Consultations on Operations and Settlement

Edited last updated date to 23/7/23

ELEXON has received a new GSP registration application from the National Electricity Transmission System Operator.  UK Power Networks are connecting two new circuits into the Richborough 132kV substation. 

The Market Index Definition Statement (MIDS) defines the use of Market Index Data to calculate the Market Index Price (MIP), a price reflective of wholesale electricity for a Settlement Period in the short term market. An annual review of this document is required by the BSC, to ensure that the MIP is providing a reasonable reflection of the price of wholesale electricity in the short term market.

Changes were made to the MIDS as part of BSC Modification P377 ‘Amending Gate Closure references in Market Index Data’, which was implemented on 18 April 2019.

Our yearly analysis suggests that there are no further changes to the MIDS required at this time, with the current Individual Liquidity Threshold (ILT), timeband weightings and product weightings remaining suitable.

Response

Please respond using the consultation response proforma and send your responses, entitled ‘MIDS Review 2019 Consultation’, to [email protected] by Thursday 10 October 2019.

Responses to this consultation will be considered by the Imbalance Settlement Group at its meeting on 22 October 2019, where a final recommendation will be made to the BSC Panel for approval.

This consultation seeks respondents’ views on increasing the CAP £54/MWh from the last notified value of £43/MWh.

Response

Please email responses to [email protected] using the pro-forma below by 17.00 on Tuesday 17 September 2019. 

We issued a consultation on the draft reference network mapping statement for Modification P350 ‘Introduction of a seasonal Zonal Transmission Losses scheme’ to each Party. The network mapping statement is used for determining Nodal power flows in the calculation of Transmission Loss Factors. 

Response

Please respond using the consultation response form and send your responses, entitled  ‘P350 Draft Reference Network Mapping Statement’, to [email protected]  by 17.00 on Friday 13 September 2019.

We invite Trading Parties to indicate whether they agree with the proposal to set new CAP values based on the estimated reference price on the implementation date of the new CAP. We also invite Parties to indicate if they agree the trigger level (the value from which if the reference price deviates by, then a review of the CAP is triggered) should be automatically set. These proposed changes will allow for a more efficient process whilst maintaining the necessary levels of control.

ELEXON has received a new GSP registration application from the Transmission Company.  National Grid Electricity Transmission (NGET) is connecting a new GSP at Islington.

Modification P350 ‘Introduction of a seasonal Zonal Transmission Losses scheme’ introduced a Transmission Loss Factor (TLF) for each TLF Zone and BSC Season, so transmission losses can be allocated on a geographical basis. P350 went live on 1 April 2018.

This Consultation details the proposed methodology for setting Load Periods and Sample Settlement Periods to be used in the derivation of Zonal TLFs, as required by the Balancing and Settlement Code (BSC).

Response

We encourage you to respond to this consultation using the consultation pro-forma. The consultation period will end on Friday 5 July 2019 at 17:00. Please return responses to: [email protected].

At the end of the consultation period, ELEXON will consider all responses and, if required, update the methodology accordingly. The methodology, along with all consultation responses, will be presented to the Imbalance Settlement Group (ISG) meeting next month to request approval of both the methodology and actual LPs and SSPs.

Upon approval, ELEXON will publish the actual LPs and SSPs on the website on or before 31 August 2019. 

This consultation seeks respondents’ views on decreasing the CAP £41/MWh from the last notified value of £48/MWh. 

Response

Please email responses to [email protected] using the pro-forma below by 17:00 on Tuesday 18 June 2019.

Following a decrease in forward market prices, a Credit Assessment Price (CAP) review was triggered. We have issued a consultation paper on the value of the Credit Assessment Price.

We propose to decrease the value of CAP to £49/MWh from the last notified CAP value of £56/MWh.

This consultation seeks views on the Target Operating Model (TOM) developed by the Design Working Group (DWG), before Ofgem makes the final decision on whether to approve it. Market-wide Half Hourly Settlement (MHHS) is a fundamental reform which will impact both existing and future participants in the energy market. The DWG therefore encourages views from all stakeholders.

This consultation seeks respondents’ views on decreasing the CAP to £56/MWh from the last agreed value of £68/MWh.

ELEXON has produced a set of data visualisation graphs that show the reference CAP and the live CAP and are used by ELEXON to support the regular CAP Review process.

• More on data graphs and calculating new CAP values

Response

Please email responses to [email protected] using the pro-forma below by 17:00 Tuesday 12 February 2019.

The Schedule of EMR Settlement Data (which was agreed by ELEXON, LCCC, ESC and EMRS in 2015) specifies that EMRS will be provided with a BM Unit Gross Demand Report, containing the gross demand data that EMRS requires in order to calculate the payments due from each licensed Supplier.

But, since then, ELEXON has become aware of two evolutions:

• In July 2017, BEIS and Ofgem published their joint Smart Systems and Flexibility Plan. This plan makes clear that BEIS and Ofgem now interpret the definition of ‘supply’ in the Electricity Act as meaning that the Supplier Obligation is not payable in relation to supply to premises occupied by a generator licence holder for the purpose of carrying out activities authorised under the generation licence, even if the generation is not ‘Licensable’.
• ELEXON has been approached by parties seeking to facilitate exempt supply (by the operators of community generation assets to local customers) under the class A supply licence exemption. Because this supply is not being made by a licensed Supplier it should not be subject to EMR charges, but currently the BM Unit Gross Demand Report sent to EMRS includes these volumes in the gross demand for the licensed Supplier who has registered metering on behalf of the exempt supplier.

The consultation document seeks views on how we should progress interim and enduring solutions to these issues. The BSC Panel will consider responses to the consultation at their meeting on 8 November 2018.