CEPA's Energy Practice has been active since 2001 when the company was established. We have worked in more than 50 countries since.
We work with utilities companies, governments, regulators, investors and trade bodies to help them deliver their vision of the world through sound economic and financial policy and regulation.
CEPA has a respected energy practice, which has been involved in many of the issues that affect energy production, transportation, distribution and retail. Our work covers issues on:
- retail and consumers;
- transition and flexibility;
- gas; and
- low-carbon technologies.
We have worked extensively on energy sector issues internationally. Examples of our recent work include:
- Advising the Commission for Regulation of Utilities in Ireland on the economics of interconnection and the benefits of future physical interconnection in an environment of high levels of variable generation.
- Conducting a review of the RIIO-1 framework and performance for the GB energy regulator, Ofgem, to help inform and shape the RIIO-2 framework.
- Working with the GB electricity distribution industry to develop the models that are used to set distribution use of system charges.
- Conducting a study into the impacts of applying equal transmission charging treatment with storage for bidirectional interconnection points for a gas interconnector.
- Developing an impact assessment of a proposed new combined cycle gas turbine.
Well-designed wholesale energy markets should give stakeholders the right signals to participate.
Energy transition & flexibility
The energy system is changing at an unprecedented pace. Policy, social and...
The key contacts for our Energy practice are...
To talk to someone about our experience in this sector, please call either +44 (0)20 7269 0210 for the UK, or +61 2 9006 1308 for Australia.View our entire Energy team
Energy News & insights
Ireland’s energy security package to 2030
Managing energy security of supply while transitioning to a low carbon, renewables-led energy system is one of the critical challenges facing Irish policy makers.
CEPA supports water, regulatory finance and global health practices with promotions to its partnership
Join us in congratulating Tom Cochrane and Kaveri Kumar on their recent promotions to the firm’s partnership. They join CEPA’s existing global Partners to lead a growing team of more than 50 economic, public and financial policy consulting experts.
Energy sector expert explores the causes of crises in two key energy-only wholesale electricity markets
CEPA’s energy sector consulting team was pleased to take part in an interactive knowledge-sharing session.
We are recruiting two regulatory economists
We are seeking two exceptional individuals to join our London office as a Consultant and a Senior Consultant, to support our work across regulatory economics.
We are recruiting a Managing Consultant in cost assessment
We are seeking an outstanding individual to join our London office as a Managing Consultant, supporting our work in cost assessment across regulated sectors.
Commission for Regulation of Utilities Price Control 5 consultation published
Our reports on Irish gas network revenues and incentives have been published by the Commission for Regulation of Utilities.
Transfer of Hornsea Two offshore wind farm transmission link
CEPA, as part of Smith Square Partners Consortium, acts as financial adviser to Ofgem on the £1.14bn completed transfer of Hornsea Two offshore wind farm transmission link from Ørsted to Diamond Transmission Partners.
Director: Energy Markets and Modelling
CEPA is seeking an exceptional individual to join the firm's London office as a Director, supporting its work in the energy sector.
CEPA Australia responds to Australian Energy Regulator’s invitation to comment
As an interested stakeholder, CEPA is pleased to make submissions on the Gas Distribution Network Tariffs Review Issues Paper.
Locational Marginal Pricing
One of the most talked-about market reform options being considered by the GB Review of Electricity Market Arrangements (REMA) consultation.
Reputation acknowledged by ranking recognition
CEPA thanks those clients, industry leaders, associates and future economists for the feedback they provided to Consultancy.uk, resulting in the firm’s high-level, 2023 ranking as one of the “Top Economics consulting firms in the UK”.
Dr Darryl Biggar appointed to bolster CEPA Australia’s practice
CEPA is pleased to announce the appointment of Dr Darryl Biggar as a senior advisor in its Australian practice.
Supporting the UK Government’s approach to community benefits for electricity transmission network infrastructure
Onshore electricity networks will play a critical role in achieving net zero and that requires transformation at unprecedented scale and pace.
LSE students present findings about biodiversity policy
We are pleased to have supported another cohort of students undertaking the Capstone Course at the London School of Economics (LSE).
Net Zero’s trade imperative: A case study on the global demand for solar technology
We were commissioned by the Hinrich Foundation, to help them understand if global trade will be essential to sustain the transition to reach the International Energy Agency's target of Net Zero by 2050.
