Introduction
Ofgem
has a tough but vitally important job. We are Great Britain's’ independent
energy regular working to improve the lives of customers today, especially
vulnerable people. We are also working
to build a lower carbon, lower cost and more secure energy system for the
future. This has never been a more important time to do so. Our energy market
has faced unprecedented price increases over the last 18 months and as a
result, this is a very tough winter for many households across Britain.
Ofgem
is doing everything we can to protect consumers today, but also to move our
energy system strategically away from reliance on international gas. This has
meant taking on new functions and responsibilities from government, both on the
regulatory and delivery side of our operations.
We
are responsible for:
•Working
with government, industry and consumer groups to deliver a net-zero economy, at
the lowest cost to consumers
•Stamping
out sharp and bad practice, ensuring fair treatment for all consumers,
especially the vulnerable
•Enabling
competition and innovation, which drives down prices and results in new
products and services for consumers.
Further information about Ofgem can be found here
Introduction from the Minister
Dear
Candidate,
Thank
you for your interest in becoming a Non-Executive Director of Ofgem.
You
may already have some idea about the important work of Ofgem and the following
pages will tell you more about the purpose and the nature of the Board’s role.
Ofgem is a non-ministerial government department and its principal objective
when carrying out its functions is to protect the interests of existing and
future electricity and gas consumers.
It
does this in a variety of ways including promoting value for money; promoting
security of supply and sustainability, for present and future generations of
consumers, domestic and industrial users; the supervision and development of
markets and competition; and regulation and the delivery of Government schemes.
Under its Chair, the
Board has a key role in leading the organisation, setting strategy, holding
executives to account, and successfully dealing with current and future
challenges in the energy sector.
If
you believe you have the experience and qualities we are seeking to help to
lead this important organisation, we very much look forward to hearing from
you.
Graham
Stuart
Minister
of State (Minister for Energy and Climate)
Introduction from the Chair
As
the energy regulator for Great Britain, the Office of Gas and Electricity
Markets (Ofgem), supervised by its Board the
Gas and Electricity Markets Authority (GEMA), has a vitally important role in
protecting the interests of domestic and
non-domestic energy consumers, both now and in the future.
The
challenges ahead are profound. Our reliance on international gas markets that
have been manipulated by an aggressive state
means that geopolitics is playing a far stronger hand in our energy system than
is desirable, or we had planned for.
In
tandem, seismic changes in the economics of energy, with low carbon generation
rapidly becoming not only the greener but often the less costly choice, mean
that together we must fundamentally rethink how we plan, operate, and regulate
our energy system. This includes reconsidering how we think about security of
supply, strategic risks, and, assuming that price volatility may continue to
feature for many years to come, how we interact with global energy markets.
Ofgem
is playing a pivotal role in this agenda, taking on new functions and
responsibilities from government, both on the regulatory and delivery side of
its operation. This includes ensuring that regulation keeps up with the rapidly
evolving digital transformation and increasing use of data across the energy
sector, and ensuring that Ofgem seizes the opportunities brought by digitalisation
in our own internal operations. As the outgoing Chair of Ofgem, I am proud to
have been part of this very important mission, and I know my Board colleagues
are too.
Ofgem’s
staff have shown great dedication and commitment in stepping up to meet the
unprecedented challenges of navigating the energy crisis.
As
one of the board’s non-executive directors, you will have the chance to
influence the strategic direction across many important issues, ranging from
how to plan, build, and supervise the roll out of new energy infrastructure, at
a pace not seen for decades, to the reshaping of a retail market to be both
resilient to financial risk, and sufficiently innovative and dynamic to deliver
new offers to customers.
A
more flexible energy system will also require a great deal of new thinking on
consumer price protections, how consumers can best engage with new demand
flexibility technology, how to drive up supplier standards in a market where
the role of people switching may not play the role once hoped for, and, above
all at a time of very high energy bills, how to ensure that customers in
vulnerable situations are treated fairly and properly protected.
Finally,
as Government steps up the pace to help consumers and suppliers decarbonise
through new schemes such as Boiler Upgrade Scheme, ECO4 and the Green Gas Levy,
we will benefit from sharp and efficient commercial knowledge as our scheme
administration remit expands.
This
is a unique opportunity to provide new leadership to a dedicated, diverse, and
high performing workforce, making a real difference to one of the most
important and high-profile challenges the world faces today. We seek leaders
who will truly advocate for consumers and who know and take to heart the issues
consumers face every day.
I
have been involved in regulation and competition in many sectors over the
years, both in the UK and internationally, and I can honestly say there has
never been a more significant moment to be involved in regulation than now at
Ofgem. Applications from people of all backgrounds are very welcome, and I
would strongly encourage you to apply.
Martin
Cave
February
2023
Appointment description
As a NED, your function is to bring independent oversight, support and constructive challenge to Ofgem successfully dealing with current and future challenges including:
- The rise in global gas prices and subsequent impact on consumers;
- Restoring resilience in the retail gas and electricity markets;
- Supporting continued security of supply;
- Maintaining progress to net zero;
- Responding to rapid change in the electricity market, allowing the emergence of smart, decentralised technologies;
- Implementing plans for a future system operator;
- New responsibilities for Ofgem, including the regulation of heat networks and CO2 transport and storage, subject to Parliamentary approval;
- Taking on lessons learned from the Oxera Report and the BEIS Select Committee Report; and
- Improvement in the delivery of several HM Government social and environmental schemes.
The Board makes decisions on major regulatory issues and you will be expected to contribute to these collective decisions.
You may also be involved in working groups or offer advice and support to individual directors, in addition to ad hoc pieces of work across Ofgem.
Organisation description
Ofgem is Great Britain’s independent energy regulator.
We work to protect energy consumers, especially vulnerable people, by ensuring they are treated fairly and benefit from a cleaner, greener environment.
•Our
priority is to make sure that customers’ interests are protected today and that
we can help lead Britain’s effort to meet its climate change goals. We are
passionate about both.
•Many
customers rely on Ofgem’s rules and funding to ensure that their energy needs
are met, particularly at this time of high and volatile prices.
•Equally,
the UK has one of the most ambitious climate change goals in the world and at
the heart of this is our transition from a high carbon traditional energy
system to one that is fully decarbonised by 2050. Ofgem has a key role in
ensuring that we make this change and that customers’ interests are looked
after along the way.
•We
do this through reforming the energy market, directly regulating companies and
taking action against poor behavior and through the delivery of government
schemes for renewable energy, energy efficiency and to protect the poorest
energy customers.
•We
are a ‘Non-Ministerial Department’ – this means we work effectively with, but
independently of, government, the energy industry and other stakeholders.
Board composition
For full details of Ofgems structure and leadership please see here.
Regulation of appointment
This post is regulated by the Commissioner for Public Appointments. For more information, please refer to the
Commissioner’s website 