Derogation to National Grid Electricity Distribution pursuant to SLC 13B Part E of the Electricity Distribution Licence

We have granted a derogation to National Grid Electricity Distribution (NGED) to charge outside of its methodology for extra high voltage (EHV) customers in its East Midlands region for 2025/26. Specifically, it allows NGED to reapportion negative fixed charges for final demand consumers to the capacity charge for the same group of consumers. We consider it is in the interests of its customers overall, and in particular its EHV customers, to mitigate what would otherwise have been an exceptional level of volatility of fixed charges for some EHV customers.