In our final decision on the licence modifications for the SONI 2015 - 2020 price control, we undertook to provide guidance on how the term 'Demonstrably Inefficient or Wasteful Expenditure' (DIWE) would be interpreted and applied.
The DIWE term is also in the NIE Networks Ltd's electricity distribution and the transmission licence.
Certain elements of the revenue which a licensee would otherwise be entitled to recover may be reduced by the UR to the extent that the company's expenditure is held to be 'Demonstrably Inefficient or Wasteful Expenditure'. This information note provides the licensee with guidance on the interpretation and application of the Demonstrably Inefficient or Wasteful Expenditure Provision.