June 29, 2022 12:52 pmas part of its £21bn plan to improve the nation’s access to cleaner domestic energy.
The five-year plan launched by Ofgem aims to improve the reliability of the electricity network, deliver innovations that allow consumers to secure regularly updated prices for peak and off-peak demand, and support vulnerable and low-income households.and Russia’s war with Ukraine, households are facing huge rises in energy bills.
Ofgem’s energy price cap increased by £693 in April, and is set to rise by 51 per cent, according to the latest predictions from Cornwall Insight, the energy analyst firm, taking annual bills to £2,980.surcharges from bills to help struggling households, however, other commentators suggest that maintaining investment in clean energy will reduce bills in the long term, as well as reliance on fossil fuel imports.
Ofgem said it was seeking to fund its latest proposals by enforcing the country’s 14 distribution network operators , which includes Northern Powergrid and Scottish Southern Energy, to enact efficiency savings, while also reducing the amount of profits the firms can earn.for days, the DNOs will be expected to boost levels of reliability to avoid outages during extreme weather events.
At present, the average customer pays about £100 per year via energy bills to the DNOs, but Ofgem said it wanted to ensure “consumers get value for money and costs are kept to a minimum while allowing funding for the improvements needed”.