This document is about a change we are considering making to the reporting requirement for company performance commitments on greenhouse gas emissions/ renewable energy, which we set in our final determination of price limits for 2020-25 (PR19).
We need to carefully consider whether it is appropriate in the circumstances to update the version of the CAW applicable to PR19 performance commitments. One aspect of our consideration is the impact for affected companies, which will depend on the specific design of their bespoke performance commitment (for example whether it is a financial or non-financial incentive).
This consultation sets out a summary of our analysis to date which shows that there are benefits to moving to an updated version of CAW and so we are therefore considering changing performance commitment definitions references to the CAW for all affected companies and seeks views on whether, and how, this reference should be updated.
Where to send submissions
We welcome responses to this consultation from all parties. We specifically ask the companies with performance commitments that refer to CAW v13 to comment on:
- Whether they agree with our proposal
- How the change in reporting to use the CAW version 15 is likely to change their reported performance for relevant performance commitments
- Whether changing the version of CAW requires an update to their baselines to retain a comparable degree of stretch.
We seek views on this consultation by 7 March 2022. Please send responses to [email protected], with the subject ‘Response to Consultation on updating CAW version PCs’.