SSE plans to appeal "certain elements" of Ofgem price controls

(Alliance News) - SSE PLC on Tuesday said it plans to appeal part of the UK energy regulator's ...

Alliance News 2 March, 2021 | 5:30PM
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(Alliance News) - SSE PLC on Tuesday said it plans to appeal part of the UK energy regulator's final RIIO-T2 price control determination.

SSE said its SSEN Transmission unit, which owns the electricity transmission network in the north of Scotland, will appeal "certain elements" of RIIO-T2. It has appealed to the UK Competitions & Markets Authority.

"The appeal is both technical and narrow in scope, focussed on areas where Ofgem's decision does not reflect the robust evidence provided throughout the price control process, alongside material errors in the decision," SSE said.

SSE noted its subsidiary "remains disappointed" at the cost of equity terms of the price control. These do not "reflect market conditions and the robust evidence provided throughout the price control process".

Earlier on Tuesday, National Grid PLC said it has accepted the overall package for the electricity system operator under UK regulator Ofgem's RIIO-2 final determination, but will submit a technical appeal concerning the electricity & gas transmission package.

Separately on Tuesday, Ofgm named SSE, Royal Dutch Shell PLC and Centrica PLC's British Gas among 18 suppliers that broke price protection rules.

The 18 firms are to issue refunds and redress payments totalling GBP10.4 million, Ofgem said.

"Ofgem found 18 suppliers failed to correctly protect customers' tariff prices when they decided to switch supplier or tariff. Over one million customers were overcharged over GBP7.2 million for the failings. Collectively, the suppliers are issuing refunds and redress payments worth GBP10.4 million."

E.ON SE, Engie SA and Octopus Energy were also among those named.

SSE shares closed down 0.9% at 1,332.50 pence each in London on Tuesday.

By Eric Cunha; ericcunha@alliancenews.com

Copyright 2021 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article

Security Name Price Change (%) Morningstar
Rating
National Grid PLC 902.30 GBX 0.47
Centrica PLC 56.52 GBX 0.61
SSE PLC 1,490.50 GBX -1.09
Royal Dutch Shell PLC B 1,350.20 GBX -1.01
Royal Dutch Shell PLC Class A 1,412.80 GBX -1.11
Engie SA 12.40 EUR 1.27
E.ON SE 9.84 EUR 0.56

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