Incentive-Based Regulation (RIIO Model)—Great Britain
Incentive-Based Regulation (RIIO Model)—Great Britain
Introduction to Great Britain's Incentive-Based Regulation for Transmission and Distribution in the Gas and Electricity Market
30-Dec-2015
Asia Pacific
Description
The Office of Gas and Electricity Market (Ofgem) has implemented RIIO (setting Revenue using Incentives to deliver Innovations and Outputs) for the incentive-based regulation (IBR) covering the gas and electricity transmission and distribution network in Great Britain (England, Wales, and Scotland). The RIIO model puts the customer in the middle of the decision-making matrix. Targets are set on primary outputs covering customer satisfaction, safety, reliability, environmental connections, and social obligations. A second-level set of secondary outputs are subsequently incorporated in a detailed business plan to meet the primary output targets. The IBR period (price control period) is set for 8 years, which aligns with asset investment decisions better than the 5-year period. Wider industry participation is supported using innovation funds controlled by Ofgem.
Table of Contents
Executive Summary
Great Britain (GB) vs. the United Kingdom (UK)
Office of Gas and Electricity Markets
Standing of Ofgem in Europe
Recent News from Ofgem
Electricity Market Structure—Comparison
UK Generation Mix (2014)
Great Britain—Transmission Operators (TOs) and System Operator (SO)
Great Britain—Distribution Network Operators (DNOs)
RIIO Model
RIIO Highlights
RIIO Stages
Outputs and Price Control Methodology—Principle (Electricity)
Outputs and Price Control Methodology—Primary Output
Cost Benefit vs. Price Control Periods
Outputs and Price Control Methodology—Revenue
Outputs and Price Control Methodology—Revenue (continued)
Outputs and Price Control Methodology—Revenue (continued)
Outputs and Price Control Methodology—Revenue (continued)
Outputs and Price Control Methodology—Revenue (continued)
RIIO—Innovation Framework
NGET—RIIO Timeline
Network Performance—Electricity Transmission Under RIIO
News Roundup
Network Operator Viewpoint—Reference from SSE
National Grid Electricity Transmission (NGET)—Primary Deliverable
NGET—Output Total Cost Share
NGET—Reliability and Availability
NGET—Reliability and Availability (continued)
NGET—Reliability and Availability (continued)
NGET—Innovation
Legal Disclaimer
Retail (End Prices) for Households (2013)
The Frost & Sullivan Story
Value Proposition: Future of Your Company & Career
Global Perspective
Industry Convergence
360º Research Perspective
Implementation Excellence
Our Blue Ocean Strategy
Related Research
No Index | No |
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Podcast | No |
Author | Abhishek Kumar |
Industries | Energy |
WIP Number | 9AAE-00-33-00-00 |
Keyword 1 | Office of Gas and Electricity (Ofgem) |
Keyword 2 | RIIO Model |
Keyword 3 | Incentive-Based Regulation (IBR) |
Is Prebook | No |