Consultation on how to align BSC reporting with EMR Regulations

Summary

The Schedule of EMR Settlement Data (which was agreed by ELEXON, LCCC, ESC and EMRS in 2015) specifies that EMRS will be provided with a BM Unit Gross Demand Report, containing the gross demand data that EMRS requires in order to calculate the payments due from each licensed Supplier.

But, since then, ELEXON has become aware of two evolutions:

  • In July 2017, BEIS and Ofgem published their joint Smart Systems and Flexibility Plan. This plan makes clear that BEIS and Ofgem now interpret the definition of ‘supply’ in the Electricity Act as meaning that the Supplier Obligation is not payable in relation to supply to premises occupied by a generator licence holder for the purpose of carrying out activities authorised under the generation licence, even if the generation is not ‘Licensable’.
  • ELEXON has been approached by parties seeking to facilitate exempt supply (by the operators of community generation assets to local customers) under the class A supply licence exemption. Because this supply is not being made by a licensed Supplier it should not be subject to EMR charges, but currently the BM Unit Gross Demand Report sent to EMRS includes these volumes in the gross demand for the licensed Supplier who has registered metering on behalf of the exempt supplier.

The consultation document seeks views on how we should progress interim and enduring solutions to these issues. The BSC Panel will consider responses to the consultation at their meeting on 8 November 2018.

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