Our RIIO-2 business plan
Ofgem announced its final determinations of our Electricity Transmission business plan for the RIIO-2 regulatory period covering 2021 to 2026. Ofgem’s regulatory framework is known as RIIO (Revenue = Incentives + Innovation + Outputs). The RIIO model offers network companies incentives for innovation and securing investment, so they can develop sustainable energy networks at the lowest cost for current and future customers.
Final determinations
Ofgem published their final determinations on Tuesday 8 December 2020. We will be studying Ofgem's final determinations package very carefully - it covers a broad range of issues for our business.
Our RIIO-2 business plan (2021-2026)
We developed our business plan against a background of rapid change in the energy industry.
Our business planOur Performance Summary
We publish a summary of our performance so that we can explain how we have performed to our customers, stakeholders and end-consumers. We hope that you find it useful and we welcome your feedback on how we can improve our report in the future.
Download Our Performance Summary
Regulatory Financial Performance Reporting (RFPR)
This is our Regulatory Financial Performance Reporting (RFPR) submission to Ofgem. RFPR contains our financial performance for 21/22 under the RIIO framework. RFPR enables Ofgem to administer the licence conditions that relate to the price control. This includes monitoring the performance of licensees against Final Determinations, monitoring compliance with price control obligations and reviewing performance between price controls.
View our Value for Money section for Regulatory Financial Performance Reporting
Hylton Castle MSIP
This submission seeks Medium Sized Investment Project (MSIP) reopener funding to support investment to connection a private electrical network for the International Advanced Manufacturing Park (IAMP) in Sunderland.
Elland MSIP
This submission seeks Medium Sized Investment Project (MSIP) reopener funding to support investment at Elland 132kV Substation in West Yorkshire to provide a connection to existing busbars via a spare bay, enabling Northern Powergrid (NPg) to construct their generation bay equipment.
Willesden & Kensall Green Microsoft Data Centre MSIP
This submission seeks Medium Sized Investment Project (MSIP) reopener funding to support investment at Willesden 400kV & 66kV and Kensal Green 400kV substations (in the north of London to provide connection for Microsoft Cloud Infrastructure and Operations (MCIO) Limited
WISD6 Extension - SEPD MSIP
This submission seeks Medium Sized Investment Project (MSIP) reopener funding to support investment in the North of London to provide two additional 66kV connections for Southern Electric Power Distribution (SEPD)
Electricity System Operator: Pennine Pathfinders MSIP
This submission seeks Medium Sized Investment Project (MSIP) reopener funding to support investment to provide new shunt reactors connected to the 3 NGET sites in the North of England
- Stocksbridge 400kV
- Bradford West 275kV
- Stalybridge 400kV
Leiston MSIP
This submission seeks Medium Sized Investment Project (MSIP) reopener funding to support investment at Leiston 132kV substation in Suffolk for a new demand connection for the Sizewell C project.
Non-Operational IT Capex reopener – Data
This submission requests additional funding for an investment in the underlying digital technology which will provide NGETs stakeholders with simple, direct, and easy access to NGET data and insights. The objective of this submission will provide a way of making the best use of data and be more transparent through greater data access and improved platforms.
Pathfinders
This submission requests the approval by Ofgem of the Need Case for the additional allowances to provide new shunt reactors connected to the following National Grid Electricity Transmission’s (NGET) sites because of NGET being awarded the development, design and delivery works as an output from NGESO’s Network Options Assessment (NOA) High Voltage Pathfinder.
- Stocksbridge 400kV substation – 200 MVar Unit
- Bradford West 275kV substation – 100 MVar Unit
- Stalybridge 400kV substation – 200 MVar Unit
Leiston substation Customer Connection
This submission requests the approval by Ofgem of the Need Case for the additional allowances required to provide 2 x 132kV GIS Bays at Leiston 132kV Substation in Suffolk. The 0MW connection is to accommodate 2 x feeder circuits supplied to a new privately owned 132/11kV Substation to be called Old Abbey.
Bespoke: Tower Steelwork and Foundations (NGET) – ET Special Condition 3.33
The assets covered in this re-opener report are overhead line tower steelwork and foundations and are bespoke to ET Special Condition 3.33. This report develops the estimates provided in our RIIO-2 submission into a detailed investment request for:
- The volume of replacement steelwork which was originally based on high-level helicopter assessments.
