News & Events

More Than One Million Meters Transferred to Half-Hourly Settlement

Elexon has officially confirmed that over one million electricity meters have now transitioned into Market-wide Half-Hourly Settlement (MHHS)—a major milestone in the ongoing reform of the GB electricity market.

Key Points

  • 80% of all GB meters (approx. 25.9 million) are expected to be settled half-hourly by October 2026, making 2026 a pivotal year in the rollout.
  • The shift enables suppliers to use actual half-hourly consumption data, helping them create more flexible, time‑of‑use tariffs.
  • These tariffs can support:
    • Smart EV charging that automatically charges at optimal times.
    • Consumer participation in demand balancing by exporting power at remunerated rates.
  • Settlement Accuracy Improvements: More actual data (vs estimates) is already being used, improving billing precision and system efficiency.
  • Smart Data Repository:
    Launching in autumn 2026, it will publish aggregated half-hourly data, enabling innovators to develop new products and flexibility services accessible to all market participants.
  • Next Steps for Industry:
    More than 100 companies still need to complete qualification to operate in the new MHHS arrangements, and Elexon’s focus is on supporting a smooth transition.

More than one million meters transferred to half-hourly settlement – Elexon

 

Code of Practice 4 (CoP4) – End of Life Sample Calibrations

Following the implementation of Issue 93, the CoP4 End of Life Sample Calibration check was introduced for CoP3 and CoP5 Metering Systems. This check is intended to assess the accuracy and long-term performance degradation of older meters, particularly those approaching the end of their expected operational life.

On 16 February 2026, Elexon will initiate the End of Life Sample Calibration process in accordance with the BSC CoP4 – Code of Practice for the calibration, testing and commissioning requirements of Metering Equipment for Settlement purposes.

Meter Operator Agents (MOAs) will be contacted directly by Elexon with details of the applicable requirements and the meters in scope for the 2026/27 cycle. The notification email will also confirm the date by which Elexon requires submission of the annual report.

Understanding AI in the energy sector: the benefits, the risks and rights

This joint blog from Ofgem and the Energy Ombudsman explains how artificial intelligence (AI) is increasingly used across the energy sector in Great Britain and what it means for consumers.

1. How AI is being used in the energy sector

AI is already shaping how energy companies operate and how customers experience energy services:

  • Smart meters use AI to track energy usage and help tailor tariffs and billing.
  • Customer service is increasingly supported by chatbots, automated email systems, and virtual assistants.
  • System management: AI helps energy companies analyse large datasets, balance supply and demand, predict faults, and run networks more efficiently.

2. Benefits for consumers

AI can:

  • Improve service efficiency and reliability
  • Provide more personalised plans
  • Detect issues early across the energy system
  • Support customers who may need extra help by identifying signs of vulnerability

3. Risks and challenges

Ofgem highlights several risks if AI is not used responsibly:

  • Bias and unfair outcomes if AI systems are trained on incomplete or skewed data
  • Digital exclusion for people unable or unwilling to use digital tools
  • Lack of transparency, e.g., consumers not realising they are interacting with AI

4. What Ofgem expects from energy companies

Ofgem requires that energy companies:

  • Use AI fairly, transparently, and responsibly
  • Protect consumers, especially vulnerable groups
  • Ensure AI-driven decisions do not unfairly impact customers
  • Provide clear routes for dispute resolution (supported by the Energy Ombudsman)

Understanding AI in the energy sector: the benefits, the risks and your rights | Ofgem

Ofgem to Introduce Tougher Smart Meter Rules from February

Ofgem has announced a strengthened set of rules designed to improve smart meter installation, repair times, and overall customer experience, coming into force from February 2026.

Key Changes

  • Automatic £40 Compensation will be paid when:
    • Installation appointments take longer than six weeks to be offered.
    • An installation appointment fails due to supplier fault.
    • A customer reports a smart meter issue and the supplier fails to provide a resolution plan within five working days.

Why These Rules Are Being Introduced

  • Ofgem has reviewed its Guaranteed Standards of Performance, aiming to raise industry accountability and ensure customers receive timely support. 
  • The regulator’s compliance efforts since 2024 have already led to 900,000+ faulty smart meters being repaired or replaced, and the new rules are intended to accelerate this progress. 

What This Means for Consumers

  • Faster installation and repair times.
  • Clearer expectations of supplier performance.
  • Stronger protections when issues arise.
  • A push toward ensuring smart meters operate correctly from day one.

