Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, whom Ofgem is accountable to for its decision to implement a new charging regime for gas transportation.

The introduction of a new UK charging regime for gas transportation was driven by the requirement to be compliant with EU legislation (Regulation (EU) 2017/460 (“the EU Tariff Code”). The Tariff Code places obligations on Ofgem, as the UK’s national regulatory authority, to implement changes to the arrangements governing domestic gas transmission charges to meet the Tariff Code’s objectives. Ofgem remains accountable for compliance with EU law during the transition period.

Domestically, Ofgem is an independent regulator and is accountable for the exercise of its powers to Parliament. It is subject to Treasury financial control and it is regularly called to give evidence to Parliamentary select committees, including the Business, Energy and Industrial Strategy Committee.