This consultation seeks views on the proposed uplift in compensation for the charges paid by eligible Energy Intensive Industries (EIIs) for using Great Britain’s electricity grid through the EII Network Charging Compensation Scheme from 60% to 90%.
This consultation closes at 11:59pm on 15 August 2025
Since 1 April 2024, eligible Energy Intensive Industries (EIIs) have benefited from the British Industry Supercharger (BIS): a decisive set of measures to make Britain’s strategic EIIs more competitive and tackle the challenge of carbon leakage. The scheme addresses areas of the domestic energy system which together contribute to higher electricity costs for EIIs than comparable countries. The measures are as follows:
a 100% exemption from Contracts for Difference, Renewables Obligation, and Feed-in Tariffs – this came into effect from 1 April 2024
a 100% exemption from the costs associated with the Capacity Market, which came into effect in October 2024
compensation for the charges paid for using the Great British electricity grid through the EII Network Charging Compensation (NCC) Scheme. This has been running since April 2025, with compensation backdated to April 2024 – eligible businesses are entitled to apply for compensation for 60% of these costs
A number of businesses and trade organisations have recommended that a higher level of compensation would be needed if the government’s objective was to bring electricity costs for EIIs in Great Britain closer in line with those charged in competitor countries where up to 90% compensation is offered.
As part of the government’s modern Industrial Strategy, we announced a proposed increase in support for our most energy-intensive industries eligible for the British Industry Supercharger package, with an uplift of the NCC scheme from 60% to 90%, and this consultation seeks views on this proposal. It also seeks views on amending the NCC scheme application timescales.
Any policy change informed by this consultation will be subject to the completion of a subsidy control assessment.
You can respond to the consultation here.
Source: UK Government: https://www.gov.uk/government/consultations/network-charging-compensation-scheme-uplift-for-energy-intensive-industries
The Critical Supply Group consists of companies and professionals committed to secure and resilient critical supply chains. CSG is managed by MAP UK & International. For more details, including how to get involved, or to make contact with any of the entities involved, please email info@mapukinternational.com.