Looking Ahead

  • Ofgem also plans further action on compensation for smart meters not working in smart mode for over 90 days, aiming to introduce this later in 2026. 

 

Ofgem to roll out tougher smart meter rules from February | Ofgem

Tickets Now Available for the AMO’s 30th Anniversary AGM at Ashorne Hill!

24–25 March 2026 · Ashorne Hill, Leamington Spa

We’re thrilled to announce that tickets are now officially available for the Association of Meter Operators (AMO) Annual General Meeting 2026 — and this year is extra special as we celebrate 30 years of the AMO!
Hosted at the stunning Ashorne Hill, set among the rolling hills of Leamington Spa, this two‑day event on 24th & 25th March 2026 will bring together Members, industry experts, and keynote speakers for insight, collaboration, and forward thinking.

What to Expect

This year’s AGM promises to be one of our most engaging yet, featuring:

Inspiring Industry Keynotes

The Committee has been curating a diverse mix of speakers reflecting the future of metering and energy—including safety, technology, hydrogen, safeguarding, and innovation. High‑profile speakers have been suggested to anchor both Day 1 and Day 2, ensuring energy and engagement throughout.

Strategic Discussions & AMO Updates

Catch up on major industry developments, strategic initiatives, and collaborative progress across the sector—highlighting the AMO’s growth and evolution as we enter our 30th year.

A Beautiful Venue with Modern Facilities

Ashorne Hill offers free parking, EV charging, secure bike racks, scenic grounds, and modern amenities to make your stay comfortable.

Secure Your Place Today

Spaces are limited, and demand is already strong — Members are encouraged to book early to avoid disappointment.

Whether you’re a long-standing Member or attending for the first time, we’d love for you to join us in shaping the year ahead, celebrating three decades of AMO progress, and connecting with peers across the industry.

RECCo’s Draft Forward Work Plan for 2026–29

RECCo’s Draft Forward Work Plan for 2026–29 sets out a transformation agenda designed to modernise retail energy market services, strengthen governance, prepare for the Code Manager Licence, and support emerging flexibility markets. The plan balances continuity of today’s core services with investment in future‑ready digital and regulatory capabilities.
 
RECCo, established in 2019 as a not‑for‑profit body overseeing the Retail Energy Code (REC), is at a pivotal transition point. Government policy on clean power, consumer‑led flexibility, and Ofgem’s Strategic Direction Statement (SDS) are accelerating expectations on market governance. With original contracts nearing end‑of‑life and a Code Manager Licence imminent, RECCo is repositioning itself for a more accountable, digitally enabled future.

Four Strategic Priorities (2026–27 Focus)

1. Transition to Licensed Code Manager

RECCo will become the Licensed Code Manager, increasing its accountability and decision‑making responsibility.
Key elements:
  • Establish new governance (Stakeholder Advisory Forum, REC Design Authority).
  • Move from voting‑based change decisions to Code Manager‑led decisions, supported by transparent consultation and evidence‑based analysis.
  • Prepare for expanded Ofgem reporting and new KPIs.

2. Strengthening Digital & Operational Capability

A major modernisation programme will overhaul REC’s digital estate and services.
Planned for 2026:
  • Launch of a new REC Portal (UX‑driven, unified branding, improved navigation, search, and change visibility).
  • “Soft launch” May–July 2026; full go‑live September 2026.
  • Establish a scalable design, assurance and digital operating model to support rapid regulatory change.

3. Delivering Core Programmes Reliably

RECCo will continue stabilising and delivering existing market services including:
  • MHHS (Market‑wide Half‑Hourly Settlement) actions.
  • Tariff Interoperability Scheme.
  • Consumer Consent (data-sharing trust framework).
  • Inquiry Services modernisation (major transition to a dual‑fuel, resilient, future‑proofed platform).
Inquiry Services timeline:
  • Procurement: Spring 2026
  • Gas migration: July 2027
  • Electricity migration: July 2028

4. Supporting Consumer‑Led Flexibility

RECCo will play a system‑shaping role in emerging flexibility markets.
Planned actions:
  • Analyse market scenarios and retail market “gaps” for smart, interoperable flexibility.
  • Create a REC Flexibility Action Plan.
  • Deliver consumer‑facing enablers:
    • Tariff Interoperability (standardised tariff data to support new services).
    • Consumer Consent (trusted framework for using smart data).
  • Work with Ofgem, DESNZ and industry to align market rules and interoperability across data and device control ecosystems.

