There are forthcoming changes to non-commodity costs on gas bills - these are explained in the document below.
Overview Gas Non-commodity Price Change
Bradford Council Comments
Dear All
to ensure that we try to keep you informed on any future changes in your gas charges, we have included the very recent communication from Corona Energy on increases to non-commodity costs.
This cost will mainly affect your Daily Charge (standing change) rate on you invoices and as you will see from the document below this is a nationwide increase.
You may have recently heard in the news that Ofgem is increasing the price cap for households to cover development in clean / alternative energy, well this change in charge is the same, but for businesses and schools etc.
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Local
Distribution
Zone Name
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LDZ\ AQ Range
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0 kWh - 73,200 kWh
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73,200 kWh - 732,000 kWh
|
> 732,000 kWh
|
|
North Eastern
|
NE
|
22.18%
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21.83%
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21.45%
|
As stated, the 22% increase in cost, mainly applies to your (Daily Charge) area of your invoices often referred to as standing charge
In the example below taken from one of our site’s billings, the daily charge is £4.87 per day
This will now increase by 22% bringing it to £5.94 An increase of £1.07 per day
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|
kWh Rate p/kWh
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Totals
|
|
Total Gas Usage
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12,567 3.9578
|
£497.38
|
|
Climate Change Levy
|
12,567 Relief 0.00% 0.7750
|
£97.39
|
|
Daily Charge
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31 Days at £4.87 per day
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£150.97
|
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AMR Charge
|
|
N/A
|
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Charge for current period
|
|
£745.74
|
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VAT@ 5.0% @ 20.0%
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£0.00
£745.74
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£0.00
£149.15
|
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Total Invoice Charge
|
|
£894.89
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Over the total 30 days for this invoice the future cost will change from £150.97 to £184.18 a total increase in this bill of £33.21
Over the full year for this site the increase will be approximately £391.06
Below is the official documentation we have received from Corona, I hope this helps you prepare for the increase that will apply to everyone in the UK regardless of their supplier.
Notice of Indicative Gas Transportation & Distribution Rate Changes - April 2026 - Including RIIO-3
Indicative
The gas distribution networks (DN) released the indicative notice of charges on 31st October 2025 for the 2026-27 Financial Year, for each local distribution zone (LDZ). The table below outlines the indicative percentage change from the current April
2025 transportation & distribution rates to the new indicative April 2026 transportation & distribution rates.
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|
Local
Distribution
Zone Name
|
LDZ\ AQ Range
|
0 kWh - 73,200 kWh
|
73,200 kWh - 732,000 kWh
|
> 732,000 kWh
|
|
Eastern
|
EA
|
24.23%
|
23.63%
|
22.96%
|
|
East Midlands
|
EM
|
24.24%
|
23.63%
|
23.00%
|
|
North Eastern
|
NE
|
22.18%
|
21.83%
|
21.45%
|
|
Northern
|
NO
|
22.08%
|
21.67%
|
21.37%
|
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North Thames
|
NT
|
20.43%
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20.21%
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19.92%
|
|
North Western
|
NW
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21.01%
|
21.22%
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21.32%
|
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Scottish
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SC
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20.09%
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20.14%
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19.72%
|
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South Eastern
|
SE
|
30.61%
|
29.32%
|
28.14%
|
|
Southern
|
SO
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30.72%
|
29.57%
|
28.55%
|
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South Western
|
SW
|
14.52%
|
15.17%
|
15.53%
|
|
Wales North
|
WN
|
14.46%
|
15.07%
|
15.42%
|
|
Wales South
|
WS
|
14.46%
|
15.07%
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15.42%
|
|
West Midlands
|
WM
|
28.10%
|
27.69%
|
27.02%
|
|
|
Transportation and distribution charges are banded based on the formula year annual quantity (FYAQ), which is represented by the three kilowatt hour (kWh) AQ ranges in the table above. The percentage changes will affect the local distribution zone and associated
exit capacity charges only and have predominantly been influenced by the new upcoming price control framework (RIIO-3).
What is RIIO?
RIIO (Revenues = Incentive + Innovation + Outputs) is the five-year price control framework introduced by Ofgem and is taking effect from 1st April 2026 to 31st March 2031. It sets out the forecasted allowed revenue for each distribution
and transmission network that can be collected. Based on targets for Net Zero, Clean Power 2030, efficiency targets and real price effects, the new price control is in place to fund essential safety and replacement work, while supporting the transition to
lower carbon gases. Please
click here for more information on RIIO.
The table of percentage changes are based on the most current information from each of the gas distribution networks 150-Day Indicative Notice of Transportation and Distribution charges and Ofgem’s draft determination adjustments for RIIO-3.
The values are indicative and will be finalised by the end of January 2026, following any updates from the publication of the Ofgem Final Determination in December 2025.
Further updates will be provided should there be any changes to the indicative charges for April 2026.
Please see link below for DN Indicative charge notices.
2026-27 DN Indicative Charges | Joint
Office of Gas Transporters –
Gas Governance