CATOs: Ofgem’s latest decision paper & revised timetable for round 1 tenders

United Kingdom

This article was produced by Nabarro LLP, which joined CMS on 1 May 2017.

On 25 November 2016, Ofgem published its decision paper relating to the first of the consultations launched in May 2016 on competitively appointed transmission operators (referred to as “CATOs”). The decision paper essentially confirms many of the proposals consulted on over the summer as they relate to criteria, pre-tender and conflict mitigation arrangements that will apply to the CATO tendering regime.

Notably, in the decision paper Ofgem states: "We currently plan on being in a position to be able to commence the first CATA competition from 2018."

More detailed provisions have also been set out to deal with the question of incumbent TOs bidding for CATO projects. TOs which have been involved in preliminary work will need to implement additional measures before they may participate in the subsequent CATO tender.

Click here to link to Ofgem’s decision paper Extending competition in electricity transmission - decision on criteria, pre-tender and conflict mitigation arrangements and their Quick Guide to the CATO regime. Nabarro’s latest briefing note: CATOs: Opportunities in onshore transmission.

For a further discussion please contact the authors or your usual Nabarro contact.