Network

Network September 2018

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NETWORK / 14 / SEPTEMBER 2018 STAKEHOLDER ENGAGEMENT al meetings and field staff talking to custom- ers out on site. All our engagement anchors us to the needs and expectations of the 18 million people who depend on our essential service, informs how we deliver our busi- ness plan and challenges, and shapes our long-term vision and objectives. Our submission to the Ofgem panel showcases stakeholder engagement activity and its outcomes for customers, and our free extra services for customers in vulner- able situations. We firmly believe in incentive-based regulation. If you were operating in a com- petitive market then how effectively you en- gaged with and responded to your custom- ers' needs would be reflected in your market share. This incentive helps to recreate those conditions, and drives continuous improve- ment, for the benefit of our customers. The overriding message for all networks was that you have to run faster to stand still year on year, so if your score is the same or similar as previously, this is actually pro - gression. One of our core values is continu- ous improvement and we therefore welcome this challenge and will do our best to use the feedback to improve further next year. We strive to deliver the best service to our customers. Having 'innovation' within the criteria for the submission process helps us to view innovation more broadly – it is not just about pioneering technologies and services but also about innovating in the ways we engage with our customers and stakeholders and in the ways we under- stand and meet the needs of our customers in an ever-changing energy market. We were ranked third overall amongst all the electricity, gas and transmission networks, but we want to give the absolute best service. We'd like to see greater trans- parency in the panel's scoring system and decisions and this helps us identify more accurately how we can improve outcomes for the over 18 million people who rely on our service every day. Ed Gill, head of press and public affairs, Energy Networks Association The energy networks are providing an excel- lent service to homes and businesses across Britain. Their success is reflected in high customer satisfaction scores: in 2016-17 both electricity and gas networks achieved an average 88 per cent satisfaction level. Realising these scores is in no small part down to their collaborative work with their stakeholders. They listen to and act on stakeholders' views to help deliver their business priorities. Network companies understand that it has never been more important to provide support for vulnerable customers and those in fuel poverty. They have therefore devel- oped strong partnerships with organisations that they can work with on delivering on their social obligations. Sharing expertise and knowledge has helped them to provide tailored support that makes a real difference to their customers' lives. Engaging with stakeholders is also crucial to allow the energy networks to inte- grate new technologies (such as electricity storage or decarbonised green gas) to help meet the UK's climate change targets. They are also working with partners to manage the challenges of decarbonisation, decen- tralisation and digitalisation. Network companies are keeping one eye on the future while also focusing on deliver- ing what customers want today. Engaging with stakeholders is essential to providing their customers with the safe, low cost, reliable service they want as well as shaping their future strategies. Guy Jefferson, customer service director, SP Energy Networks The stakeholder engagement incentive has been instrumental in helping transform the culture of our business. The strategy and governance we have put in place ensures local communities and key stakeholders have a direct influence on executive level decision making. Collaboration with key partners has led to significant results, notably the creation of a new national three-digit telephone number for power cuts - 105, a new £20m Green Economy Fund to support local eco - nomic growth and a new 'open innovation' procurement strategy to support more local SMEs. Richard Court, head of regulation and external affairs, Cadent The stakeholder engagement incentive has driven a step change over the years in how we engage with our customers and stake- holders. This has driven change in the way we think, the way we communicate and listen to our customers and ultimately has shaped the way we do business. An example of this is, in this year's sub- mission, is where we demonstrated how we are leading industry change for the benefit of the most vulnerable customers across the UK, collaborating with the energy industry and beyond, to roll out the Priority Ser - Results from the recent Ofgem stakeholder engagement and customer vulnerability incentive for electricity and gas distribution and transmission: Organisation Score out of 10 Western Power Distribution 8.75 Northern Powergrid 7.50 UK Power Networks 7.25 Scottish Power Electricity Transmission 6.40 Scottish Power Energy Networks 6.35 Southern Gas Networks 6.25 Northern Gas Networks 6.15 Cadent 6.00 Electricity North West 5.75 SSE Power Distribution 5.50 National Grid Electricity Transmission 5.10 Wales & West Utilities 5.00 National Grid Gas Transmission 4.25 Scottish Hydro Electric Transmission 3.25

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