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RIIO-T1 and GD1: Draft licence conditions – First informal ... - Ofgem

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<strong>RIIO</strong>-<strong>T1</strong> <strong>and</strong> <strong>GD1</strong>: <strong>Draft</strong> <strong>licence</strong> <strong>conditions</strong> <strong>–</strong> <strong>First</strong> <strong>informal</strong> <strong>licence</strong> drafting<br />

consultation<br />

explanatory text <strong>and</strong> for ease of reference, this document has been structured to<br />

present proposed changes to <strong>licence</strong> <strong>conditions</strong> that are „common‟ across all three<br />

energy sectors, together wherever possible. Any proposed changes that are specific<br />

to a particular sector or Licensee have been presented separately.<br />

1.40. The following chapters set out our proposed <strong>licence</strong> changes <strong>and</strong> explain the<br />

reasons <strong>and</strong> intent behind those changes:<br />

� Chapter 2 <strong>–</strong> Electricity Transmission - changes to SLCs <strong>and</strong> SpCs<br />

� Chapter 3 <strong>–</strong> Gas Transmission - changes to SpCs<br />

� Chapter 4 <strong>–</strong> Gas Distribution - changes SSCs (Part D) <strong>and</strong> SpCs<br />

� Chapter 5 <strong>–</strong> GT <strong>and</strong> GD - changes to SLCs <strong>and</strong> SSCs (part A)<br />

� Chapter 6 <strong>–</strong> The Annual Iteration Process for the Price Control Financial Model<br />

<strong>and</strong> updating of base revenue allowances<br />

� Chapter 7 <strong>–</strong> Proposed changes to common ET, GT <strong>and</strong> GD <strong>licence</strong> <strong>conditions</strong><br />

� Chapter 8 <strong>–</strong> Associated <strong>RIIO</strong> documents.<br />

1.41. This document also includes the following appendices which set out our first<br />

thoughts on the data that will be collected through the proposed new Regulatory<br />

Instructions <strong>and</strong> Guidance (RIGs) <strong>licence</strong> condition.<br />

� Appendix 1: Sets out the data that will be required in the electricity<br />

transmission RIGs<br />

� Appendix 2: Sets out the data that will be required in the gas transmission<br />

RIGs<br />

� Appendix 3: Sets out the data that will be required in the gas distribution<br />

RIGs<br />

� Appendix 4 - Indicative tables showing proposed changes to the price control<br />

related <strong>licence</strong> <strong>conditions</strong> within the GT <strong>licence</strong>.<br />

1.42. Alongside this document we have also published the following three<br />

Supporting Documents which set out the proposed <strong>licence</strong> drafting for each sector:<br />

� Supporting Document 1: <strong>Draft</strong> <strong>RIIO</strong>-<strong>T1</strong> Electricity Transmission <strong>licence</strong> changes<br />

� Supporting Document 2: <strong>Draft</strong> <strong>RIIO</strong>-<strong>T1</strong> Gas Transmission <strong>licence</strong> changes<br />

� Supporting Document 3: <strong>Draft</strong> <strong>RIIO</strong>- <strong>GD1</strong> Gas Distribution <strong>licence</strong> changes.<br />

1.43. The draft <strong>licence</strong> <strong>conditions</strong> in the above Supporting Documents have, as far<br />

as possible, been presented in the order we expect the <strong>licence</strong> <strong>conditions</strong> to finally<br />

reside in the <strong>licence</strong>. However, we note that this has unfortunately resulted in the<br />

<strong>RIIO</strong> tracking numbers assigned to the <strong>conditions</strong> not running in ascending order in<br />

the Supporting Documents.

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