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I want to connect to the transmission system

In this section, we look at how we manage connections to the transmission system. We examine how demands on the connections process are changing, and explain how we plan to improve the overall service we provide to our customers.

I want to connect to the transmission system  

This priority is about what we do to connect, modify or disconnect new and existing sources of gas supply and demand as our customers’ requirements change.

Our connections service is essential to the effective working of the competitive wholesale energy market. It is an enabler for decarbonisation of the gas and electricity systems and it can support the connection of new low-carbon biomethane sources.

We also explore how we will continue to improve our customer satisfaction in RIIO-2.

Golden Thread

Golden Threads demonstrate how the voice of our stakeholders is reflected in our business plan outputs. And how our business plan delivers value for consumers.

I want to connect to the transmission system  

Business Plan Annexes
Our proposal: Connect to the transformation system

What our stakeholders have told us:

Continue to improve customer service, facilitate decarbonisation and the energy system transition and provide greater visibility of capacity for new connections. 

Commitment

Output type

Continue to improve our customer satisfaction in RIIO-2 measured by the continued financial incentive.

We will do this through customer journey work and customer relationship management systems as we have done throughout RIIO-1 and embedding Project CLoCC.

We will actively promote NTS connection opportunities to new classes of customer including those developing low carbon solutions. We will improve our customer self-service capability and provide customers with unified, timely and continuous access to relevant information by continuing to invest in the gas connections applications portal.

ODI - Current proposed cap 0.5% revenues/ collar 0.5% revenues

Target: 7.8/10

Consumer benefit:

We support affordable energy bills by:

  • providing a better service to new and existing customers, promoting a faster route to market e.g. web portal
  • lower connection costs open up new locations where offtake connections were not previously seen as economically viable
  • keeping costs down helps GB retain a buoyant energy-intensive industry sector, in turn supporting employment for UK plc.

Our plan supports a sustainable lower carbon future because we make it easier for lower carbon biogas to enter our system.  


Embedding Project CLoCC could provide a consumer value proposition (CVP) of £33m. For more information on CVP8 please see annex A10.05.


What our stakeholders have told us:

Facilitate the market and remove blockers

Commitment

Output type

Consumer benefit

Support the energy market liquidity by meeting timescales for connection and capacity offers.

 

Ofgem has decided to retain our existing RIIO-1 licence obligation relating to connections – specifically to comply with the connections process requirements of the UNC.

Licence obligation

Our connections service plays a vital part to ensure the cheapest sources of gas are available for GB consumers. We are part of a global gas market. The effectiveness of our processes has an impact upon the attractiveness of GB as a destination for the economic supply and consumption of gas.

We ensure diverse domestic and international sources of gas can access our network efficiently. Diversity contributes positively to security of supply for consumers.

Optimise use of existing system by substituting capacity where possible rather than building new capacity.

 

 

Commitment

Our plan supports an affordable energy bill because where possible we provide capacity without building new assets. This keeps costs down and avoids uncertainty about the enduring value of new assets in future.

Deliver more capacity when underpinned by customer commitment, informed by robust options analysis and use of incremental capacity reopener.

 

Uncertainty mechanism - Trigger: Case-by-case basis, 1% baseline revenue threshold.

The UM approach avoids anticipatory investment (which could give rise to stranded assets) while enabling a timely response to development of new capacity. The UM approach and associated UNC rules seek to achieve the right balance between individual user commitment and socialisation of costs across the generality of gas consumers.

 


What our stakeholders have told us:

Facilitate pipeline diversions / land developments in the vicinity of our assets

Commitment

Output type

Consumer benefit

We will only seek recovery of pipeline diversion costs via transmission charges to the extent that they cannot be reasonably recovered from parties requesting the diversion.

More information on UMs is provided in annex A3.02 and for non-customer funded diversions in annex A19.01.

Uncertainty mechanism - Trigger: Annual iteration reopener process, 1% baseline revenue threshold.

This situation can arise due to the terms of legacy deeds between National Grid and land owners.

We respect the legal rights of owners upon whose land our assets are situated, while protecting the commercial interests of gas consumers.

 

Hands on table working on National Grid Gas RIIO-2 business plan

How you shaped our business plan

Here you can find information about how we consulted with our stakeholders on our business plan.

This includes webinars, reports and consultation documents and blogs supporting our business planning activities.

Find out more

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