BSC Changes impacting a Generator
This page shows which Modifications and Change Proposals have been identified as impacting a Generator. Please note that the assessment of where impacts may affect certain roles within the electricity market may be amended during the course of the Change process.
CP1594 ‘Creating an Approval Process for New and Legacy Communication Types’
Older metering communication types are quickly becoming redundant and are being replaced by newer communication types. Elexon are proposing to create an approvals process to allow for the managed end dating of older technologies, such as Public Switched Telephone Network (PSTN), Circuit Switched Data (CSD) and subsequently 2G.
P462 ‘The removal of subsidies from Bid Prices in the Balancing Mechanism’
This Modification aims to reduce consumer cost potentially caused by the interaction between the BM and support mechanism arrangements. This shall be done by removing distortion of support mechanisms (such as Contracts for Difference (CfDs) and the Renewables Obligation (RO) schemes) to reduce actions being taken outside of consumer cost order when following the Bid stack merit order.
The proposed solution for consideration by an industry Workgroup is to modify the equation BSC Section T ‘Settlement and Trading Charges’ paragraph 3.11 to pay the lost support mechanism.
P455 On-Site Aggregation as a method to facilitate Third Party Access
This Modification seeks to establish a more cost effective and efficient method for delivering Third Party Access on private networks that include domestic and small business customers. It does so by enabling aggregated meter data from sub meters on private networks to be submitted into Settlement in lieu of data from Settlement meters installed at the Boundary Point.
P463 ‘Introduce a Standard Change Process’
To introduce a new change process – a ‘Standard Change’ process – into the BSC arrangements that would allow for certain, low risk, predictable and repeatable pre-authorised changes to be implemented without following the existing Change Proposal or Modification procedures.
P432 ‘Half Hourly Settlement for CT Advanced Metering Systems’
This Modification proposes to align the BSC definition of an Advanced Meter with that in the Standard License Conditions (SLC) and to set explicit Half Hourly (HH) Settlement obligations for Current Transformer (CT) Advanced Meters ahead of the migration to Market-wide Half-Hourly Settlement (MHHS).
P472 ‘Amendment to provisions for Parties to bring claims against BSC Agents in BSC Section E’
This Modification proposes to amend BSC Section E to remove the requirement for Parties to be able to bring claims against BSC Agents. An industry Workgroup will be formed to consider what other measures (if any) might be appropriate to mitigate the impact of this on Parties.
P467 ‘Enduring Solution in an event of a Gas Deficit Emergency (GDE)’
This is a follow on Modification from Issue 105 and provides an enduring solution in an event of a Gas Deficit Emergency (GDE).
P412 ‘Ensuring non-BM Balancing Services providers pay for non-delivery imbalances at a price that reflects the real-time value of energy’
This Modification will introduce imbalance charges for non-Balancing Mechanism (BM) Balancing Services providers, where their delivery does not match instructed volumes. This will mean the GB market more effectively meets the requirements of the Clean Energy Package.
P470 ‘Protecting the Imbalance Price from IOLC related distortions’
P470 seeks to reprice Offer prices in the Imbalance Settlement Price calculation where those Offers were impacted by price restrictions introduced by the Inflexible Offers Licence Condition (IOLC).
P451 ‘Updating BSC Black Start provisions and compensation arrangements’
P451 seeks to facilitate the implementation of NGESO’s new approach to Black Start, termed System Restoration. In doing so, it proposes to update all BSC references to “Black Start” to “System Restoration”, and enable contracted Restoration Service Providers who are non-BSC parties to claim BSC Black Start compensation.
P454 ‘Removal of BSC obligations to provide BMRS Data via TIBCO and the High Grade Service’
This Modification would remove the existing requirement within BSC Section V ‘Reporting’ for the Balancing Mechanism Reporting Agent (BMRA) to provide BMR Service (BMRS) data via the legacy High Grade Service, otherwise referred to as the TIBCO service.
P454 is a recommendation from BSC Issue 95, which considered the impacts associated with maintaining the legacy TIBCO service.
P469 Credit Default Refusal and Rejection Period
P469 proposal seeks to delay the Credit Default Refusal and Rejection Periods. This change would give parties a two-hour window from the Level 2 Credit Default notification until the time when any Energy Contract Volume Notifications (ECVN) related to a defaulting party are rejected.
To implement the proposed Solution, this Modification aims to change BSC Section M, 3.3.3 a (i) and (ii).
P466 ‘BSC Section N Modernisation’
This Modification seeks to update BSC Section N ‘Clearing Invoicing and Payment’ to support the effective running of the Funds Administration Agent (FAA). The Modification will align the BSC with Elexon’s updated financial systems and modern banking practices to increase the efficiency of service provided to industry.
CP1587 ‘Obsolete Metering Equipment’
Providing a process and transition period to remove unsupported assets and mitigate the risk to Settlement.
P460 ‘Amend the responsibility to propose and consult on a MHHS Migration Plan’
P460 aims to change responsibility for proposing, consulting on and obtaining approval of the Market-wide Half Hourly Settlement (MHHS) Migration Plan from BSCCo to the Market-wide Half Hourly Settlement Programme (MHHSP).
P457 ‘Replace the Electricity Arbitration Association with the London Court of International Arbitration’
P457 proposes to remove the Electricity Arbitration Association (EAA) from the BSC and replace with the London Court of International Arbitration (LCIA) to deliver better value for money and service.
