National Grid looks back at what it has delivered for customers and stakeholders during year one of the regulatory regime RIIO.
“We want to tell stakeholders the full story of what we have delivered in 13/14, where we are looking to improve, the risks we face and how this may ultimately affect the energy bill.”
Sarah Bradford, RIIO Delivery Analyst.
RIIO, the abbreviation for Revenue = Incentives + Innovation + Outputs, is the new framework for setting the network companies’ price controls. Adopted by the energy industry regulator Ofgem in spring 2013, it is a performance-based model for the period through to 2021.
Now, for the first time under the new regime, National Grid has shared extensive and detailed information about its performance with its customers and stakeholders.
Sarah Bradford, RIIO Delivery Analyst, said: “RIIO is all about putting customers and stakeholders at the heart of our plans.
“Before the start of RIIO, we undertook two years of engagement to determine what customers wanted to see us deliver and to help shape the framework. These conversations are continuing to ensure we’re adapting to meet the changing needs of our wide range of customers and stakeholders. This is all built upon on National Grid’s three themes of ‘listen, discuss and act’, a continual process that we follow when engaging with stakeholders.”
National Grid’s three main businesses of Electricity Transmission, Gas Transmission and Gas Distribution submitted their first full regulatory reporting packs under RIIO in July 2014.
The reports being published on the 30th September are designed to meet one of the commitments made by National Grid to be transparent about costs and how money is spent, as well as how various outputs are being delivered to the benefit of stakeholders.
“Everything within these reports is designed to be transparent,” said Sarah. “We want to tell stakeholders the full story of what we’ve delivered in 13/14 – the areas where we’re looking to improve, the risks we face and how this may ultimately affect the energy bill.”
Sarah said all three reports have a similar structure, covering progress against safety, reliability, customer and environmental outputs, as well as a value-for-money section that sets out National Grid’s network costs over the next seven years. Case studies are used throughout to bring to life some of the work National Grid has done.
“We’ve followed a format that our customers and stakeholders will be familiar with,” added Sarah. “However these performance reports are the first we’ve produced under RIIO, so we’ll listen to feedback and look to improve them for next year.”
For more information on distribution, click here.
For more information on transmission, click here.