We understand just how critical electricity is to the lives and work of all the customers we’re here to serve. That’s why it’s important we look to the future – anticipating future needs and making sure we play our role in enabling a better future, quicker for everyone.
Our plans need to take account of a number of complex current and future demands. Given how quickly the energy sector is changing, technological advancements and political uncertainties, we also need to make sure that we’re adaptable to change, in case the future energy system turns out differently to what we’ve planned for.
Like all network operators in Great Britain, the cost associated with our activities and the services we provide is shared across all electricity bill payers as a percentage of their energy bills. This cost sharing stays the same no matter the energy supplier or network area an individual or business belong to. As electricity bill payers, it’s important we all feel able to have our say when it comes to planning for the future via RIIO-2.
The electricity sector is currently operating in the initial or 'RIIO-1' delivery period which runs from 1 April 2013 to 31 March 2021 (RIIO-T1) for Transmission network operators and from 1 April 2015 to 31 March 2023 (RIIO-ED1) for Distribution network operators. RIIO-2 will run from 1 April 2021 for Transmission Operators and from 1 April 2023 for Distribution Operators.
What is RIIO?
RIIO stands for 'Revenue = Incentives + Innovation + Outputs'.
It's framework used by the industry regulator to make sure individual network companies, like SP Energy Networks, provide a safe and reliable service, value for money, maximise performance, operate efficiently, innovate and ensure the resilience of their networks for current and future customers.
Our RIIO-T2 Business Plan
Our RIIO-T2 Business Plan offers a practical road map toward a cleaner, greener and healthier Britain.
Back in December of last year we submitted our plan to Ofgem for review. That plan detailed our ambitions for the Transmission network over the next five years - build on our long-term track record to help deliver an electricity network for Net Zero and maintaining the level of reliability customers have come to expect, all for less than £5 per year.
We worked hard to make sure our plan was founded on the best interests of consumers, our network users and wider stakeholders alike - as well as contributing to Scottish and UK Government Net Zero targets.
Our RIIO-ED2 Business Plan
This is a critical step on the journey to Net Zero. We'll work with the communities we serve to enable a just transition for all.
We’ve now started the process of developing our ambitious RIIO-ED2 Business Plan that will run from 2023 to 2028.
The Scottish and UK Governments have set ambitious decarbonisation targets for Net Zero by 2045 and 2050 respectively and the next decade will be crucial in preparing the grid for the increase in demand from an all electric economy.
The plans for our distribution network will take a leading role in delivering a Net Zero future and will speed up the transition to decarbonisation.
Your feedback, insight and views are at the heart of all our future plans.
Stakeholder engagement has always been a vital part of everything we do and we're building on this long-established practice and our strong links with our customers, users and communities throughout the development of our future plans. Throughout all of our planning and the building of our plans - it's imperative that you can have your say.
We'll continue to engage with you over a number of consultations specific to the topics that make up our future business plan. We'll also be keeping the conversations going through a variety of events including conferences, webinars, connections and supplier events, panel discussions and through our online community - all with the aim of making sure our plans are built around what you need.
If you'd like to be kept up-to-date with the latest information and our planned activities regarding RIIO-2, you can join our stakeholder online community (opens in a new window). We also welcome your thoughts and feedback via our RIIO-T2 mailbox or our RIIO-ED2 mailbox and through the various consultations we'll be holding. If you have any questions - please get in touch, we'd love to hear from you.