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Ofgem meaning

Published by a LexisNexis Energy expert
What does Ofgem mean?
In legal practice, Ofgem is the energy regulator lawyers engage with on Great Britain gas and electricity matters, including licensing, price controls, consumer protection and enforcement. Used as industry shorthand, “Ofgem” refers to the Office of Gas and Electricity Markets, which supports the Gas and Electricity Markets Authority (GEMA). The Authority’s statutory functions are primarily set out in the Gas Act 1986 and Electricity Act 1989 (as amended), supplemented by legislation such as the Utilities Act 2000 and the Enterprise Act 2002. Key features include: granting, modifying and revoking licences for generation, supply, transmission and distribution; setting and enforcing licence conditions; investigating and penalising breaches (including financial penalties and orders); administering price controls (RIIO) and the default tariff cap; overseeing industry codes and charging; and running supplier failure processes (Supplier of Last Resort and energy supply company administration). Ofgem’s jurisdiction is Great Britain (England & Wales and Scotland). It does not regulate Northern Ireland (regulated by the Utility Regulator/UREGNI) or Ireland (regulated by the Commission for Regulation of Utilities (CRU)). The all-island Single Electricity Market (SEM) is jointly regulated by CRU and UREGNI, not Ofgem. References to Ofgem are common in contracts, compliance and judicial review.
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View the related News about Ofgem

NEWS
UK and EU environmental law weekly update: emissions trading, energy and nuclear, ESG reporting, UK REACH, waste and producer responsibility, biodiversity, marine, water and litigation—26 February 2026

In this issue: Air emissions and climate change Energy for environmental lawyers Environmental disputes and proceedings Environmental permits and consents Environmental taxes, reliefs and incentives ESG and sustainability Hazardous substances and chemicals Marine Nature, biodiversity and habitat conservation Waste Waste producer responsibility regimes Water, flooding and drainage Daily and weekly news alerts New and updated content Air emissions and climate change DESNZ releases quarterly waste data reporting template for the UK ETS. The Department for Energy Security and Net Zero (DESNZ) has issued a template for quarterly waste data submissions under the UK Emissions Trading Scheme (UK ETS). It is designed for waste operators to use when sending quarterly data reports to their regulator during the voluntary monitoring, reporting and verification (MRV) period. See: LNB News 19/02/2026 50. AFME responds to European Commission consultation on climate resilience legislative framework. The Association for Financial Markets in Europe (AFME) has provided...

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NEWS
Energy law weekly update, 9 May 2024: climate plan ruling, Ofgem LFCRP, Great Grid Partnership, CCS licensing round, fusion NPS, CO2 transport, EU gas CAM NC and EPBD

In this issue: Key developments and materials Electricity and gas market regulation and licensing Networks and network connections Conventional power, waste to energy, biomass, and CHP projects Nuclear energy Air emissions, efficiency, and climate change International energy Daily and weekly news alerts New and updated content Dates for your diary Trackers Key developments and materials Friends of the Earth has won a pivotal High Court judgment against the government, with the court ruling that the climate strategy advanced by the Secretary of State for Energy Security and Net Zero is unlawful. The court determined that adopting the Carbon Budget Delivery Plan contravened the Climate Change Act 2008. See: LNB News 03/05/2024 70. Electricity and gas market regulation and licensing Ofgem has released its conclusions on the consultation regarding updates to the licence fee cost recovery principles (LFCRP) and issued the LFCRP for May 2024. After reviewing consultees’ submissions, Ofgem confirmed it...

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NEWS
Great Britain weekly energy law update: Ofgem code reform, RIIO-3 modifications, Green Heat Network Fund in Wales, FiT CPI indexation, social housing MEES, key consultations (9 April 2026)

In this issue: Key developments and materials Electricity and gas market regulation, licensing and taxation Networks and network connections Renewable energy Air emissions, efficiency, and climate change New and updated content Dates for your diary Trackers Energy resources on Lexis+® Daily and weekly news alerts Key developments and materials Ofgem consults on draft second preliminary Strategic Direction Statement for industry codes Ofgem has opened a consultation on SDS-2 for energy industry codes, outlining its strategic reading of government policy and sector shifts that could drive code changes over the next one to five years. It is seeking input on the proposed policy themes, how they are allocated across the ‘Act now’, ‘Think and plan’ and ‘Listen and wait’ horizons, and whether any significant topics are missing. Ofgem also asks for views on its plan to move SDS-2 from a preliminary document to a hybrid Strategic Direction Statement following the anticipated designation of the...

