Support for development of an OFTO-build model for non-radial offshore transmission infrastructure
Published
Description
Conduct an in-depth analysis on the roles and responsibilities of the respective parties and level of risk dependent on roles undertaken, including by assessing sub-categories of risk.Conduct an in-depth analysis on financing. In particular, how to obtain the best possible finance at the lowest cost to consumers; determining availability of construction finance; conduct an evaluation of the market and assess the market's appetite for new class of assets, by comparison to existing classes; and consider how consumers will benefit from any refinancing eg, how will any claw-back mechanism work for an OFTO Build.Act in an advisory capacity, providing advice to Ofgem on how best Ofgem could design a process which would incentivise timely delivery for OFTOs - taking into full consideration reward and risk.This includes providing advice on elements of the tender process such as: the optimum timing of competitive tender process, duration of the tender process and adjustments to the existing OFTO model to facilitate an OFTO Build, for Ofgem to then build and implement the process.Provide advice support on the treatment of the Tender Revenue Stream (TRS). In particular, looking at the adjustments required to the revenue structure to accommodate shared infrastructure.Provide advice on potential changes to Codes and Standards and other industry arrangements to facilitate an OFTO Build.These areas are among those which Ofgem have identified as significant and are carrying out further stakeholder engagement on these matters. The successful tenderer will be expected to view the material and feedback Ofgem have received to date, to ensure that it has full consideration of the area's it is expected to provide advice.
Timeline
Award date
6 months ago
Publish date
5 months ago
Buyer information
Office of Gas and Electricity Markets (Ofgem)
- Email:
- Allan.Weir@ofgem.gov.uk
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