CEPA has again been recognised as one of the UK’s leading management consultants
We are grateful for the continued positive feedback from the market, which has led to CEPA retaining its position in the Financial Times' ratings.
Tender process for the sale of three offshore wind transmission assets with a combined value of c. £2 billion is launched
A consortium, consisting of CEPA and four other leading advisory firms, is acting as financial adviser to Ofgem for the OFTO Tender Round 10 process.
Ofgem publishes its RIIO-2 Final Determinations for the GB electricity distribution sector
We are proud to have been working with Ofgem on important elements of the RIIO-ED2 price control, which will run from April 2023 to April 2028.
Price caps in the Australian National Energy Market (NEM)
We were engaged by the Australian Energy Council to consider whether a relatively high market price cap and other market settings, in the presence of a capacity mechanism, would result in double payment for capacity at unnecessary customer cost.
CEPA’s impact assessment of proposed energy market reforms to encourage flexibility
We are pleased to have supported Elexon with an impact assessment of BSC Modification P415, designed to allow independent aggregators of demand side response to trade customer flexibility directly.
Major review launched on energy security of supply in Ireland
We are supporting a major public consultation about the security of energy supply of Ireland’s electricity and natural gas systems, being undertaken by the Department of the Environment, Climate and Communications.
Find us at Energy Ireland 2022, billed as Ireland’s largest annual energy conference
We are pleased to once again be attending the conference on 29 and 30 June in Dublin, for an event that aims to bring together key stakeholders in the Irish energy sector.
CEPA advises on tools to evolve energy regulation
The Council of European Energy Regulators has today published our recommendations for how energy regulators can best deploy ‘dynamic regulation’ tools – exemptions from the standard regulations that are limited in time and scope, which aim to foster learnings for future regulatory reforms.
CEPA recognised as one of the UK’s leading management consultants
Following another year of providing high-quality advice to our clients across our core sectors, we are grateful for the positive feedback from the market, which has led to CEPA’s inclusion in the Financial Times’ independent ratings report.
CEPA collaborates to advise about the selection of offshore transmission owners (OFTOs)
Continuing our co-operation with other specialist advisors in a consortium, we are pleased to provide further expert financial and economic advice to Ofgem under a new four-year contract for offshore electricity transmission assets.
Initial insights published on price signals for demand-side flexibility in the GB energy market
CEPA and Energy Systems Catapult (ESC) have been appointed by BEIS to carry out a study on energy price signals, exploring what an alternative system of network and policy price signals might look like. CEPA and ESC held a webinar when the initial findings were presented.
Smith Square Partners’ Ofgem consortium; TR7 preferred bidder for first asset announced
Ofgem, the GB energy regulator has announced the identity of the preferred bidder for the offshore wind transmission asset connecting the Triton Knoll wind farm to the Lincolnshire coast.
European energy regulators report on Innovative Business Models and Consumer Protection
The Council of European Energy Regulators (CEER) has published a report, for which we undertook the identification and analysis of the business models and supporting case studies.
Getting to net zero requires more policy experiments
A short note that proposes a greater role for deliberate policy experiments to help policy-makers and regulators identify the solutions that will best support decarbonisation at the lowest cost.
Locational energy pricing in the GB power market
Working with energy networks specialists TNEI, we have produced new research for Energy Systems Catapult on the role of locational energy prices in facilitating the decarbonisation of Britain’s energy system.
Evaluation of New Reg trial in Australia released
The Australian Energy Regulator has published our independent evaluation of a trial, to deliver better outcomes for consumers through network consumer engagement and regulatory innovation.
Ofgem’s interconnector policy review
We set out some important considerations to support Ofgem’s Interconnector Policy Review.
Australian Energy Regulator considers the links between the risk-free rate & market risk premium
The AER asked us to advise on the approach to estimating the Market Risk Premium (MRP) for the 2022 review of the Rate of Return Instrument. Specifically, we were asked whether there is a relationship between the risk-free rate (RfR) and MRP.
Views invited on barriers to demand-side flexibility in the GB energy sector
CEPA and the Energy Systems Catapult have been appointed by BEIS to carry out a study on energy price signals, as part of BEIS’s Alternative Energy Markets programme.