- The volume of foundation remedial work which was originally based on assumed levels of intervention ahead of the outcomes of intrusive investigations (planned for RIIO-2).
SO:TO Optimisation Output Delivery Incentive
This report summarises the enhanced services delivered by National Grid Electricity Transmission (NGET) and the forecast constraint saving achieved in 2022/2023 financial year (FY23), which was the second year of the trial ODI.
Substation Civils Infrastructure Reopener
This submission outlines required RIIO-T2 expenditure of £58.07m in addition to initial funding of £25.45m previously granted. This funding will enable us to maintain the reliability of civil infrastructure at 186 sites across the Main Interconnected Transmission System.
Non-Operational IT Capex reopener
NGET’s redacted submission to the April 2021 Non-Operational IT Capex re-opener. This includes the main submission documents and supporting Annexes.
Lister Drive Customer Connection
This submission requests additional funding to provide a connection for Statkraft UK connecting to NGET’s Lister Drive 275kV substation following the output from National Grid Electricity System Operator Stability Pathfinder process that will allow Stakkraft to provide ancillary services to reduce constraint cost.
Frodsham 400kV Customer Connection
This submission requests additional funding to provide a connection for Mersey Reactive Power connecting to NGET’s Frodsham 400kV substation following the output from National Grid Electricity System Operator High Voltage Pathfinder process that will allow Mersey Reactive Power to provide ancillary services.
Cellarhead Customer Connection
This submission requests additional allowance to provide a 132kV connection at Cellarhead Grid Supply Point (GSP) in Staffordshire. The connection is to accommodate a feeder circuit connection between Whitfield Bulk Supply Point (BSP) and Cellarhead GSP being installed by Western Power Distribution (WPD), this will allow WPD to continue to operate a compliant network.
Melksham Operational Tripping Scheme (OTS) Phase 2
This submission requests additional allowance to extend the existing the Melksham Operational Tripping Scheme, this is driven by a range of future Generation Customers connecting into the South West region of England, These additional connections to the Transmission System would result in thermal, voltage and stability issues when particular double circuit unplanned outages occur during certain planned outages.
National electricity infrastructure protection from extreme weather
National Grid is seeking funding to deliver 33 additional weather protection projects in years 2 and 3 of RIIO-T2. This investment will protect assets and sites most at risk from surface water flooding, which has increased due to climate change. An additional reopener is also expected in 2023 to cover the remaining sites which require protection during RIIO-T2.
SF6 Asset Investment to prevent carbon emissions
National Grid requires funding within this regulatory period (T2), to deliver interventions at electricity infrastructure sites that already have or are predicted to have significant SF6 leakage. SF6 gas is used as an insulating medium used in electricity network assets and is 23,500 times more potent than Carbon Dioxide as a greenhouse gas. This investment is forecast to prevent 500,000 tonnes of carbon emissions until 2030, which is the equivalent of planting more than 8 million trees.
RIIO-2 Statutory Licence Consultation
We responded to Ofgem’s RIIO-2 Statutory Licence Consultation. This response was on behalf of National Grid Electricity Transmission plc (NGET) and National Grid Gas plc (NGGT). You can read the following response documentation:
Download the following Annexes
- Annex Chapter 1-9 of the Special Conditions
- Annex Special Conditions being removed
- Annex Standard and Special Conditions being modified
- Annex PCFH
- Annex PCFM.
National Grid Electricity Transmission Independent User Group
We are the Independent User Group responsible for scrutinising National Grid’s RIIO 2 business plan and challenging how they engage with stakeholders. As the Independent User Group, we represent a cross-section of the energy industry and beyond, bringing our individual expertise and experience across a broad range of energy issues.
National Grid Electricity Transmission Independent User Group
RIIO-2 Stakeholder Engagement
We are working to improve our stakeholder engagement – and that is why we place community relations at the heart of our infrastructure projects.
Read stakeholder engagement case studies
Redaction Explanatory Statement
Document published in accordance with the RIIO-2 Re-Opener Guidance and Application Requirements Document.
Download