Key Programmes & Delivery Highlights

Digital & Systems Evolution

  • New REC Portal (Sept 2026).
  • Unified branding across REC/RECCo.
  • Modernised system architecture supporting scale, resilience, API‑based migration paths.

Performance Assurance Framework Redesign

  • REC PA strategy moves in‑house (from Sept 2026).
  • More outcome‑driven assessments, stronger oversight, and best‑practice sharing.

Consumer Consent Service

  • Shared trust framework for secure, permissioned consumer data sharing.
  • Final design Summer 2026; go‑live March 2027.
  • 2028 includes expansion to additional sensitive data sets (e.g., PSR).

Tariff Interoperability

  • Standardised tariff data model.
  • Consultation completed; design refinement in 2026.
  • REC go‑live then nine‑month industry implementation window.

Financial Outlook (2026 Budget)

Headline budget: £66.6m

(14% increase vs expectation)

Drivers:

  • Staffing and capability uplift for Code Manager Licence.
  • Major digital and inquiry services modernisation.
  • Seven in‑flight programmes plus two new flexibility‑related initiatives.
  • Contingency allowance for CSS/DCC re‑procurement (~£5.7m pending final evidence).
     

Efficiency notes:

  • £7m underspend returned to industry in 2025.
  • Cost reductions achieved via contract renegotiation, targeted investment, and procurement strategy.

Consultation & Next Steps

  • Consultation window closes 5 February 2026.
  • Final budget published before 20 February 2026.
  • Budget‑specific webinar: 25 February 2026.
  • Final Forward Work Plan published late March 2026 following stakeholder response review.

Overall Positioning

RECCo is positioning itself for a more proactive, accountable, and digitally capable role at the centre of the UK retail energy market. Its 2026–29 plan is designed to:
  • Stabilise and modernise today’s services.
  • Build strong foundations for data‑driven, consumer‑led flexibility.
  • Ensure compliance with a strengthened regulatory environment.

Updates to Schedule 14 Measurement Transformers Commissioning Timescales

REC Issue I0284 proposes changes to the Retail Energy Code (REC) Schedule 14 commissioning timetable for Measurement Transformers (CT/VTs) and Metering Assets to ensure it remains fit for purpose under the future Market‑wide Half‑Hourly Settlement (MHHS) arrangements—specifically the shift of the Reconciliation Final (RF) run from 14 months to 4 months at MHHS Milestone M16 (planned July 2027).

Why the change is required

The current REC‑mandated commissioning process takes up to 85 working days (WDs) end‑to‑end. Under MHHS, RF will occur just ~88 WDs after consumption, meaning:

  • Defects may be discovered at or after RF.
  • Settlement errors could become irreversible.
  • Parties (DNOs, MOAs, Suppliers) could be held liable for issues they cannot correct.
  • Calendar effects (e.g., Easter + early May bank holidays) can push commissioning beyond RF.

This creates an industry‑wide settlement and compliance risk.

What the Change Proposal aims to achieve

The proposal does not change technical commissioning requirements (BSC CoP4), only the REC timescales.

It aims to:

  • Ensure commissioning is always completed before RF.
  • Reduce the likelihood of defects “crystallising” into Settlement.
  • Improve end‑to‑end coordination between DNOs, MOAs and Suppliers.
  • Establish a realistic and enforceable SLA framework under MHHS.

Two initial options are in development:

  • Option A: Reduce the overall chain from 80 → 70 WDs
  • Option B: Reduce from 80 → 60 WDs

(Subject to Impact Assessment and CHIG data.)

Key operational challenges

Panel discussions highlighted several constraints:

  • Third‑party operatives (customer‑appointed installers) remain outside licensed control.
  • DNO and MOA workforce capacity already stretched in some regions.
  • Appointment lead‑time variability affects commissioning speed.
  • BSC auditors monitor processes, not REC timescales—so REC must set realistic, evidence‑based SLAs.

These factors will strongly influence final timescale decisions.

Impacts

Consumers

  • Fewer long‑term billing inaccuracies and Settlement errors.
  • Reductions in unnecessary site revisits.

REC Parties

  • Suppliers: Faster resolution of commissioning blockers.
  • MOAs: Accelerated on‑site commissioning expectations.
  • DNOs: Potential tightening of CT/VT commissioning from 16–21 WDs.
  • No cross‑code impacts expected, but tracked via CCSG for BSC/DCUSA interactions.

