Connections end-to-end review - 10 key takeaways

On 8 December 2025, Ofgem published its response to its review of the regulatory framework around grid connections with the aim of improving network companies’ quality of service as well as providing more timely connection outcomes. This article looks at ten key takeaways from Ofgem’s response and accompanying proposals. In terms of next steps, Ofgem is consulting on its proposals until 27 February 2026 with the aim of publishing a decision in summer 2026. 

1. Specific milestones on networks to provide a timely connections service

Ofgem is looking to develop prescriptive licence conditions that specify minimum standards of service requirements for network companies. The licence conditions will target inadequate service at specific milestones during the pre-connection and post offer stages and will be underpinned by principles-based licence conditions. Examples of potential milestones include minimum timeframes to (i) respond to project-specific post offer communications, (ii) prepare detailed designs and (iii) complete survey works. 

2. A strengthened Guaranteed Standard of Performance (“GSoP”) framework 

Ofgem believes that GSoPs continue to be the most appropriate regime to ensure DNOs are held to account against timeframes for connections delivery. Ofgem is therefore looking to strengthen the scope of the current GSoP framework by adding more ambitious milestones and increasing the current penalty values. While the current framework only applies to DNOs, Ofgem is looking to extend the framework to TOs as well. 

3. Greater visibility of GSoP performance 

Alongside a strengthened GSoP framework, Ofgem will explore mechanisms to ensure greater visibility of GSoP compliance and enforcement such as public performance reporting. Reporting could include ‘data metrics such as the volume of GSoPs triggered, the % of GSoPs paid out when triggered, length of delays against milestones along the customer journey, and % of connection dates met relative to offer dates’. 

4. Introducing liquidated damages (“LDs”) on networks for delay

Ofgem will explore the merits of introducing LDs in connection contracts on the network side to understand their potential for addressing connection delays. LDs could for example work to compensate customers for a pre-specified % financial loss incurred because of a missed connection date due to delays within the network counterparty’s control. Ofgem notes there are examples of LDs being used as standard in connection contracts in other jurisdictions. 

5. Minimum standards on connection offer content

Ofgem will explore introducing minimum standards for connection offer content through prescriptive licence conditions. The standards should set out the minimum technical and financial information to be included in or alongside the connection offer such as (i) local network context (local capacity and constraints), (ii) explanations of the types of connection options available to the customer and (iii) expected curtailment breakdown of costs, including forecast cost fluctuations where networks cannot fully estimate final costs. 

6. ‘Energisation window’ and opt-ins for earlier connection dates

Ofgem will explore the concept of an ‘energisation window’ where network companies provide a ‘front’ or ‘start’ date to customers that acts as an ambitious target, possibly with incentives, and an ‘end date’ that acts as a backstop date, which is potentially subject to penalties. Ofgem are also  proposing the creation of an ‘opt-in’ mechanism for earlier connection dates so customers can have the option of opting for an earlier connection date if one becomes available.

7. No Ofgem intervention on Third Party Works yet

Ofgem has noted that the lack of standardisation in the Third Party Works process has impacted the cost and delivery of some projects. Ofgem expects industry to progress with code modification CMP328 that looks to address some of these issues, although the regulator is ‘unclear’ if the scope of the modification would result in the changes needed to the Third Party Works process.

8. New licence condition on quality of connections data

Ofgem will consider introducing a new licence condition that will require connections data to be (i) accurate and complete and (ii) close to real-time as is possible, with at least monthly updating. The requirement would apply to both data that feeds into data visualisation tools as well as compiled system-level data . 

9. More visibility around the demand capacity  

In response for calls on greater transparency around demand connections, Ofgem will look to introduce a regulatory requirement for network companies to publish a ‘Demand Capacity Register’ (“DCR”) in a similar vein to the Embedded Capacity Register. Ofgem expects the DCR to also be updated at least monthly and looks to industry to collectively determine the exact fields required for the DCR. 

10. Standardised dispute resolution mechanisms across networks 

Ofgem will ask network companies to explore standardising their dispute resolution processes so that customers follow the same dispute resolution journey before coming to the regulator to seek a determination. The standardised process should include timelines for different stages and routes for escalation. Ofgem will also be fully reviewing and updating its main determination guidance in early 2026.