Proposed review of the Energy Market Investigation Order 2016

The CMA is consulting with interested parties on whether or not to launch a review of the Energy Market Investigation (Prepayment Charge Restriction) Order 2016. The CMA is seeking views from interested parties on the following matters to assist it in reaching a decision on whether or not to launch a review of the Order, and if so, in determining the appropriate scope of any such review:

• whether the CMA should prioritise the Order for review at this time
• whether it is appropriate for the scope of the review to consist of the assessment of the progress made concerning the rollout of smart meters, and the CMA’s calculations underlying the initial benchmark figures set out in Annex 1 to the Gas Supply Licence Condition 28A and in Annex 1 to the Electricity Supply Licence Condition 28A concerning the ‘policy cost allowance’ and the DCC costs element of the ‘indirect cost allowance’
• whether there is evidence that additional calculations of cost categories, or broader elements of the Order should also be subject to review

Representations with relevant evidence should be made by 5pm on 18 January 2019.

The CMA will use the evidence and views submitted in response to this Invitation to Comment to reach a decision on whether or not to launch a review of the Order in early 2019.