Risks Identified

  • Operational capacity constraints (MOA/DNO resource).
  • Non‑licensed installer delays outside party control.
  • Settlement crystallisation risk if commissioning remains too long.
  • Compliance burden if deadlines are shortened too aggressively.
  • Industry readiness to update systems and processes.

Timeline (from Proposal Plan)

  • Dec 2025 – Apr 2026: Initial Assessment & Solution Development
  • Feb – Apr 2026: Impact Assessment & Business Case
  • May – Jun 2026: Consultation
  • Jul – Aug 2026: Final Determination & Panel Vote (12 Aug)
  • 13–27 Aug 2026: Appeal Window

This ensures implementation well ahead of MHHS M16 (Jul 2027).

Current status and next steps

  • REC Code Manager issuing the Impact Assessment.
  • CHIG will gather real‑world data (current SLA performance distribution).
  • Industry responses will shape whether 60WD, 70WD or an alternative is viable.
  • Evidence‑based refinement will follow before consultation.

Executive‑Level Takeaway

I0284 is a preventative, MHHS‑critical change ensuring commissioning completes within the compressed 4‑month Settlement timetable.
It reduces the ~85WD chain to a shorter, deliverable timeframe, balancing MHHS compliance with operational reality.

The REC Change Panel supports the current plan, and emphasises:

  • Timescales must be achievable, not aspirational.
  • Installer and DNO/MOA operational constraints must be reflected.
  • Evidence from IA and real site data is essential to setting the new SLAs.

The change is strategically important, risk‑reducing, and time‑sensitive—requiring progression during 2026 to avoid compressing the industry ahead of MHHS go‑live.#

The REC Code Manager is planning to attend the AMO’s HHEMF 26-01, 19 February 2026, to discuss the issue.

REC Moves to Integrate Theft Issues Group into Wider Change Governance Framework

The Retail Energy Code (REC) has outlined plans to integrate its Theft Issues Group (TIG) into the broader Change Issues Group (CHIG), marking a shift in how energy‑theft matters will be governed across the sector.

Established in April 2024, TIG has played a significant role in developing several major Energy Theft‑related Change Proposals (CPs). While these efforts have delivered successful outcomes, REC has noted a recent decline in the number of new theft‑related Issues and CPs, prompting a review of how best to manage future work in this area.

CHIG, a well‑established and highly attended forum, now provides end‑to‑end support for REC Change Issues, including solution development, industry engagement, and governance processing. Many existing TIG participants already contribute actively to CHIG discussions.

Transition of Energy Theft Issues to CHIG

Under REC’s proposal:

  • All future Energy Theft Issues will be managed through CHIG.
  • CHIG will feature a standing agenda item dedicated to Energy Theft.
  • Issue‑specific working groups will be formed where deeper specialist focus is required—for example, work underway on I0265 Theft Calculator Usage & Suitability Assessment.
  • TIG may be re‑established in the future should issue volumes or industry needs increase.

The REC Code Manager expressed thanks to TIG members for their contributions to date and emphasised that collaboration will continue within the CHIG environment.

Concerns Raised by TIG Participants

During the recent TIG, several attendees shared concerns regarding the transition:

Some participants highlighted that theft specialists who routinely support TIG may not have capacity to attend monthly CHIG meetings, risking a reduction in expert input. REC clarified that attendance would only be required for the Energy Theft agenda slot, not the entire CHIG meeting.

Concerns were raised that discussions could become less candid in a larger forum—particularly if Ofgem or other wider audiences are present. TIG has historically provided a space for more open exchange on sensitive theft matters.

Several members questioned whether fewer issues are being raised because key stakeholders may not be participating, rather than because issues do not exist.

Participants noted that best‑practice sharing across the theft community is already limited, and some fear that integration could further reduce opportunities for industry learning.

The Chair of the UK Revenue Protection Association (UKRPA) also expressed similar concerns during the discussion, echoing members’ observations on the importance of maintaining specialist insight and open dialogue.
However, the UKRPA Chair acknowledged the rationale behind REC’s decision and reiterated that the UKRPA continues to provide a dedicated forum for:

  • sharing best practice,
  • discussing operational theft challenges,
  • supporting industry collaboration, and
  • offering technical input to RECCo and the REC Code Manager when required.

Its Chair emphasised that the UKRPA remains committed to working closely with REC to help the industry address Energy Theft and safety issues effectively.

