October 2009 meeting discusses renewable financial incentives, DECC security of supply call for evidence and the CDCM consultation

A well attended meeting, which focussed on the significant difficulty smaller suppliers are faced with in terms of establishing distribution charges for their customers as a result of the Common Distribution Charging Methodology (CDCM) work which is almost complete, as well as the parallel distribution price control review (DPCR5).

The external visitor this month was David Osborne from Elexon who gave a summary of the proposals that have been put forward to DECC for the company to administer the levelisation process underpinning the introduction of feed-in tariffs from April 2010. All suppliers present at the meeting were supportive of Elexon undertaking the role as it would utilise existing arrangements, be transparent and allow for changes to be made, if necessary, using the existing modification processes.

Other areas of discussion included:

• the DECC call for evidence on security of supply following the publication of the low carbon transition plan, including the informative demand side response report by IHS Global Insight;
• the recent evaluation by BIS of the new consumer representation arrangements;
• proposals for debt blocking from Ofgem;
• the recent creation of the E-Serve department within the regulators operations; and
• BSC and CUSC Panel update.

The next meeting of the forum will be held on 3 November. For queries and comments, please contact us.