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View the related Practice Notes about Ofgem

PRACTICE NOTES
UK competition authorities and sector regulators—abuse of dominance closed cases tracker (Article 102 TFEU/Chapter II CA98; 2013–present)

This table outlines completed CMA, OFT and sectoral regulator investigations from 2013 under Article 102 TFEU/Chapter II of the Competition Act 1998. Only publicly disclosed cases are included. For ongoing behavioural matters, see UK behavioural investigations—ongoing cases tracker. For appeals, see UK competition appeals—ongoing cases tracker. For completed Article 101 TFEU/Chapter I cases, see UK behavioural investigations under Article 101 TFEU/Chapter I Competition Act—closed cases tracker. For instances where the CMA has pursued director disqualification, see UK competition director disqualifications—cases tracker. 2025 Gas transportation — Scotia Gas Networks; Ofgem. Issue: alleged abuse of dominance. Commitments accepted—02/12/2025 Consultation on commitments launched—09/09/2025 Investigation opened—08/03/2024 Vifor Pharma (abuse of dominance) — Vifor Pharma; CMA. Issue: alleged abuse of dominance by making misleading claims about a rival iron treatment. Commitments accepted—23/05/2025 Consultation on commitments launched—10/12/2024 Investigation opened—31/01/2024 2024 ...

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PRACTICE NOTES
UK CCUS Regulatory Framework: Storage Licences and Permits, Ofgem Transport and Storage Economic Licences, Environmental Permitting and Post-closure Duties

For comprehensive analysis of the regulation, consenting and incentivisation of the net zero energy transition under the laws of England and Wales, see also: Collinson and Hockman on Energy Law: Regulating, Consenting and Incentivising the Energy Transition. That textbook offers an in-depth exploration of matters addressed in this Practice Note. What is carbon capture, usage and storage (CCUS)? The term CCUS is sometimes described as ‘carbon capture and storage’ (CCS); broadly, CCS represents a narrower subset within the same sector. CCS describes a range of processes that capture and store CO 2 emissions from industrial activities...

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PRACTICE NOTES
Transition from Renewables Obligation to Contracts for Difference: Great Britain closure timetable, scheme choice and limited dual-support routes (archived)

ARCHIVED: This Practice Note has been archived and is not maintained. How are contracts for difference (CfD) and the renewables obligation (RO) connected? The renewables obligation (RO) is designed to stimulate investment in renewable generation. It achieves this by placing a duty on customer-facing electricity suppliers—who obtain electricity from generators, whether directly or indirectly—to procure an ever-increasing share of their wholesale supply from renewable sources. The Secretary of State (SoS) for Business, Energy and Industrial Strategy (BEIS) determines the proportion required each period. Suppliers prove compliance by submitting renewable obligation certificates (ROCs) to the Office of Gas and Electricity Markets (Ofgem). New ROCs are issued solely to accredited renewable generators, encouraging suppliers to purchase renewable output (together with separately priced ROCs) from such projects, thereby delivering a degree of financial support to those developments. For further details, see Practice Note: Renewables Obligation (RO)—accreditation of renewable electricity generators [Archived]. On 31 March 2017, the RO closed to most categories of new generation. The RO will continue to...

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View the related Precedents about Ofgem

PRECEDENTS
Private Wire Electricity Connection Agreement (England and Wales): Precedent reflecting Ofgem TM04+ reforms; capacity, metering, de-energisation/disconnection, access and property rights, liability and termination

Date of Agreement _____________________________________ 20[ XX ] Parties [ name of company ], a company duly incorporated in [ insert jurisdiction ] (registered number [ insert co. number ]) with its registered office at [ insert address ] ( Company ); and [ name of company ], a company duly incorporated in [ insert jurisdiction ] (registered number [ insert co. number ]) with its registered office at [ insert address ] ( Customer ). Background The Customer owns and operates the Customer’s Installation. The Company owns and operates the Distribution System. The Customer intends to export electricity produced by the Customer’s Installation to the Company’s Distribution System. [ The Parties intend to enter into a contract on or about the date of this Agreement, under which electricity generated by the Customer’s Installation shall be supplied by the Customer to the Company (‘ Power Supply Agreement ’). In consideration of the Parties entering into...

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