Modifications to electricity distribution licence Special Conditions to enable TMO4+ connections reform

Modifications to electricity distribution licence Special Conditions to enable TMO4+ connections reform | 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: Modifications to electricity distribution licence Special Conditions to enable TMO4+ connections reform Publication type: Consultation Publication date: 21 August 2025 Last updated: 2 December 2025 Closed date: 19 September 2025 Status: Closed (with decision) Topic: Electricity distribution, Electricity transmission Subtopic: Connections Show all updates Print this page Related links Decision on Connections Reform Package (TM04+) Share the page Share on Facebook Share on Twitter Share on LinkedIn Details of outcome Following our statutory consultation earlier this summer, we have decided to create a new pass-through mechanism in the RIIO-ED2 price control for Distribution Network Operators (Licensees). This is to support DNOs in carrying out the implementation of TMO4+ as part of Connections Reform, specifically the Gate 2 to Whole Queue Exercise, to allow pass-through of reasonable costs associated with this one-off exercise. A supporting Governance Document (the Connections Reform Costs Governance Document) has also been created to provide greater clarity on the costs that may be recovered through the mechanism, as well as the associated obligations on DNOs. These modifications to the licence will take effect from 27 January 2026. Read the full outcome Decision on Modifications to electricity distribution licence Special Conditions to enable TMO4+ connections reform [PDF, 247.12KB] Annex A: Changes to Electricity Distribution Licence Special Conditions [PDF, 576.91KB] Annex B: Connections Reform Costs Governance Document [PDF, 169.61KB] Statutory Consultation non-confidential responses [ZIP, 1.01MB] Original consultation We are consulting on the creation of a new pass-through mechanism in the current price control for Distribution Network Operators (Licensees). This is proposed to support DNOs in carrying out the implementation of TMO4+, specifically the Gate 2 to Whole Queue Exercise, to allow pass-through of reasonable costs associated with this one-off exercise. We are also consulting on the creation of a supporting Governance Document (the Connections Reform Costs Governance Document) to provide greater clarity on the costs that may be recovered through the mechanism, as well as the associated obligations on DNOs. Main document Statutory consultation on connections reform costs related modifications to electricity distribution licence Special Conditions [PDF, 242.86KB] Subsidiary documents Annex A: proposed modifications to electricity distribution licence Special Conditions to enable TMO4+ connections reform [PDF, 577.89KB] Annex B: connections reform costs governance document [PDF, 161.49KB] Print this page Related links Decision on Connections Reform Package (TM04+) Share the page Share on Facebook Share on Twitter Share on LinkedIn All updates 2 December 2025 Added outcome of consultation. Close