Ofgem closes competition investigation of SSE

Ofgem has dropped its probe into energy company SSE despite identifying "competition concerns" over the company's behaviour in the regional new connections market, in return for several commitments from the company.

The energy regulator investigating SSE's provision of connections between its electricity distribution networks and new housing estates and business premises.

As part of its investigation, Ofgem said its lingering concerns were over SSE's behaviour in providing the services needed for competitors to connect new developments to its network in the South of England, including inconsistency in providing quotes.

SSE has agreed to split up its connections business into a separate the team to provide services to the connections market from the team that competes in the connections market, and has also committed to providing all the services needed for competitors to connect new developments.

SSE will also undertake mandatory and regular competition law compliance training; and frequent and independent third party auditing of and reporting on SSE's compliance with these commitments.

"Ofgem considers that these commitments will fully address the competition concerns that have been identified.

"As a result of accepting the commitments, Ofgem is closing its investigation with no decision made on whether or not SSE infringed competition law," the regulator said.