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Volume 498: debated on Tuesday 27 October 2009

To ask the Secretary of State for Energy and Climate Change what steps his Department is taking to reduce the amount of electricity which is lost as part of the electricity transmission process; and if he will meet representatives of the electricity generation industry to discuss this. (293824)

An industry process under the Balancing Settlement Code Panel is currently considering the merits of introducing a locational element to the methodology used to calculate the way generators and suppliers pay for transmission losses. This could potentially provide a greater financial incentive for electricity generators and electricity suppliers to limit transmission losses. An assessment report is due in January 2010 and a final decision will be taken by Ofgem.