Ofgem plans to encourage gas network companies to increase connections of eligible households to the grids they operate in order to reduce the number of households in fuel poverty.
The changes to the Fuel Poor Network Extension Scheme – including a number of revisions to it, which will come into effect from 1 April 2016 – are expected to deliver over 90,000 fuel-poor connections between 2013 and 2021.
The scheme is delivered through Ofgem’s RIIO-GD1 price control and helps fuel-poor and vulnerable households to switch to natural gas by helping towards the cost of connecting to the gas network, where this is the best solution for the eligible household.
Senior partner Maxine Frerk said: “We are committed to ensuring that we use our price control mechanism to encourage network companies to help fuel-poor households connect to gas wherever that is the right solution for that customer. These new targets and the revisions to the scheme build on its success in previous price controls and will deliver significant benefits to fuel-poor and vulnerable consumers.”