Interconnector User role within the electricity market

Glossary

Interconnector Users are Trading Parties that import and export electricity across an Interconnector. They buy and sell electricity from Generators, Suppliers and other Trading Parties operating in the market. Interconnector Users are responsible for the metering systems that record the amount of energy that they are importing and exporting.

What are interconnectors?

An interconnector enables energy to flow between networks. This page explains which interconnectors exist between the British mainland and other regions or countries. This includes connections to Northern Ireland, France, Holland and the Republic of Ireland.

What are Interconnector Users?

It is usual for all Interconnector Users to have agreements with the Interconnector owner, the Interconnected System Operator and Externally Interconnected System Operator. All these agreements are outside the scope of the BSC but are necessary pre-requisites for trading across an Interconnector.

These agreements will also need to include the relationship between Interconnector Users and the Interconnector Administrator who will report the Export (electricity flows on to the GB Total System) or Import (electricity flows from the GB Total System) energy volumes for each user.

Process for entering the market

You will need to go through various steps in order to register as an Interconnector User. We have a dedicated web page and diagram that outlines all the tasks required.

Physical Notifications

When you use an Interconnector, a Final Physical Notification (FPN) will need to be submitted to the Electricity System Operator before each Gate Closure reflecting your expected Interconnector physical flows (Expected Transfer).

This may be submitted by the Interconnector operator on your behalf, once the Expected Transfer for the relevant Settlement Period is agreed.

Your deemed BM Unit Metered Volume will be entered into Settlement by the Interconnector Administrator for each Settlement Period. This data is provided to you in the BM Unit Aggregation Report and on request to any licensed Party or licensed non-Party.

Energy Contract Volume Notifications

Interconnector Users would normally submit Energy Contract Volume Notifications (ECVNs) to the Energy Contract Volume Aggregation Agent (ECVAA) to reflect the sale, or purchase, of energy transferred across the Interconnector.

An alternative method could be to submit a Meter Volume Reallocation Notification (MVRN) that would transfer all, or some, of the allocated Meter Volume to another BSC Party’s Account.

How does Settlement Work for Interconnector Users?

As with all other Trading Parties, the difference between an Interconnector User’s Imports/Exports (adjusted for Transmission Losses) and their total Notified Energy Contract Volume represents the Energy Imbalance Volumes.

These volumes are multiplied by the System Price to determine Energy Imbalance Charges. If an Interconnector User does not notify sufficient (or notifies too much) energy through Energy Contract Volume Notifications, it will mean any Metered Volumes allocated to one of their accounts will be settled at the prevailing System Prices, as is the case for an Energy Imbalance for any BSC Trading Party.

Each Trading Party is allocated two Energy Accounts; one for Production and one for Consumption. The Settlement calculations for each of these accounts are determined separately and as a consequence it is important that Energy Contract Volume Notifications specify the accounts to which they should be applied.

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