This response has been prepared by members of the Scottish Hydro Electric Transmission (SHE Transmission) Network for Net Zero Stakeholder Group. Members of this group, although appointed by SHE Transmission, are independent of the company. Four members of the group served on the SHE Transmission RIIO-2 Enhanced Engagement User Group (the User Group) and this consultation response includes consideration of the User Group report submitted to Ofgem in December 2019.
In August 2018, SHE Transmission established an independent RIIO-T2 User Group. Today we publish our report on SHE Transmissions' Business Plan for the next price control period, RIIO-T2, which runs from April 2021 to March 2026.
Your Plan, Our Future
Meaningful and impactful stakeholder engagement has always been a core element of Ofgem’s RIIO regulatory framework, (Revenue = Incentives + Innovation + Outputs) this focus has not only led to better engagement between network companies and their stakeholders, it has also helped to enhance delivery outcomes for our customers.
In March 2018, Ofgem published their consultation on the framework for the next set of transmission price controls (RIIO-T2), starting in 2021. Within this document, Ofgem outlined their intention to further build on this stakeholder engagement progress; including using lessons learned and good practice from other utility sectors.
For further improvements to be realised, and to ensure business plans are aligned with a wide range of consumer needs, Ofgem has introduced different models of stakeholder engagement for the next price control to capture feedback from a broader variety of interest groups and influencers. In August 2018, we established our independent RIIO-T2 User Group, the group consists of eight experts who have a varied background in areas including distribution networks, generators, large users and suppliers. The User Group will work on behalf of electricity consumers, customers and wider stakeholders to ensure SHE Transmission submit a robust business plan that delivers a sustainable and efficient future network.
The User Group’s journey is now well underway and is playing a vital role as we work towards publishing a successful, and well-informed business plan that puts our customers at the very heart of its ambitions.
Earlier this month, we met with the User Group at our Head Office in Perth. In the video above, User Group panel members, Doug McAdam and Geoff Aitkenhead share their thoughts on how the User Group will play a pivotal role in the development of our business plan.
As we continue to prepare for the next electricity transmission price control period (RIIO-T2), from 2021 onwards, enhanced Stakeholder Engagement is a crucial element of developing our business plan, so it’s vital we actively and effectively engage with our stakeholders – from politicians, generation developers and Distribution Network Operators (DNOs), to energy consumers and their representatives, community groups, landowners and environmental agencies – to make sure their needs are reflected in our future plans.
The RIIO-T2 User Group will play a key role in scrutinising and providing independent expert challenge to the development and delivery of our business plan. Through detailed engagement with our business experts, the User Group’s feedback will directly shape how we plan to meet customers’ needs from the north of Scotland transmission network from 2021 onwards.
The group is made up of eight experts who have a varied background in areas including distribution networks, generators, large users and suppliers. The User Group also have expertise or the ability to call upon expertise in further areas including, fuel poverty, community energy and consumer research.
In July 2018 we appointed Tracey Barlow as independent chair of the RIIO-T2 User Group. We’re delighted to have Tracey on board – she will bring a wealth of experience and insight to the role – and along with the other members of the group, will ensure our business plan makes commercial sense and represents our stakeholders’ expectations and needs.
At the User Group meeting in October 2018 we had a team on hand to film short interviews with Tracey, alongside Niall Stuart and Geoff Aitkenhead, to gather their initial thoughts on RIIO-T2 and how the User Group will play a role in our development.
If you have any feedback for the RIIO-T2 team or would like to know more about how you can get involved, please email firstname.lastname@example.org
Tracey Barlow, Independent Chair of SHE Transmission's RIIO-T2 User Group, shares her thoughts on progress and priorities following the first inaugural meeting.
Shirley Robertson, Head of Business Sustainability, explains what skills and expertise are required to help shape SSEN’s 2021-2026 business plan.
Stakeholder engagement is a core element of RIIO (Revenue = Incentives + Innovation + Outputs) and the enhanced emphasis on this has led to better engagement between network companies and their stakeholders.
In March 2018, Ofgem published their consultation on the framework for the next set of price controls (RIIO-2). Ofgem outlined their intention to build on the progress that has been made in stakeholder engagement and on good practice in other sectors. For further improvements to be realised and in order to ensure business plans are aligned with consumer needs, Ofgem are introducing different models of stakeholder engagement. To support this, network companies and Ofgem will establish Groups that will challenge proposed business plans for the next round of price controls. In addition, Ofgem will be establishing a RIIO-2 Challenge Group - this Group will look at proposed business plans and will operate in parallel with the Groups established by the companies.
We, Scottish Hydro Electric Transmission plc (SHE Transmission) will establish a User Group in summer 2018 to work alongside Scottish and Southern Energy Power Distribution (SSEPD) Board. The User Group will provide direct input and a robust challenge to our proposed business plans. We'd particularly like to hear from individuals who are users of our network such as;
As well as offering challenge to business proposals in terms of projections of cost efficiency and service quality improvements, we expect members of the User Group to also have expertise in or the ability to call upon expertise in areas such as, non-traditional business models, innovation, fuel poverty, community energy and consumer research. Establishing a Group with a variety of expertise will ensure that our proposals meet the needs of stakeholders across a range of topics.
To register your interest in becoming a panel member, or to provide us with feedback or suggestions please contact email@example.com before Wednesday 4 July 2018.
The User Group’s journey is now well underway and is playing a vital role as we work towards publishing a successful and well-informed business plan that puts our customers at the very heart of its ambitions.