Gas Distribution Price Control Guidance for RIIO-GD3 Period
Summary
Ofgem issued guidance establishing the RIIO-GD3 price control framework for gas distribution networks covering 2026-2031. The guidance applies to all gas distribution network operators and must be used alongside the broader RIIO-3 network price control guidance to meet licence conditions. Supporting governance documents cover collaborative streetworks, fair treatment, and vulnerability and carbon monoxide initiatives.
What changed
Ofgem published the RIIO-GD3 gas distribution price control guidance effective 1 April 2026, establishing the regulatory framework for the 2026-2031 period. The guidance is accompanied by several governance documents including the Collaborative Streetworks Governance Document, Fair Treatment Guidance, and Gas Network Vulnerability and Carbon Monoxide Initiatives (VCMI) Governance Document. This represents a new price control period under the RIIO (Revenue = Incentives + Innovation + Outputs) framework for gas distribution networks.
Gas distribution network companies must use this guidance in conjunction with the Network price control 2026 to 2031 (RIIO-3) guidance to comply with their licence conditions. Operators should review all associated governance documents and ensure their systems and processes align with the framework requirements before the control period commences. Non-compliance with licence conditions may result in regulatory enforcement action.
What to do next
- Review the RIIO-GD3 guidance and associated governance documents for gas distribution network requirements
- Align internal systems and processes with the Collaborative Streetworks and Fair Treatment governance documents
- Ensure compliance with Vulnerability and Carbon Monoxide Initiatives (VCMI) requirements by 1 April 2026
Source document (simplified)
Gas distribution price control 2026 to 2031 (RIIO-GD3) guidance
Publication type: Guidance Publication date:
1 April 2026
Topic: Energy network price controls, Gas distribution Subtopic: RIIO-3 Print this page
Related links
Modifications to additional RIIO-3 associated documents
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- Guidance for gas distribution network companies to use as part of their licence conditions to provide gas from the transmission network to homes and businesses.
Details
Use this guidance and the Network price control 2026 to 2031 (RIIO-3) guidance to meet the rules in your gas distribution licence.
Documents
Collaborative Streetworks Governance Document [PDF, 270.29KB] DPLA Working Group – Terms of Reference [PDF, 172.28KB] Fair Treatment Guidance [PDF, 190.86KB] Gas Network Vulnerability and Carbon Monoxide Initiatives (VCMI) Governance Document [PDF, 478.91KB] Print this page
Related links
Modifications to additional RIIO-3 associated documents
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