Decision on modifications to NGETs licence in relation to consequential costs from ESO separation

Decision on modifications to NGETs licence in relation to consequential costs from ESO separation | Ofgem Please enable JavaScript in your web browser to get the best experience. BETA This site is currently in BETA. Help us improve by giving us your feedback . Close alert: Decision on modifications to NGETs licence in relation to consequential costs from ESO separation Publication type: Decision Publication date: 19 May 2025 Topic: Electricity transmission Decision for: Statutory consultation on modifications to NGETs licence in relation to consequential costs from ESO separation Print this page Share the page Share on Facebook Share on Twitter Share on LinkedIn This is a decision on modifications to National Grid Electricity Transmission (NGET)’s licence, from our consultation in January this year. Background Our licence modifications implement our November 2024 policy decision on funding National Grid plc (NGs)’s consequential costs resulting from the separation of the Electricity System Operator (ESO). They make an adjustment to NGET's totex allowance for the remaining duration of RIIO-2 and introduce requirements related to the Operational Services Agreement with National Energy System Operator. The modifications to the Special Conditions include the addition of the following: SpC 3.42 Consequential Costs recovery from the separation of the ESO term (CCt) SpC 9.22 Termination of the Operational Services Agreement Additionally, our associated modifications to the RIIO-ET2 Price Control Financial Handbook and RIIO-ET2 Price Control Financial Model (PCFM) are available in the subsidiary documents below. Main document Decision - NGET Licence Modification [PDF, 215.55KB] Subsidiary documents ET2 PCFH (Clean) [PDF, 1.09MB] ET2 PCFH (Tracked) [PDF, 1.09MB] ET2 PCFM [XLSM, 3.91MB] Print this page Share the page Share on Facebook Share on Twitter Share on LinkedIn Close