Ofgem have announced changes that permits only one gas meter point for each supply point. As a result, multi-meter supply points (MMSP) will be disaggregated into single-meter supply points (SMSPs). Up to now, gas transportation charges were calculated by grouping meter points into supply points.
By 2015 transportation charges will be levied on all supply points on a like-for-like basis instead of attracting one charge under a MMSP. Once disaggregation takes place, customers will be charged for each SMSP at the relevant rate, which may produce a higher total.
The impact of this rule change will differ depending on the extent of the existing aggregation, but many businesses could see an increase in costs as a result. Distribution charges typically make up around a sixth of a customer’s bill.