- Back
- Balancing
- Capacity
- Charging
- Connections
- Data and operations
- Land and assets
-
Insight and innovation
- Back
- Home
- Insight and innovation
- Transmission innovation
- Summer Outlook
- Winter Outlook
- Gas Ten Year Statement (GTYS)
- Gas Future Operability Planning (GFOP)
- The future of gas-fired generation
- Understanding within-day behaviour
- Identifying future drivers of change
- Changing supply patterns
- Future of gas
- Stakeholder resources
System operator incentives
We are the system operator (SO) of the gas transmission network. To imitate the commercial pressures that would normally apply to a company in a fully competitive market, we are subject to a number of performance incentives. These SO performance incentives aim to maintain and improve our daily operational efficiency and are subject to renegotiation at set intervals.
About gas incentives
The SO incentive framework was implemented by Ofgem in 2013/14 and lasted for eight years, known as RIIO-T1 price control. RIIO-T2 price control will stat in April 2021 and will last for five years. Under this framework, we have a set of outputs that we have agreed with our stakeholders. We deliver these outputs in return for an allowance that we have agreed with the regulator Ofgem. You can find a general overview of gas system operator Incentives in our Supporting Information Document. Documents relating to previous consultations and schemes can be found under the Data and documents header below.
Current SO incentives
These are the areas where incentives are in place:
Incentive development
Development
Most of the incentive schemes agreed for the RIIO-T2 price control period (2021-2026) were set for an five year period but some reputational incentives contain reopeners to see if National Grid should be rewarded if the activities substantially change over the price control period.
Review dates
Scheme | Expiration date | Scope |
| Transportation Support Services | October 2018 | Scheme expires 10/18 |
Demand forecasting D-1 incentive | 01 April 2021 | Scheme expires 31/03/21 |
| Demand forecasting D-2 to D-5 incentive | 01 April 2021 | Scheme expires 31/03/21 |
| Greenhouse gas incentive | 01 April 2021 | Scheme expires 31/03/21 |
| Maintenance | 01 April 2021 | Scheme expires 31/03/21 |
NTS shrinkage | 01 April 2021 | Scheme expires 31/03/21 |
Residual balancing | 01 April 2021 | Scheme expires 31/03/21 |
Operating margins | 01 April 2021 | Scheme expires 31/03/21 |
Unaccounted for gas | 01 April 2021 | Scheme expires 31/03/21 |
Information provision | 01 April 2021 | Scheme expires 31/03/21 |
Shallow Incentives Review (2017)
Download the following documents to find out more.
Shallow Incentives Review: Review of the maintenance, demand forecasting for two-to-five days ahead, and greenhouse gas emissions schemes. (June 2017)
Shallow Incentives Proposal: (August 2017)
Shallow Incentives Conclusions Report: (October 2017)
Operating Margins Incentive Proposal (2017)
Download the following documents to find out more.
Operating Margins Incentive Proposal Consultation on the potential re-introduction of a financial incentive for Operating Margin's costs designed to help ensure that the costs customers pay for Operating Margins are kept to a minimum. (August 2017)
Operating Margins Incentive Consultation Outcome (November 2017)
Shallow Incentives Review (2014)
Download the following documents to find out more.
Gas System Operation Incentives review National Grids Initial Business Plan
Data and documents
NTS shrinkage
Demand forecasting
Incentive scheme development (2013)
Past schemes
2012-2013
2011-2012
Gas query directory
To help you efficiently find the right person to talk to in relation to specific National Transmission System operational gas queries, we have developed the following contact list and directory. We have based it on the most common queries we receive from our customers. Its purpose is to make finding the right subject matter expert within National Grid, quicker and easier than ever before.
Please note that if your query relates to a home or domestic gas connection or meter exchange, please contact your network operator. You can find who your network operator is on the Energy Networks Association website.