Decision on the continuation of the Smart Meter Communication Licence and the rate of Shared Service Charge and Baseline Margin

Decision
Publication date
Industry sector
Supply and Retail Market
Licence type
Smart Meter Communication Licence

We are reviewing the regulatory arrangements for the Data Communications Company (DCC). DCC operates under the Smart Meter Communication Licence, which is set to expire in September 2025.

As part of our work on designing and transitioning to a new regulatory framework, we consulted on options for a Licence extension to balance the pace of implementation with risks of disruption. In August 2023 we concluded that an extension of 12-36 months would likely be needed.

In November 2023 we consulted on proposals to alter the levels of DCC’s Baseline Margin and Shared Service Charge as part of our Price Control submission for the Regulatory Year 2022/23.

This document set out our decisions on:

  • the duration of the Additional Licence Term for which the Licence should be continued under Part 1 section C of the Licence. This follows our consultation with the Licensee (Smart DCC Ltd) in July 2024
  • the revised levels of Baseline Margin and Shared Service Charge from 1 April 2025. This follows our November 2023 price control consultation and consideration of additional evidence submitted by DCC and DCC Shareholder

Alongside this document we publish notice of our determination of the continuation of the Licence.