Ofgem probing National Grid on condition of Cumbria substation

Ofgem launched an investigation into National Grid on Thursday, probing whether the company’s transmission operation breached its obligations over the condition of the Harker substation in Cumbria, and delayed connecting power generation to the site.

The energy sector regulator said it was investigating whether National Grid Electricity Transmission (NGET) breached its duty under the Electricity Act 1989 to develop and maintain its network, and to facilitate competition in power supply and generation.

It was also looking into whether the firm breached a ‘standard licence condition’, requiring NGET to ensure it can “efficiently carry on the transmission business” and comply with its licence and Electricity Act obligations “at all times”.

NGET is the UK subsidiary of National Grid, which owns the high-voltage electricity network in England and Wales, of which the Harker substation is a part.

“The opening of this investigation does not imply that we have made any findings about possible non-compliance by NGET,” Ofgem said in its statement.

At 1110 GMT, shares in National Grid were up 0.49% in London, at 1,113.48p.