Industry body urges network charging reform
An industry body has urged Ofgem to act now on network charges to ensure Scotland can reach its potential as a clean energy cornerstone of the UK.
An industry body has urged Ofgem to act now on network charges to ensure Scotland can reach its potential as a clean energy cornerstone of the UK.
Scottish Renewables wants the regulator to bring forward interim reforms whilst it undertakes a fundamental overhaul of the current Transmission Network Use of System (TNUoS) regime.
The organisation said the charges are “volatile, unpredictable and outdated”.
“The current rules were designed more than 30 years ago and do not align with the UK Government’s Clean Power 2030 Mission. Scottish renewable energy projects, which will help secure our future energy supply, are penalised by tens of millions of pounds every year under the current charging regime, deterring investment and undermining the value they could deliver to consumers,” it said.
It calculated that existing Scottish generators have faced £2.9 billion of unforeseen and unavoidable TNUoS charge increases since 2015.
“Without reform, TNUoS charges will continue to undermine the competitiveness of Scotland’s clean energy industry,” it added.