Ofgem has run into opposition from energy network companies after it told them to spend more of customers’ bills on green investment and less delivering returns to shareholders.
The regulator said its plans for the next five years would see £25bn allocated to maintain and operate the networks as well as supporting the growth of clean energy.
A further £10bn could also be made available for net-zero investment on a case-by-case basis for projects “that deliver decarbonisation at the lowest cost to consumers”.
National Grid and SSE, two of the biggest operators in the sector, claimed that the plans jeopardised the transition to a net-zero carbon economy, though they were welcomed by Citizens Advice.
Under Ofgem’s price control system, the regulator assesses plans by network operators over the next five years and sets limits on the profits that they make.
The companies – separate