LONDON--U.K Energy regulator Ofgem, Thursday announced that it
is planning a change to the methodology for calculating what
generators pay to use the electricity transmission network which
will narrow the difference in tariffs between the north and south
of Britain.
MAIN FACTS:
-It is proposed that the new charges would come into effect on
April 1, 2014.
-The aim of this change is to facilitate the timely move to a
low carbon energy sector, while maintaining a robust and efficient
supply of electricity across Britain's high voltage network.
-The main update to the methodology is that it would better take
into account the type of generator and how it uses the network to
transmit power to parts of the network where the demand for that
power is situated.
-Ofgem considers that the proposed methodology change would
better reflect the costs placed on the high voltage system by all
forms of generation, including new kinds of generators, located at
different points on the network.
-Tariffs in the north will decrease whilst tariffs in the south
will increase relative to the status quo.
-Write to Razak Musah Baba at razak.baba@wsj.com
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