BSC Hub: MDD changes initiated by Ofgem Review

Large scale changes to Market Domain Data (MDD) based on Ofgem’s Targeted Charge Review (TCR).

This page contains details about the planned increase of MDD sets in response to Ofgem’s TCR and how this will impact BSC Parties. You can also find out information about why these changes are happening, what has already happened and what the next steps are.

Latest updates

Monday 7 December 2020

DNO Change Requests approved for January MDD publish

As part of our continuing work to progress large scale change to MDD sets for Ofgem’s TCR, Elexon proposed the related Change Requests for Distributed Network Operators (DNOs) to the Supplier Volume Allocation Group (SVG) at the latest SVG meeting on 1 December 2020.

The SVG approved the DNO change requests, which will be published in the MDD data set on 13 January 2021 and will go live on 20 January 2021.

IDNO Change Requests

We will continue to validate Independent Distribution Network Operator (IDNO) Change Requests for the time being, and will seek approval from the SVG to progress these after we have completed industry testing.

Workshop for IDNOs

In the meantime, we will be holding an informal workshop for IDNOs on Monday 14 December from 14:00 – 1600. If you would like to attend, please email [email protected].

Industry testing still scheduled for January 2021

Industry testing is still planned for January 2021. We will be inviting all parties who requested the opportunity to test in our Request for Information to industry in August.

You can find out more background information about industry testing under ‘Next Steps’ further down the page.

Get involved in testing

If you are interested in participating in industry testing please contact [email protected]

How it relates to you

Ofgem’s TCR means major changes to how network charges are set. It will see the numbers of Line Loss Factor Classes (LLFCs) in MDD increasing on a large scale, as well as the number of valid set combinations.

BSC Parties who load MDD and LLF files may be impacted, as they will have to load significantly larger numbers of new LLFCs and valid set combinations.

Such a large increase in data could impact your network systems. If you notice any such impact, please contact the MDD Coordinator or LLF Coordinator.

Next steps

Industry Testing

As we will continue to monitor the progress of the MDD published in November, and listen to feedback from Parties, we will look to finalise the Industry Testing plans with our service providers.

These test plans will incorporate testing for Participants, the BSC Central Systems, and subsequent Settlement processes as they will be using the increased volumes of LLFCs. We will provide you with a further update on the test plan as soon as we can.

We will make sure that the participants are kept informed with regards to testing and are provided with sufficient notice prior to TCR submission dates.

Reasons for testing

As this is a major change to MDD data, Elexon has been leading work to carry out central system testing and participant testing. Overall we will need to provide assurances to the Supplier Volume Allocation Group (SVG), the BSC Panel and BSC Parties that adding such a large amount of new data will not pose risks to Settlement.

Software development

Automatically loading MDD

Software is being developed that will automatically load MDD, as this is currently a manual process. This should reduce the risks around the publication and data quality of MDD for participants.

What’s already happened

Publishing data

• 11 November 2020: 1,638 new LLFCs and 37,000 new valid set combinations added to MDD. This went live on 18 November 2020. 
• 14 October 2020: 2,122 new LLFCs and 24,287 new valid set combinations added to MDD. This went live on 21 October 2020.

This new published data impacts D0269/D0270 (MDD) and D0265 (LLFC) flows.

Previous news

• 30 November – Update to the submission of Market Domain Data (MDD) Plan: Risks and mitigations, industry testing
• 16 November – Update to the submission of Market Domain Data: November data publish
• 9 November – Major Line Loss Factor Classes upload to Market Domain Data on 18 November

• 20 October – Submission of MDD and LLFC Plan: Concerns regarding Settlement

• 28 September – Large scale change to Market Domain Data: Testing required

Why these changes are happening

Ofgem’s TCR addressed concerns that the current framework for residual network charges could lead to inefficient use of the network. This means there will be major changes to how network charges are set.

This will result in the numbers of LLFCs in MDD increasing from 16,000 to approximately 35,000. The number of valid set combinations will also increase from around 208,000 to approximately 470,000.

The distribution charge aspects of Ofgem’s reforms will be introduced from April 2022.