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Connection Market Segments

The table below describes the way in which new and increase in capacity connections schemes are categorised for regulatory reporting purposes and for others such as the Incentive on Connections Engagement (ICE). Connections schemes are grouped into market segments which are determined by the type and the highest voltage of the works required to construct the connection scheme.

Relevant Market Segments

These segments also called large connection customer schemes are subject regulated or unregulated margins according to our charging methodology and are within the scope of ICE.

Demand Connections

In respect of Metered premises owned or occupied by Demand Customers:

(i)  LV work: low voltage Connection Activities involving only low voltage work, other than in respect of Excluded Market Segments;

(ii)  HV work: low voltage or high voltage Connection Activities involving high voltage work (including where that work is required in respect of Connection Activities within an Excluded Market Segment);

(iii)  HV and EHV work: low voltage or high voltage Connection Activities involving extra high voltage work;

(iv)  EHV work and above: extra high voltage and 132kV Connection Activities.

Distributed Generation

In respect of Metered premises in which Distributed Generation is situated:

(v)  LV work: low voltage Connection Activities involving only low voltage work;

(vi)  HV and EHV work: any Connection Activities involving work at high voltage or above.

Unmetered Connections

In respect of unmetered premises:

(vii)  LA work: New Connection Activities in respect of local authority premises.

(viii)  PFI work: New Connection Activities under private finance initiatives.

(ix)  Other work: all other non-local authority and non-PFI unmetered connections work.

Excluded Market Segments

These segments, also called small connection projects are not subject to regulated / unregulated margins and are not within the scope ICE but are within the scope of the broad measure customer satisfaction incentive and time to connect incentive in the RIIO ED1 Price control.

The combination of the following two segments relating to Metered premises that are owned or occupied by Demand Customers and defined by reference to the nature and volume of the Connection Activities:

(i)  Domestic LV work: low voltage Connection Activities relating to no more than four Domestic Premises;

(ii)  One-off industrial and commercial work: Connection Activities in respect of a connection involving three-phase whole current metering at premises other than Domestic Premises.