Outcome of our assessment under the 2023 RIIO-ED1 Incentive on Connections Engagement
Summary
Ofgem publishes its assessment outcome for the 2023 RIIO-ED1 Incentive on Connections Engagement (ICE), a performance incentive for DNOs on their handling of connection customers.
Why it matters
Historical incentive scheme outcome under RIIO-ED1 (the predecessor price control to RIIO-ED2). ICE was the DNO-facing connection-customer engagement incentive. Limited forward-looking relevance; reference for how DNOs were judged on connection processes before the Connections Reform programme.
Areas affected
Memo
Outcome of our assessment under the 2023 RIIO-ED1 Incentive on Connections Engagement | 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: Outcome of our assessment under the 2023 RIIO-ED1 Incentive on Connections Engagement Publication type: Decision Publication date: 16 April 2024 Decision for: ICE 2023 stakeholder consultation open letter Print this page Share the page Share on Facebook Share on Twitter Share on LinkedIn We expect distribution network operators (DNOs) to provide a high quality service to all customers who are seeking a connection. Helping new customers connect to the electricity network is one of the most important services provided by DNOs. It enables the construction and occupation of new homes, starting up and running new businesses and producing electricity through new forms of generation. The Incentive on Connections Engagement (ICE) was introduced to focus on large connections customers. The ICE aims to push DNOs to engage with their large connections customers and deliver on the needs of these customers. Under the ICE, if DNOs fail to engage and deliver, they could incur a penalty. We have concluded the assessment for this year’s ICE and, overall, feedback relating to engagement from all DNOs has been positive – with the only respondent to our stakeholder consultation confirming they are overall satisfied with DNO performance. We have also received feedback of concern in some areas, which we have discussed further in our letter. Taking everything into consideration, we believe the DNOs have met the minimum criteria under the ICE this year and as such have decided not to consult on penalties. We explain the reasons for our decision in our letter. In the next price control period (2023-28), which started on 1 April 2023, ICE will be replaced by a new Major Connections Incentive (MCI) mechanism, as set out in our RIIO-ED2 Final Determinations published on 30 November 2022. Therefore, we did not require DNOs to include a Looking Forward workplan of activities covering 2023-24 in their submissions for ICE 2022-23. We consulted as usual on the DNOs' Looking Back reports covering 2022-23 as part of our last and final RIIO-ED1 ICE annual process. Main document Incentive on Connections Engagement (ICE) 2023 final decision letter [PDF, 220.78KB] Print this page Share the page Share on Facebook Share on Twitter Share on LinkedIn Close