The plans, which the energy regulator is currently consulting on, would see any costs incurred during an investigation, or the money recovered from a successful investigation into gas theft shared between the GDNs and their customers.
Currently, the GDNs have to be “revenue neutral” and can only recover the costs of the investigation, with any surplus going to their customers. Any shortfall is met wholly by the GDNs.
Ofgem said that the existing framework provides “little financial incentive” for GDNs to investigate gas theft and the new proposals will ensure the GDNs “proactively investigate and reduce gas theft”.
If the new proposals are approved following the consultation period, which closes on 18 April, the new licence conditions will come into force on 1 April 2015.