On 21st May 2024, Ofgem published a decision to dismiss an appeal by the Data Communication Company’s against the REC Boards’ decision to approve the RECCo budget for 2024/25. The full decision document can be accessed here.
Background
On 6th March, 2024, the DCC raised an appeal to Ofgem against the REC Board’s decision to approve the RECCo budget for the 2024/25 financial year. The appeal was submitted under Clause 9.7 of the REC Main Body document, which allows any REC Party to challenge specific cost items in the budget rather than the entire budget. The DCC’s appeal focused on the ‘CRS Transfer’ cost item, which allocated £420,000 for a project to explore transferring the Central Registration Service (CRS) obligations from DCC to RECCo.
In its decision paper, Ofgem outlines that after a thorough review of the appeal and the evidence provided by both DCC and RECCo, the Authority concluded that none of the eligible grounds for appeal have been satisfied in this instance to dismiss the DCC’s appeal.
Conclusion
Following the Authority determination, the RECCo final budget, published in February 2024, is unchanged. The Authority decision underscores the integrity of the REC Board’s budget process and RECCo’s commitment to transparent and accountable governance. Earlier this month, we published a summary of changes for the next year’s budgeting process to further enhance the robustness of our budgeting process and transparency to stakeholders.
We appreciate the ongoing engagement and support from our stakeholders and look forward to delivering our Forward Work Plan for the upcoming year.
For further information, please contact us at communications@retailenergycode.co.uk.
