The Targeted Charging Review (TCR) explained

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What is TCR?

Ofgem have launched the Targeted Charging Review (TCR) with the aim to make network charges non-discriminatory between those who can generate their own power and those who cannot.

Suppliers are now forecasting future TCR costs. Customers will be placed into several bands and that will determine how much they will pay in terms of the Transmission Network Use Of System (TNUoS) and Distribution Use Of System Charges (DUoS).

What does this mean for businesses?

Despite the delays caused by COVID-19, the TCR is progressing and changes to the DUoS and TNUoS charges will apply from April 2022.

It is important to bear in mind the ultimate aim of TCR is to ensure these charges are more equally distributed across system users. Although the charges are changing, the cost impact may not necessarily lead to an increase for all customers. 

Energy Management’s team of experts will support you with future tendering and procurement to minimise costs. If you have any questions, please give one of our sales team a call.

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