Competition and Efficiency on Secondary Networks

Retail Advisory Group report on secondary networks review

23 May 2017

The Retail Advisory Group (RAG) has completed its report on the secondary networks review.
The purpose of the review was to answer two questions:

How to improve competition, reliability, and efficiency on secondary networks?

What is the appropriate scope of the Authority’s regulatory activities relating to secondary networks?

The RAG provided four broad sets of recommendations:

The Authority should not automatically limit the number or type of secondary networks.

Secondary networks should be subject to the Electricity Industry Participation Code 2010 and market facilitation measures where there is a long-term benefit for consumers.

More information about the number of secondary networks, and the number of consumers supplied by secondary networks, is required to fully assess the costs and benefits of regulating secondary networks.

Several, mainly technical, recommendations relating to:

improving reliability outcomes for consumers on two types of secondary networks: embedded networks and network extensions

promoting competition and improving the efficient operation of the electricity industry by reducing the costs for retailers of doing business with embedded networks.

We endorsed the majority of the RAG’s recommendations and will further consider the RAG’s remaining recommendations as part of other projects in our work programme.

RAG Report - Review of Secondary Networks

RAG-Report-Review-of-Secondary-Networks-January-2017-2.PDF (PDF, 870 KB)

Last updated: 23 May 2017

Authority's response to RAG secondary networks review

EA-response-to-RAG-secondary-networks-review.pdf (PDF, 203 KB)

Last updated: 23 May 2017
RAG meeting - 21 October 2015

21 Oct 2015

On 21 October 2015 the RAG considered an update on the review of secondary networks regarding the legal status of secondary networks and the estimated number of consumers on secondary networks.
21 October 2015 RAG meeting papers
RAG meeting - 8 July 2015

8 Jul 2015

On 8 July 2015 the RAG considered a summary of submissions and proposed next steps on the review of secondary networks issues and options paper.

8 July 2015 RAG meeting papers
RAG meeting - 9 December 2014

9 Dec 2014

On 9 December 2014, the RAG discussed the scope and approach in the draft “Review of secondary networks: issues and options paper.

9 December 2014 RAG meeting papers
RAG meeting - 9 April 2014

9 Apr 2014

On 9 April 2014 the RAG agreed the scope and approach for a project to consider efficiency and competition on secondary networks.

9 April 2014 RAG meeting papers