New Asset Condition Code C21 to Streamline Meter Installations from February 2026

A significant improvement to service termination reporting is set to come into effect on 27 February 2026, following industry approval of REC Change R0244. The change introduces a new asset condition code—C21: Non‑standard PME Connection Arrangement—into the Service Termination Issue Reporting Guidance (STIRG). The update is expected to reduce aborted meter installation visits and improve operational efficiency across the sector.

Addressing Long‑standing Installation Barriers

Historically, scenarios where the meter supply neutral was taken from a shared neutral/earth (N/E) block were recorded under B07, a code requiring the job to be stopped and the Distribution Network Operator (DNO) to attend—even when no network intervention was necessary. This process resulted in avoidable delays, extra costs, and poorer customer journeys.

The introduction of C21 provides a more accurate reporting route for these non‑standard PME arrangements, enabling Meter Operator Agents (MOAs) to continue installations safely without requiring automatic escalation. The update aligns data guidance in DI51121 / J1824 with current field conditions. 

Industry Support and Expected Benefits

The proposal received unanimous backing from respondents representing both DNOs and other industry parties. Feedback highlighted the value of reducing unnecessary aborts, cutting back on unproductive DNO callouts, and improving installation success rates—particularly important during large‑scale programmes such as meter exchanges and legacy equipment removals.

Responses indicated varied implementation lead times across organisations, ranging from just a few days to several months. To support a consistent, coordinated rollout across all affected parties, a six‑month lead time was agreed upon.

Governance and Implementation

The change was reviewed and approved through the REC Metering Expert Panel (RECMEP), with updates made to STIRG guidance and associated legal drafting. The governance process confirmed that the change is low‑cost, proportionate, and beneficial for both operational performance and consumers. 

Implementation will follow a “big bang” approach on 27 February 2026, ensuring all market participants adopt the updated reporting code simultaneously. 

A Step Toward Greater Efficiency

The introduction of C21 marks a practical improvement in addressing real‑world installation scenarios. By reducing unnecessary site visits and simplifying how non‑standard PME arrangements are reported, the change is ex

RECCo Launches Annual Rating Initiative for Metering Agents

The RECCo Performance Assurance team has announced the development of an Annual Rating Initiative designed to introduce a transparent, fair, and constructive peer comparison system for Metering Agents, including MEMs, MAMs, MOAs, EMOs, and AMIs. This new framework builds on the established system for Suppliers and DNOs, aiming to benchmark compliance, encourage positive behaviours, and support continuous improvement across the market.

Consultation Period Now Open

The consultation period runs from December to February, providing stakeholders with the opportunity to refine assessment criteria. An impact assessment will be published shortly via the REC and shared with members. Draft ratings are scheduled for release between July and August, followed by a query window for parties to review and challenge provisional ratings. Final market-wide scores will be published in September, after the query window closes. Criteria will be reviewed annually to ensure relevance and fairness.

Assessment Criteria

For MEMs, ratings will focus on:

  • Data Quality: High-quality data transfer to support market performance.
  • Compliance with CoMCoP: Timely audits and addressing all findings, not just minimum compliance.
  • Consumer Experience: Responsiveness and prompt issue resolution.

For MAMs and MOAs, criteria include:

  • CoMCoP Audit Timeliness: Delays negatively impact ratings.
  • Action Plan PATs: Issuance and progress on action plans, especially for data cleanse.
  • Maintenance of Qualification: Delays in submission are penalised.
  • Persistent Performance Issues: Escalations or repeated poor engagement reflected in ratings.
  • CME Condition Breach: Breaches affect ratings proportionally to severity.

Ratings will range from “No Material Weakness” to “Severe Weakness”, with the lowest score across criteria determining the overall rating. Discussions are ongoing to better recognise positive performance and refine terminology to avoid negative connotations.

Controls and Engagement

Key measures include:

  • Query Window: Parties notified of provisional ratings and reasons, with time to respond and provide evidence.
  • Education: Targeted webinars and published guidance on criteria and methodology.
  • Annual Review: Stakeholder input sought to ensure relevance and fairness.

Key Discussion Points

  • Consistency and Fairness: Concerns about consistent application of CoMCoP and audit processes.
  • Recognising Positive Performance: Calls for better acknowledgement of those exceeding expectations.
  • Transparency and Commercial Impact: Phased approach to visibility to balance transparency with sensitivities.
  • Continuous Improvement: Iterative process offering opportunities for feedback and refinement.

Representatives from RECCo will attend the General Meeting on 26 February 2025 to present an update and answer questions.

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