What is Ofgem Riio?
RIIO-ED2 is the price control for the electricity distribution network, where network companies take power from the transmission network and deliver it at safe, lower voltages to homes and businesses. The price control runs for five years, from 2023-2028.
What does Riio 2 stand for?
Revenue = Incentives + Innovation + Outputs
RIIO stands for ‘Revenue = Incentives + Innovation + Outputs’.
What does Riio ED1 stand for?
Electricity Distribution Price Control Review
Electricity Distribution Price Control Review 1 (RIIO-ED1)
What is Riio GD1?
About RIIO-GD1 The RIIO-GD1 network price control set out what the gas distribution network companies were expected to deliver for energy consumers from 2013-2021. The RIIO-GD2 transmission price control came into effect from April 2021 and will run until 2026.
What is the Riio model?
RIIO (Revenue = Incentives + Innovation + Outputs) is a performance-based regulatory model created by the UK’s Office of Gas and Electricity Markets (Ofgem). RIIO seeks to reward utilities for innovation and for delivering outputs that meet the changing expectations of consumers and society.
How does Riio ED1 work?
RIIO-ED1 is the price control for the electricity distribution network, where network companies take power from the transmission network and deliver it at safe, lower voltages to homes and businesses. The price control runs for eight years, from 2015-2023. The RIIO-ED2 price control will run from 2023-2028.
How does a DNO make money?
Both DNOs and IDNOs earn revenue from the Distribution Use Of System (DUoS) charges which are included in your energy bill. They apply to every connection to the distribution network; You pay them to your energy supplier and the DNO or IDNO then invoices the energy supplier.
What is Nic fund?
NIC is an annual competition that funds flagship innovative projects to deliver financial and environmental benefits for gas customers. Collaboration is an important objective of the NIC.
When was Riio introduced?
2013
We introduced RIIO in 2013. This decision on the framework will apply to the second round of RIIO price controls (RIIO-2) that will begin in 2021 for gas distribution and gas and electricity transmission network.