Ofgem’s Independent Suppliers Forum – 13th July 2020
Ofgem held its 10th Independent Suppliers Forum earlier this month. The challenges of COVD-19 were addressed and the need to focus on clean energy, innovation and opportunities were discussed.
Key feedback on the impact of COVID-19 on the energy industry
In a keynote speech, it was contributed that independent suppliers share of the electricity market has grown from 26% to 30% in the last year with gas seeing a similar shift from 27% to 31%. The challenges of COVID were addressed recognising that in the year before the pandemic there had been 9 SoLR event and 4 acquisitions. Ofgem are fully aware that the energy sector will be impacted, just as every sector is and are keen to do all that can be done to address the risks.
Regulatory flexibility
This has included regulatory flexibility for all market participants from the outset of the pandemic through the peak. Ofgem’s approach utilised a team of account managers covering domestic suppliers more closely with key messages being communicated:
- A pragmatic approach to compliance
- Protect your most vulnerable customers
- Keep staff and customers safe
- Ensure security of supply
- Ensure flexibility to keep with the pace
Ofgem has identified that suppliers have largely done the right thing and have all adapted quickly and successfully to the situation.
Supplier reporting returning to normal
From the 30th June the expectation from the Regulator is that all suppliers will return to the pre-COVID standards with the transition being closely monitored through the COVID RFI and wider regulatory reporting. The approach will be of engagement where required but with pragmatism.
Should you wish to discuss the Supplier Licensing Review proposals in more detail or require support in responding to the consultation please get in touch.
Slides from the event are available here.