Consultation on Minded to Positions for ‘fast-tracked’ charging options published by Ofgem
Ofgem publishes consultation under the Access and Forward-looking Charges Significant Code Review with our Quantitative Analysis and Methodology reports alongside.
Assessment of proposed electricity trading arrangements between the UK and EU
Working with international partners, we have delivered a cost benefit analysis of proposed arrangements for day-ahead trading of capacity on electricity interconnectors between GB and other markets following the UK’s departure from the EU.
Evaluation of ‘Innovation Link’ Ofgem’s innovation support programme
The Innovation Link is Ofgem’s main support programme for innovators looking to launching novel propositions. It offers regulatory guidance as well as trials and derogations, contributing to an enabling and adaptive regulatory environment to benefit consumers and support the UK’s transition to net zero.
CEPA’s Impact Assessment helps industry to determine merits of Electricity Meter Splitting
CEPA’s analysis of the impacts of proposed modification P379 has helped the industry to better understand the merits and drawbacks of introducing electricity meter splitting. Our findings led to the proposer withdrawing the modification.
IUK-BBL: Consideration of adjustments to the NTS Charging Regime
Impact Assessment: Consideration of adjustments to the NTS Charging Regime
Director of CEPA Energy Modelling Ltd to speak at launch of Energy & Climate report
The independent European think tank, CERRE, will host an event on 16 March to launch its Energy and Climate report, “Electricity and gas coupling in a decarbonised economy”.
Ofgem publishes its RIIO-2 Final Determinations
We have been supporting Ofgem with its review of the responses to the Draft Determinations for the electricity and gas transmission and gas distribution sectors, and the electricity system operator.
Decarbonisation & sector integration
Consumers, policy makers and private businesses are focusing on decarbonising economic activity to limit the impact of climate change and to secure an environmentally sustainable future.
African Development Bank (AfDB) launches report to support investment into the African energy sector
AfDB and the Sustainable Energy Fund for Africa commissioned a consortium led by CEPA, to assess the availability of local currency finance for sustainable energy projects and the obstacles developers face in tapping into local financial and capital markets.
Consortium appointed to advise on the auction of offshore electricity transmission assets
CEPA appointed as part of Smith Square Partners consortium to advise Ofgem on the TR7 auction of offshore electricity transmission assets.
CEPA director presents his network charging vision to key energy stakeholders
Speaking at DCUSA Ltd’s 2020 Strategy Day, Patrick Taylor set out his views about the future of electricity charging in GB.
Improvements in market operator governance
Calls are made for improvements to the governance framework for the Australian Energy Market Operator to support investment efficiencies, manage growing customer costs and achieve national energy goals.
Advice for GB energy regulator to inform its 2021-2026 price controls
We are pleased to be assisting Ofgem with economic and financial components of its Revenue=Incentives+Innovation+Outputs (RIIO-2) process.
Peer review of study into the ‘hurdle rates’ for different electricity generation technologies
The Department for Business, Energy & Industrial Strategy (BEIS) asked us to peer review a cost of capital update for electricity generation, storage & demand side response technologies.
Supporting the decarbonisation of Ireland’s electricity system
Reports published as part of the draft determination for Ireland’s 2021-2025 price control.
CEPA supports Australian distributed energy resource (DER) access & pricing conversations
The Australian Energy Market Commission engaged CEPA to identify options that could improve the integration of DER into the electricity system.
Ofgem publishes its Decision on UNC678; the modification proposals relating to gas transmission charging
CEPA helps Ofgem, the GB energy regulator, to reach its Decision on the modification proposals relating to the gas transmission charging arrangements.
Ofgem consults on amendments to Gas Transmission Charging regime
Ofgem, Great Britain's independent energy regulator, is seeking views on its 'minded to’ decision on the proposals for modification to the gas transmission charging arrangements.
Considerations for UK regulators setting the value of debt beta
UK Regulators Network publish a CEPA report on approaches to debt beta estimation and the link between debt beta and gearing levels.
CEPA launches cost-effective, specialist energy modelling service with pre-eminent expert
CEPA Energy Modelling Ltd, a new subsidiary dedicated to meeting the increasing advisory needs of energy companies, regulators and governments across the globe is formed.
CEPA Outage Cost Calculator
This calculator lets you estimate how much you would need to be compensated if you were to experience a temporary household electricity blackout.
