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1 October 2003 - A preliminary investigation by energy regulator Ofgem has found that both recent UK power cuts were caused by the failure of new protection equipment, which had been incorrectly installed - not due to a lack of investment.
Ofgem's Managing Director, Competition and Trading Arrangements, Dr Boaz Moselle, said: "It is clear from our investigation that these power cuts were isolated incidents on the National Grid. While they were very regrettable for those affected, customers should not see them as signs that the network is suffering from lack of investment.
"Total investment since privatisation in the electricity network is over £16bn a level which is much higher than before privatisation. The national grid network in this country is 99.9999 per cent reliable and power cuts on the low-voltage distribution networks have fallen by 11 per cent since 1991/92."
Dr Moselle added: "Ofgem is still very concerned about both power failures and we are continuing our investigation. We need to ensure that the companies involved in the recent power cuts adhered to their legal requirements to run the electricity networks in an efficient and co-ordinated manner and to ensure that the lessons from both power failures are learnt to stop similar problems occurring again."
Ofgem is continuing its investigation and will focus on whether the processes for managing the shutting down of parts of the grid for maintenance work sufficiently robust and whether large energy users, like London Underground fully informed of maintenance work being carried out on the grid. It is also looking into how effective were the communications between the power companies and their customers in the event of both power cuts.
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