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Issue 390 | DCP206

Issue 390 | DCP206

Josephine Lord Josephine Lord Consultant

New DCUSA modification proposalDCP206 Removal of Charge 1 from the EDCM 1 April 2014 This proposal was raised by E.ON UK and seeks to remove Charge 1 from the Extra-high Voltage Common Distribution Charging Methodology (EDCM). Charge 1 represents costs associated with demand-led reinforcement, estimated by reference to power flows in the maximum demand scenario. The proposer argues that this charge could impose charges that reflect future hypothetical investments needed to meet the growth in demand of other customers. The charge would be removed from both the Long Run Incremental Cost (LRIC) and Forward Cost Pricing (FCP) versions of the charging methodology. The issue ...

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