NESOOFGEMDESNZ
Connection and Use of System Code
CMP460Workgroup

CMP460: Improving Transmission Connection Asset Charging

NESO (CUSC)·regulation·high·8 Aug 2025·source document

What is being proposed

This modification proposes improvements to the framework for charging Transmission Connection Assets. The proposal seeks to socialise costs and cap customer contributions to create a more certain and fair charging methodology.

Current status

Proposal raised on 08 August 2025. CMP460 will be presented to the CUSC Panel on 26 September. The Panel unanimously agreed that CMP460 should follow the Standard Governance route and proceed to a Workgroup. The Panel agreed the Terms of Reference for the Workgroup. Nominations opened on 26 September and closed on 17 October. CMP460 proceeded to Workgroup Consultation which opened on 28 January 2026 and closes 18 February 2026

Details

Proposed byInnova
Decision byOfgem
GovernanceStandard Governance (Workgroup)
Impact onHigh impact on Transmission Owners, Distribution Network Owners, Generators, Demand Customers, Transmission System Operators
Also affectsDCP461

Timeline

Panel vote31 Jul 2025
Proposal raised8 Aug 2025
Workgroup report to panel14 May 2026
Code Administrator Consultation opens22 May 2026
Code Administrator Consultation closes15 Jun 2026
Sent to Ofgem10 Aug 2026
Ofgem decision30 Sept 2026
Implementation1 Apr 2027

Analysis

NESO proposes to socialise transmission connection asset costs and cap customer contributions through CUSC modification CMP460. The modification seeks to create more certain charging by reducing direct customer charges for connection infrastructure. Workgroup consultation runs 28 January to 18 February 2026.

Why it matters

This shifts connection costs from individual developers to general network users — socialising private benefits while claiming to improve 'fairness'. As such it reduces price signals that would otherwise allocate scarce grid capacity to highest-value users, favouring marginal projects that cannot justify their full infrastructure costs.

Key facts

  • CMP460 proposes socialising transmission connection asset costs
  • Customer contributions would be capped under new methodology
  • Workgroup consultation: 28 January - 18 February 2026
  • Cross-code impact with DCP461
  • Standard governance route approved by CUSC Panel

Areas affected

grid connectionstransmissionnetwork chargesgenerators

Related programmes

Connections ReformRIIO-ET3