Enhancing the REC Change Process: Addressing challenges and implementing improvements

We've detailed the key changes that we've started to make this year to improve the REC Change Process for stakeholders alongside the Code Manager.

In late 2023, we gathered feedback from all users of our REC services as part of our Annual Satisfaction Survey. This feedback and input gathered through workshops, additional surveys, and direct communication have shaped our priorities for change in 2024 and 2025. A significant area for improvement identified in the feedback was the REC Change Process. This process has been a crucial mechanism that has enabled us to further develop the retail energy market and enhance consumer outcomes. For instance, through introducing the Market Stabilisation Charge and Prepayment Levelisation to REC governance. In 2023/24, more change requests were implemented than ever before, with over 55 new requests raised and a reduction in the overall number of open requests. Nevertheless, our engagements have shown key areas for further improvement. Stakeholders indicated that the process was too slow, they didn’t feel they had enough opportunity to contribute to the development of changes, and in some instances, the quality of solutions or code drafting could be improved.

Below, we’ve detailed the key changes that we’ve started to make this year to improve the REC Change Process for stakeholders alongside the Code Manager.

Our evaluation of the REC Change Process

The REC Change Process was created with the intent of simplifying existing processes, requiring less input from industry stakeholders during change development and giving more authority to the Code Manager. The Code Manager established a change management team with 3 change analysts to handle all REC changes. However, after 2.5 years of actual operation, it became clear that the design and resources were inadequate for the following reasons:

  • The volume of change had been higher than estimated.
  • The proportion and prioritisation of complex change and date-driven change had been higher than predicted.
  • Interactions between service providers and the Code Manager required additional coordination, resulting in longer implementation timescales.
  • Stakeholder engagement in the Change Process had been too late, often resulting in additional workshops, discussions, replanning, and re-basing of solutions.

Our improvements so far

In order to address the above issues, a number of improvements have been made:

  1. Task force initiation

In the second quarter of 2023, we established a task force to evaluate the change backlog and develop a plan to progress ‘on hold’ changes. This task force has been instrumental in identifying bottlenecks and creating actionable solutions.

  1. Introduction of REC Issues Group

We introduced the REC Issues Group, a forum where operational issues are discussed openly, and the need for change is agreed upon by consensus. This group ensures that issues are identified and addressed promptly.

  1. Establishment of the REC Issues Group

The REC  Issues Group (RIG) focuses on specific change-related issues. This group provides input into issue resolution and feeds into solution development. We will review the effectiveness of this group after 3-6 months to ensure it is achieving the desired impact.

  1. Enhanced resources for the change team

Recognising the need for more robust resourcing and industry expertise to develop quality solutions to issues, we have doubled the size of the change team to include additional change analysts and subject matter experts.

  1. Comprehensive review of the REC Change Process

A full review led to the raising of Change Proposal R0167. This change aims to amend Schedule 5 – Change Management addressing inefficiencies in the existing process, ensuring a more streamlined and effective approach.

Next steps

For more information or to provide feedback on the Change Process and the improvements we are making, please email us at communications@retailenergycode.co.uk.

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