Implementation of energy code reform: decision

Decision
Publication date
Industry sector
Distribution Network
Generation and Wholesale Market
Offshore Transmission Network
Supply and Retail Market
Transmission Network

The Energy Act 2023 gives us new functions to set the direction for the electricity and gas industry codes. We will license code managers, who will be responsible for the governance of the codes. Under this new code governance framework, code managers will be responsible for making sure that the codes develop in line with our strategic priorities.

These reforms will mean that the codes can be changed more quickly and respond to changes in the energy market. They will also help towards the UK government’s ambition and achievement of net zero.

In January 2024, we sought feedback on our proposals for implementing energy code reform. This document summarises responses to that consultation and set out our intended next steps. 

Impact assessment

A final impact assessment on code consolidation is published alongside our decision, which sets out the quantitative and qualitative analysis used to inform our decisions on code consolidation. 

Modification process workgroup

Alongside our consultation we sought volunteers to join an Ofgem led workgroup (the ‘Modification Process Workgroup’) to support Ofgem in developing an updated code modification process. A report of the workgroup so far is published alongside our decision.