Government and Ofgem directions to the Code
This page explains the additional process of change to the BSC which can be made via a direction from the Secretary of State or Ofgem in powers conferred by legislation. Elexon refer to these BSC changes as Other Regulatory Decisions (ORDs).
The BSC is established under Condition C3 of the Transmission Licence, which amongst other things requires National Grid to have in force a Balancing and Settlement Code. This is why you’ll often see directions from the Secretary of State to National Grid.
ORD009: National Energy System Operator and Elexon Ownership
The Secretary of State (SoS) for the Department for Energy Security and Net Zero (DESNZ) and the Gas and Electricity Markets Authority (GEMA) have decided to establish the National Energy System Operator (NESO). Changes to the BSC are required to implement the SoS and Ofgem’s decision.