DNOs' future role in supporting the rollout of low carbon technologies

Regen agrees with an increased role for DNOs to help coordinate LCT rollout, given the extensive network data they hold and the opportunity to coordinate with network upgrades. DNOs hold valuable data, such as low voltage asset, Priority Services Register and looping data, as well as Distribution Future Energy Scenarios, that could significantly improve the targeting of LCT and Energy Efficiency (EE) programmes if shared in an accessible way.

However, we argue that delivery should be led by local authorities and community energy organisations, as trusted area-based organisations, as well as the Warm Homes Agency. Although the data they provide can be useful in property identification, DNOs are not best placed for this local engagement, and should not be responsible for LCT installations. In our view, the role of the DNO should be clearly defined, and Ofgem should avoid duplicating the Warm Homes Agency's responsibilities.

We recommend improvements to existing DNO requirements for data and stakeholder collaboration for LCT rollout, for example advocating that data on low voltage assets be visualised in map format to support site selection for LCTs. Regen strongly welcomes the proposal for DNOs to share possible network build options via online geospatial mapping portals to help local authorities plan effectively.

Our response makes the case for focusing efforts on an “enhanced co-ordination” role for DNOs, with an “expanded” role to be trialled at the start of ED3, including explicit targets for low-income households. Funding for LCTs via an Expanded Role is to be welcomed, but we do not recommend funding via the Regulated Asset Base, which would disproportionately affect consumers.