1. Denis Aitchison/Rob Hetherington
Distribution Charging Methodology Forum Indicative Charges for October th May 2008
Denis Aitchison/Rob Hetherington

2. 1 October Indicative Charges Scotland -3.3% Southern +3.5%
Scotia Gas Networks
1 October Indicative Charges
Scotland %
Southern %
After change to 95:5
A Gibson Capacity manager

3. Implement 95:5 charges from 1 October 2008
Scotia Gas Networks
Effect of change to 95:5
Method:
Set 95:5 charges on full year basis to recover same revenue as existing 50:50 charges
Implement 95:5 charges from 1 October 2008
A Gibson Capacity manager

4. Impact on Revenue Oct 08-March 09 Scotland - £15m Southern - £37m
Scotia Gas Networks
Impact on Revenue Oct 08-March 09
Scotland - £15m
Southern - £37m
A Gibson Capacity manager

5. Scotia Gas Networks
After taking these reductions into account charges are estimated to recover the latest forecast Allowed Revenue for 2008/09
A Gibson Capacity manager

6. Scotia Gas Networks
On 1 April 2009 will be further change to the level of charges to set to a more appropriate annual level.
A Gibson Capacity manager