Revised OPR Guidance decision March 2024
Summary
Ofgem finalises revisions to the Operational Performance Regime (OPR) that financially incentivises the Data Communications Company's performance across system operations, customer engagement, and contract management for smart meters. The regime adjusts weighting methodologies and scoring systems rather than changing fundamental incentive structures. This affects smart meter deployment costs allocated across all energy consumers through supplier charges.
Why it matters
This is administrative fine-tuning of an existing performance regime rather than structural reform of smart meter economics. The regime remains a regulatory overlay managing DCC monopoly performance rather than introducing competitive pressures or pricing mechanisms that would reveal true costs of smart meter infrastructure.
Key facts
- •OPR regime covers three performance areas: system performance, customer engagement, contract management
- •Modifications include adjusted system performance weighting and revised scoring methodology
- •Decision published March 2024 following January consultation
Timeline
Areas affected
Related programmes
Memo
Revised OPR Guidance decision March 2024 | 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: Revised OPR Guidance decision March 2024 Publication type: Decision Publication date: 28 March 2024 Topic: Metering Subtopic: Smart meters Decision for: Revised OPR Guidance consultation January 2024 Print this page Related links Revised OPR Guidance January 2024 Revised OPR Guidance March 2023 DCC Price Control decision: regulatory year 2022 to 2023 Share the page Share on Facebook Share on Twitter Share on LinkedIn In January 2024, we consulted on the guidance for the revised Operational Performance Regime (OPR). The regime financially incentivises DCC’s performance in three main areas: system performance, customer engagement and contract management. This document sets out our decisions relating to the OPR Guidance. We have implemented modifications to the system performance weighting, revised the Terms of Reference for contract management, and adjusted the scoring methodology for customer engagement. Alongside this decision we have published the revised OPR Guidance, updated Terms of Reference, and the modified National Audit Office (NAO) framework. Main document Revised OPR Guidance decision March 2024 [PDF, 249.47KB] Subsidiary documents Revised OPR Guidance March 2024 [PDF, 959.91KB] Terms of Reference March 2024 [PDF, 199.10KB] Modified NAO Framework 2023 [XLSX, 63.55KB] Print this page Related links Revised OPR Guidance January 2024 Revised OPR Guidance March 2023 DCC Price Control decision: regulatory year 2022 to 2023 Share the page Share on Facebook Share on Twitter Share on LinkedIn Close