Scheme, including relaxed insulation rules, new biomass eligibility and tighter commissioning deadlines, in force from 8 May 2024.
DESNZ publishes Boiler Upgrade Scheme consultation outcome
DESNZ has set out the outcome of its Boiler Upgrade Scheme consultation, keeping the EPC requirement but dropping the rule that loft and cavity wall insulation recommendations must be resolved first.
Government announces changes to the Boiler Upgrade Scheme and Clean Heat Market Mechanism
Claire Coutinho has announced changes to the Boiler Upgrade Scheme, including new eligibility for biomass boilers with integrated cooking functions and a higher capacity limit for shared ground loops.
Nesta responds to Boiler Upgrade Scheme regulations consultation
Nesta has told a government consultation that the Boiler Upgrade Scheme should keep its EPC requirement but drop the rule barring homes with outstanding loft or cavity wall insulation recommendations.
Secretary of State correspondence published on consultation responses
Correspondence dated 14 March 2024 from the Secretary of State covers the Boiler Upgrade Scheme consultation response, an addendum to the Clean Heat Market Mechanism response, and the Improving Boiler Standards and Efficiency response.
NIA responds to Scottish Government Heat in Buildings Bill consultation
The National Insulation Association has told the Scottish Government it supports its Heat in Buildings Bill proposals but wants solid wall insulation added to the list of measures used to meet minimum energy efficiency standards.
Publication of the second REMA consultation
The second Review of Electricity Market Arrangements consultation, published on 12 March 2024, asks for views on options to cut thermal constraint costs, which made up 40 per cent of balancing costs in 2023/24.
SSEN announces completion of VFES vulnerability innovation project
SSEN Distribution has completed the VFES innovation project, funded by Ofgem's Network Innovation Allowance, which predicts where and when communities are most vulnerable to power cuts and to missing out on low-carbon technology.
Heat in Buildings Bill consultation closes
The Scottish Government's consultation on proposals for a Heat in Buildings Bill closed on 8 March 2024 after receiving over 1,600 responses, and the Bill has since been redrafted.