Offshore Transmission Owner (OFTO) regime: update on policy reforms
Updated 28 October 2025
© Crown copyright 2025
This publication is licensed under the terms of the Open Government Licence v3.0 except where otherwise stated. To view this licence, visit nationalarchives.gov.uk/doc/open-government-licence/version/3 or write to the Information Policy Team, The National Archives, Kew, London TW9 4DU, or email: psi@nationalarchives.gov.uk.
Where we have identified any third party copyright information you will need to obtain permission from the copyright holders concerned.
This publication is available at https://www.gov.uk/government/calls-for-evidence/offshore-transmission-owner-ofto-regime/outcome/offshore-transmission-owner-ofto-regime-update-on-policy-reforms
The government is grateful for the evidence submitted by generators, OFTOs, industry representatives and associations as part of the 2023-2024 Call for Evidence on the Offshore Transmission Owner (OFTO) regime.
We have used this evidence to inform policy development to ensure the OFTO regime continues to deliver cost-effective offshore transmission infrastructure in Great Britain, and to support the delivery of offshore wind towards the government’s Mission to Make Britain a Clean Energy Superpower, and the Clean Power 2030 goal.
How we have acted on the Call for Evidence
The government has acted on this evidence in making policy reforms including:
- 132kV Array Transmission license class exemption, which allows offshore wind farms to use higher voltage 132kV array cabling without needing to divest these as part of the offshore transmission assets. This came into force in August 2024
- an extension to the duration of the Generator Commissioning Clause (GCC) from 18 to 27 months. This is a measure in the Planning and Infrastructure Bill, which is currently in Parliament
Responses to the Call for Evidence suggested extending the GCC, but noted that further reforms to the GCC would be welcome. We are pursuing further reforms to ensure the GCC start date is better aligned with the start of the OFTO tender process. We are also amending the mechanism for providing GCC extensions, and for other Offshore Transmission Licence Exemptions, where they are necessary as described in the Guidance. We have consulted with industry throughout these developments, and will continue to seek feedback from developers, OFTOs, and industry bodies.
We note that, while some respondents suggested more fundamental changes to the regime, such as eliminating the GCC, or allowing Generators to take ownership of assets at the end of the OFTO Tender Revenue Stream (TRS), there was a lack of evidence to support these suggestions. The weight of the available evidence indicates that the present regime provides the most cost-effective buildout and operation of offshore wind transmission infrastructure, over and against alternative models. As such, a reformed OFTO regime will remain the means of supporting the efficient buildout of offshore wind transmission infrastructure in GB.
Additionally, where aspects of the regime are managed by Ofgem, they have published a range of consultations on reforms to ensure the OFTO regime remains a strong support to the growth of UK offshore wind. For example, the recently closed consultations on the evolution of the OFTO asset class (OFTO: extension and evolution of a mature asset class and OFTO: further evolution of a mature asset class), and the open Call for Input on proposals for developing an early competition OFTO-build model.
The government continues to welcome feedback on the OFTO regime, and we value the continuing dialogue we maintain with industry. Based on the information gathered to date through the Call for Evidence, the reforms we are pursuing will ensure that the OFTO regime continues to support the efficient growth and delivery of offshore wind energy in Great Britain.