Response to Ofgem’s Innovative Delivery Incentive Guidance Document Consultation

Innovative Delivery Incentive Consultation 348 KB

Citizens Advice supports Ofgem’s proposed Innovative Delivery Incentive (ODI-F) and the independent panel in principle, as it encourages the adoption of innovation into Business as Usual. However, greater transparency and accountability are essential to protect bill payers:

• Ofgem must justify reducing the project qualification threshold from £10m to £5m and enforce strict evidence of innovation.

• Evaluation panels must include an economic expert to independently verify benefit claims.

• Operators must not be rewarded for collaborating with NESO, as this is an existing core responsibility.

• Post-launch audits must verify the savings delivered, and underperformance penalties must apply across all operational areas, not just outages.

Financial rewards must only go to network companies that deliver genuine, proven value to energy consumers.