ENERGY watchdog Ofgem says it is proposing to impose a £2m penalty on EDF Energy Networks for last year’s power cut which affected 94,000 homes.

Ofgem’s statement follows the much awaited publication yesterday (June 7) of the independent auditor’s report into the incident in July last year, which cut power to homes in Dartford, Bexley and Orpington for up to four days.

Ofgem will now spend the next month consulting on its proposal.

EDF had applied to Ofgem to have the incident classified as an “exceptional” event because it claimed the power cut was caused by a third party - the vandals or thieves who broke into its Dartford Creek site and caused the fire to four major power cables.

But the auditor, in his report, concluded EDF could have done more to prevent the incident from happening.

He said graffiti inside the cable enclosures should have alerted EDF to the need to provide more security.

Ofgem and the auditor accept EDF took appropriate steps after the fire, to limit the number of customers affected and to restore supplies as quickly as possible.

But Ofgem says the Dartford Creek cable bridge was of strategic importance to EDF’ network.

It says “As a minimum, we think EDF should have had a higher frequency of maintenance inspections and a higher level of security than was in place.”

OFGEM now wants to hear from interested parties before July 7 on whether they think a £2m revenue penalty is a proportionate response.

It also wants views on whether it is reasonable to have expected better security at the site and whether that is a relevant consideration; what other factors should Ofgem consider and what approach other energy companies take at similar sites.

Comments should be sent to Mick Watson, Costs & Outputs, Local Grids, Ofgem, 9 Millbank London SW1P 3GE or email dartford@ofgem.gov.uk

Customers can find out how to complain about their ex-gratia payment at ofgem.gov.uk/Consumers/Pages/Consumer.aspx

To read the full report go to ofgem.gov.uk and click on “publications”.

Energy watchdog Ofgem launched an audit into last July’s power cut after EDF Energy Networks delared it was a “exceptional event” which meant it did not have to pay compensation to the thousands of people affected.

Instead it paid only a £50 goodwill payment.

Electricity supplies to thousands of people across Bexley, Dartford and parts of Orpington were cut when vandals broke into the electricity company’s site in Dartford, where four major cables are carried across Dartford Creek on a bridge.

Kent police could not establish whether those responsible were vandals or metal thieves but they caused a fire which badly damaged all four cables.

No one has ever been arrested for the incident.

EDF maintained since vandals caused the damage, it could not be held responsible.

But it has always faced allegations that security at the site was poor and a back-up power supply should have been available.