P443 ‘To Cap NGESO Interconnector Trades’
At the current time National Grid Electricity System Operator (NGESO) can trade at prices above the Value of Lost Load (VoLL – as defined in BSC Section T 1.12, currently set at £6,000/MWh). The Proposer’s view is that this adds to customers’ costs and sends a signal to the markets that customers are willing to buy power at any price. In a cost of living crisis the Proposer does not believe that the British public are prepared to buy energy at any price.
P458 ‘Introducing Data Controller and Processor Obligations in the BSC for MHHS Testing’
The purpose of this Modification is to address the need for personal information sharing in the Balancing and Settlement Code (BSC), specifically in the context of the Market-wide Half Hourly Settlement (MHHS) testing. The current BSC General Data Protection Regulation (GDPR) and data protection provisions were not designed to allow the sharing of personal information, which has now become necessary for the planned MHHS testing.
P441 ‘Creation of Complex Site Classes’
This Modification looks to progress a recommendation of the Issue 88 Workgroup to introduce Complex Site classes. These classes would categorise the types of Complex Site, each having clearly defined criteria within the BSC. A new “type” of Complex Site (referred to as a Class 6 Complex Site) to allow approval of ”non-standard” complex sites would also be introduced.
P441 would also clarify when the netting of Imports from Exports for multiple Metering Systems registered in Supplier Volume Allocation (SVA) is permitted.
This change would facilitate consistency across the market and as so called “Local Energy Schemes” become more popular, rules for when netting are permitted would be clearly defined going forward.
P419 ‘Extension of P383 to include non-final Demand’
This Modification seeks to enable BSC Systems to aggregate the Import data of all non-Final Demand sites for exclusion from Balancing Services and Use of System (BSUoS) charges.
P440 ‘Enabling Elexon to administer the Capacity Market Advisory Group’
The BSC does not currently allow Elexon to undertake administrative activities that would support the Capacity Market Advisory Group (CMAG). This does not align to Ofgem’s decision to appoint Elexon to undertake the CMAG administrative activities on its behalf.
P426 ‘Combining related BSC Parties’ Energy Indebtedness positions for the Credit Cover Percentage calculation’
This Modification proposes to remove inefficiencies with the Credit Cover calculation by allowing related BSC Parties to combine their Energy Indebtedness prior to calculating the Credit Cover Percentage.
P448 ‘Mitigating Gas Supply Emergency Risks’
The war in Ukraine and resultant gas shortages in Europe significantly increases the risk of Generators in GB being prevented from generating this winter (due to Firm Load Shedding during a Gas Supply Emergency). If that happens Generators are likely to incur massive Imbalance Charges and credit cover requirements, potentially causing them to become insolvent. Even if such an Emergency does not occur, the risk that it could occur is likely to force Generators to reduce their forward and Day Ahead trading, reducing liquidity in electricity markets, and raising costs for electricity consumers.
P445 ‘Improving efficiency of Default Funding Share process and Energy Supply Company Administration’
This Modification seeks to allow the Funds Administration Agent (FAA) to process a Default Funding Share for unpaid Trading Charges earlier to reduce the cost of the borrowing facility and reduce the risk of shortfall. The Modification will also allow the Panel to instruct the FAA to release Trading Charges where the default relates to an Energy Supply Company Administration (ESCA).
P447 ‘Avoiding impact of Winter Contingency actions on cash-out prices’
This Modification would prevent negative impacts to the cash-out price if NGESO’s Winter Contingency service is used.
P438 ‘Amending the BSC to address sanction orders’
This Modification would allow Elexon to seamlessly give effect to sanctions orders.
CP1550: Updates to monitoring of voltage failure alarms requirements
This Change Proposal looks to simplify the management of phase failures and update the requirements of voltage failure alarms.
P375 ‘Settlement of Secondary BM Units using metering behind the site Boundary Point’
P375 will allow Metering Equipment situated ‘behind’ the defined Boundary Point to be used for Settlement purposes in place of the Boundary Point Meter. Primarily, this will allow balancing-related services on-site from smaller assets to be separated from current imbalance-related activities, more accurately reflecting the balancing-energy volumes provided by the Balancing Service Provider (BSP).
P421 ‘Align BSC with Grid Code for TERRE Market Suspension’
This Modification aligns the BSC with the provisions introduced into the Grid Code under GC0144 ‘Alignment of Market Suspension Rights to the EU Emergency and Restoration Code Article 35.1(b)’.
P410 ‘Changing imbalance price calculations to comply with the Imbalance Settlement Harmonisation regulations’
P410 sought to introduce changes to the imbalance price calculations to ensure BSC compliance with the European Imbalance Settlement Harmonisation regulations.
P416 Introducing a route of appeal for the Annual Budget in line with the proposals for the Retail Energy Code
P416 seeks to amend the BSC to include an appeals mechanism that BSC Parties could use to challenge items in the Annual Budget.
P424 ‘Re-insert correct definition of Settlement Error’
CP1540 ‘Strengthening the Qualification – Change of Ownership Process’
CP1539 ‘Inclusion of LCCC as an Affected party in Metering Dispensation applications’
P413 ‘Market-wide Half Hourly Settlement Programme Manager’
P417 ‘Move the Letter of Credit templates and Approved Insurance Product requirements to the BSC Website’
P379 ‘Multiple Suppliers through Meter Splitting’
P407 ‘Project MARI’
P405: Allow notices via email where currently prohibited
P405 will allow notices that the BSC currently requires to be sent by post or fax to be sent by email.