Change Consultations

P361 seeks to exclude Interconnector Balancing Mechanism (BM) Units from the Main Funding Share and SVA (Production) Funding Share BSC Charges, in order to better facilitate the EU Third Package.

P362 seeks to enable BSC Parties to be derogated against specific BSC obligations in order to trial pre-competitive and innovative products and services.

P368 shall amend provisions in the timing and revision of the Performance Assurance Framework  (PAF) Procedure documents in order to support the objectives of the PAF Review in delivering a more efficient and effective PAF.  Further information can be found on the P368 webpage.

This is the P368 Report Phase Consultation, whereby industry views are requested in respect of the BSC Panel’s initial recommendations on the Modification.

P367 proposes to remove all obsolete Supplemental Balancing Reserve (SBR) and Demand Side Balancing Reservice (DSBR) requirements, definitions, and references from the BSC and subsidiary documents. Further information can be found on the P367 webpage.

This is the P367 Report Phase Consultation, whereby industry views are requested in respect of the BSC Panel’s initial recommendations on the Modification.

P359 seeks to introduce a new mechanised process for Generation Capacity (GC) and Demand Capacity (DC) re-declarations following a ‘GC/DC breach’. More details on the P359 page.

At its meeting on 23 April 2018, the Workgroup, in response to the first Assessment Consultation responses, decided to raise an Alternative Modification. This requires second Assessment Procedure Consultation. The Proposed Solution is identical to the Proposed Modification, except that the Alternative allows the Transmission Company (TC) to apply for, and be granted, BSC Derogations.

P362 seeks to enable BSC Parties to be derogated against specific BSC obligations in order to trial pre-competitive and innovative products and services. Ofgem will act as the point of entry to co-ordinate applications across the industry. This is designed to improve the customer experience and reduce the burden for applicants, particularly where applications require derogation from more than one industry code

Under the EU Third Package (Article 2 of Regulation 714/2009) Interconnector flows should be treated as part of the Transmission System and not as Production or Consumption. The current BSC charging arrangements are not aligned with the EU Third Package. This Modification Proposal seeks to exclude Interconnector Balancing Mechanism (BM) Units from the Main Funding Share and SVA (Production) Funding Share BSC Charges, in order to better facilitate the EU Third Package.

The intent of the Proposed solution is that the excluded BSC Charges will be recalculated and re-billed from the implementation date back to the start of the previous financial year (1 April). The effects of this will be that any BSC Charges in the current financial year to date, will be recalculated and re-billed as one lump sum payment, subject to P361 approval.

P362 seeks to enable BSC Parties to be derogated against specific BSC obligations in order to trial pre-competitive and innovative products and services. Ofgem will act as the point of entry to co-ordinate applications across the industry. This is designed to improve the customer experience and reduce the burden for applicants, particularly where applications require derogation from more than one industry code.

Elexon will receive applications via Ofgem and prepare relevant information for the Panel’s consideration. The Panel will make a recommendation to Ofgem whether to approve or reject the derogation. Ofgem will decide whether to grant the derogation and synchronise derogations across the impacted codes and licences. Anyone can apply for derogation, but non-Parties will be required to accede to the Code and complete the relevant market entry processes before the derogation can be effective.