CEPA invited to build on its existing South American links
As a result of CEPA’s increasing work in South America, one of the firm’s directors, Attila Hajos, accepted the invitation to speak at the 12th Annual Meeting of the Colombian Energy Sector.
Ofgem consult on cost assessment tools & techniques
Ofgem has published a consultation on the cost assessment tools and techniques it intends to apply in setting the RIIO-2 price controls.
Understanding the distributional impacts of time-of-use tariffs on consumers’ bills
The roll-out of smart meters capable of measuring half-hourly consumption presents a number of opportunities. If introduced alongside time-of-use tariffs ...
Report for the ongoing evaluation of the New Reg process published
The Australian Energy Regulator has published a second insights report that CEPA prepared for the ongoing evaluation of AusNet Services' trial of the New Reg process.
CEPA feature as a guest speaker at annual energy conference
Ben Shafran, a consultant who specialises in energy policy and regulation, will feature as a guest speaker at the 2019 UKERC Annual Conference.
The impacts of digitalisation on the energy market
CEPA has been pleased to support a London School of Economics ‘Capstone’ project to explore impacts of digitalisation on the energy market.
The Utility Regulator in Northern Ireland publishes domestic consumer insight tracker findings
The Utility Regulator (UR) in Northern Ireland has published the results of its first Consumer Insight Tracker Survey.
Some lessons from technology-neutral auctions for low-carbon electricity generation
In this briefing note, we explore how successful technology-neutral auctions for electricity generation have been in the past and discuss some key lessons.
Cost-benefit analysis of new interconnectors in Ireland
Our cost-benefit analysis for the electricity interconnectors demonstrated that increasing the interconnection of Ireland to other markets is expensive but the benefits are likely to outweigh the costs.
Capacity Auction Monitoring in Ireland & Northern Ireland
Since 2017, we have been the Capacity Auction Monitor (“Monitor”) for the Capacity Remuneration Mechanism (CRM) for the Integrated Single Electricity Market (I-SEM).
Estimating the value of lost load for electricity in Europe
We were asked by the Agency for the Co-operation of Energy Regulators (ACER) to conduct a study on the estimation of the value of lost load (VoLL) for electricity supply in Europe.
Senior hire to meet demand from energy companies and regulators worldwide
CEPA today welcomes Gary Keane as a director to the consulting firm’s London headquarters.
The capacity market five-year review - some key questions
Some of the key questions that stakeholders should be asking as part of the UK Government's much-anticipated review of the electricity capacity market are set out in a briefing note.
Cybersecurity in the energy sector: what does it mean for network regulation?
Read our briefing note to learn more about what the key issues might be in the next RIIO price controls.
Assessing the impact of equal transmission charging treatment with gas storage
Our analysis demonstrated that applying equal charging treatment at Bacton IP as for GB storage would further the interests of GB consumers through lower gas prices.
RIIO-1 price control framework and performance review
Ahead of the RIIO-2 price controls, Ofgem wanted to gather insights on the outcomes of the RIIO-1 regulatory framework. At the end of 2017, the regulator commissioned CEPA to review the RIIO price control framework applied to the first set of RIIO price controls.
Insights report for the ongoing evaluation of AusNet Services trial of the New Reg process
The Australian Energy Regulator (AER) has today published a second insights report that CEPA has prepared for the ongoing evaluation of AusNet Services trial of the New Reg process.
What should regulators make of big data?
In almost every market one can think of, people are talking about the application of big data analytics and machine learning. Energy and other utilities are no different.
Going electric: How to incentivise the efficient deployment of electric vehicles
In our briefing, we examine how the regulatory framework implied by Ofgem’s strategy would affect one of the main drivers of the change: electric vehicles (EVs).
Positive winds for offshore - But don’t get blown over just yet
Following the announcement of the results for Round 2 of the CfD auction, we explore in this briefing what they mean for the offshore wind energy sector and the deployment of renewable electricity generation.
Setting of allowed revenues for the gas transmission & distribution
As part of a consortium, CEPA advised on setting allowed revenues for Gas Networks Ireland’s (GNI) TSO and DSO businesses over the PC4 price control period.
Assessment of a regulatory framework for retail
We were asked by an economic regulator of the energy sector, to develop a framework for assessing whether their domestic retail energy market was delivering good customer outcomes.