A core function within the UR is setting Price Controls for the regulated businesses. Power NI submit their proposed costs for running the business to the UR. These costs are thoroughly scrutinised and the appropriate level approved by the UR. The UR also sets the Margin for Power NI i.e. the level of profit which they are allowed to make from their price-regulated customers. The scope and customer coverage means that the current price-regulated threshold is for those customers with consumption under 50MWh per annum.
The latest Price Control for Power will run from April 2017. The Decision Paper for the latest control was published in November 2016.
This decision paper outlines the rationale for the UR’s decisions in relation to the main issues within the control, those being its structure and form, an extension to the current Power NI control (with the reduction of revenues to reflect efficiencies gained in the last control period) and the customer coverage (scope) of regulated tariffs now covering domestic customers only.