Open letter: update on reform to the electricity connections process following proposals from ESO
Correspondence and other
- Publication date
- Industry sector
- Distribution Network
- Transmission Network
Ofgem provides an update on reform to the electricity connections process following proposals from the electricity system operator (ESO)
This letter sets out our expectations in response to the recent proposal by the ESO to reform the connections process. We believe the ESO’s proposal has the potential to deliver the goals set out in the joint Ofgem and DESNZ Connections Action Plan (CAP). However it needs to be developed alongside a full assessment of risks and benefits, with a robust plan for regulatory and operational implementation. We also ask for stakeholder views on whether this proposal meets expectations, or whether further action is needed.
Thank you to all those who responded. We have published all non-confidential responses. We acknowledge that these were tight timescales. This was an early opportunity to share views on ESO’s latest proposal but as we say in the letter, we encourage all interested stakeholders to continue to share their views with the ESO and engage with the code modification process in the coming months.
To build a cleaner energy system, reduce GB’s reliance on volatile international energy markets and achieve our net zero goals, we need a more efficient connections process to ensure we are building new network capacity in the right place and at the right time.
Currently, there is a significant queue of these projects. Customers seeking network connections are experiencing extensive lead times, with some customers being offered connection dates in the late 2030s.
In November 2023, Ofgem and DESNZ published our joint CAP. This set out a framework of actions and further ambitions needed to tackle the growing delays customers are experiencing when seeking network connections.
Despite some process improvements to date, the connections queue has continued to grow at an unprecedented rate. This is why we welcome the ESO’s proposal to move towards a ‘First Ready, First Connected’ approach and look forward to overseeing how this develops through the upcoming formal industry code change process.