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Written question asked by Lord Udny-Lister (Conservative) on Wednesday, 22 July 2026, in the House of Lords. It was due for an answer on Wednesday, 5 August 2026. It was answered by Baroness Curran (Labour) on Wednesday, 5 August 2026 on behalf of the Department for Energy Security and Net Zero.


Electricity Generation: Infrastructure

Question

To ask His Majesty's Government what Ofgem’s original policy limit was for Early Construction Funding as a proportion of total project cost, and what steps they are taking to ensure this limit is enforced.

Answer

Early Construction Funding (ECF) is a regulatory mechanism established by Ofgem which allows network companies to access a limited proportion of approved project funding before all statutory consents have been secured. Under Ofgem's Accelerated Strategic Transmission Investment (ASTI) guidance, the normal limit for ECF is 20 per cent of project licence costs, although higher levels may be considered by Ofgem in exceptional circumstances. Decisions on the award of ECF are a matter for Ofgem as the independent energy regulator.


Secondary information

Type
Written question
Reference
HL2611
Session
2026-27
Subjects
Finance Electricity generation Ofgem Infrastructure
Link
View this Written question on www.parliament.uk