DCP161: Are you prepared for 01 April 2018?
DCP161 (introduced by Ofgem) comes into force on 01 April 2018 to ensure that half hourly (HH) supplies that exceed their available capacity pay significantly more for this. The purpose behind the new legislation is to assist the Distribution Network Operators (DNO) with balancing out network usage by encouraging businesses to manage their load more diligently.
Penalty rates could be up to three times higher than standard rates and will vary by region and voltage. It is expected that costs will be higher in those areas where there is a high demand for capacity.
Each HH meter across the UK has an agreed capacity level with the local distribution network and is charged at a rate which has been agreed within the supply contract. Currently there is no penalty for exceeding the agreed level of kVA; any excess kVA used is charged at the contracted price.
How can we help?
In order to ensure penalty rates are not applied, we can undertake a review of your HH supplies to confirm the capacity assigned, the maximum demand and whether the capacity is appropriate for the site.
To find out more about DCP161, please do get in touch:
Phone: 01252 560 379