Electricity company Northern Powergrid has been given permission to appeal against changes made to its distribution licences.
The Newcastle-based firm says decisions made by the Gas and Electricity Authority (GEMA) last year, which affect pricing, contain "errors of fact". Northern Powergrid, which is responsible for electricity distribution across the North East, Yorkshire and North Lincolnshire, says changes to its licences, made as part of the 'RIIO-ED2' price controls mean it is unable to invest properly in the network.
The Competition and Markets Authority, which has granted Northern Powergrid the opportunity to appeal, says it has appointed three panel members to determine the outcome, which is expected at the end of September. Ofgem requires distribution network operators (DNOs) such as Northern Powergrid to adhere to a regulatory framework known as a price control which are intended to protect consumers by setting an upper limit for the amount they can charge for use of their infrastructure.
