The ADE has submitted it's final response to BEIS' publication Heat Networks: Ensuring Sustained Investment and Protecting Consumers.
Introducing regulation is key to creating an investable heat networks market that protects all customers. Clear regulation that works to reduce investment risk in the market will help to reduce the cost of capital, resulting in cheaper heat for customers. Such positive customer outcomes also serve to further support investment in the market. The heat networks market will further prove the effectiveness of outcomes-focused, principles-based regulation. Clear, well designed regulation will work to protect customers and support the industry to grow, allowing industry to harness the natural direction of market forces and deliver the right outcomes for customers. The ADE sees that government’s role is to address connection risk and create a supportive policy and regulatory environment that will, in turn, allow the market to best address consumption risk and counterparty risk.
Thanks to all those members who fed into the ADE response - your comments were gratefully received.
You can download a copy of our response below.