Regulator issues Statement of Objections


UK gas and electricity regulator Ofgem has issued a Statement of Objections against utility National Grid, as part of a Competition Act investigation into the provision of domestic-sized gas meters. A statement of objections gives notice of a proposed infringement decision, but Ofgem points out that it is standard practice for it to issue such notices as part of its investigations, and no assumption should be made that there has been an infringement of the Act.

The statement suggests that National Grid has entered into long-term exclusive contracts for the provision of domestic gas meters with energy suppliers. The contracts are considered to lock suppliers into National Grid for a significant share of its gas meter requirements, thereby restricting the development of competition. National Grid has been given eight weeks to make written representations on the statement.