We operate on a not-for-profit basis, ensuring that our income matches our costs. We adopt an annual bottom-up approach for our Budget, and these are consulted on with REC Parties each year. Once approved, we are bound by our Budget and manage our funds and assets prudently. We only procure goods and services that meet current or future REC service requirements. We aim to strike a balance between innovation and ensuring that the industry gets a return on its investment. Any underspend against the approved Budget, including change allowance and contingency, is refunded to the funding parties as a rebate against the following year’s charges.

Our procurement, transformation, and operational activities, as well as the contracts we manage, are guided by the following commercial principles: