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Industry insights

Update on TCR - Targeted Charging Review

Amanda Byrne

13th April 2021

There's been a significant update on the Targeted Charging Review further to Ofgem publishing an open letter.

The letter indicated a delay to the implementation of changes to the way residual transmission costs are charged as part of the Targeted Charging Review. 

The key takeaways are:
• It's likely that the changes to the way TNUoS residual costs are charged, from triad based to a fixed cost, are going to be delayed and will now be implemented in April 2023 rather than April 2022 as previously indicated.
• The changes to the way DUoS residual costs are charged will still go ahead in April 2022.
• Ofgem will update us on their plans after 6 May 2021.

Based on the latest information from Ofgem, many energy suppliers have quickly amended their pricing to properly reflect this update. Some in-flight quotes may need to be re-priced.

Read the fundamentals of TCR here and what it means to your business energy bills.

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