P427 Assessment Procedure Consultation

P427 seeks to allow the Performance Assurance Board (PAB) to recommend that the Panel publish notices to industry in respect of Performance Assurance Parties’ (PAPs’) contribution to Settlement Risk along with relevant risk data.


Who will this impact?

Resolving Settlement impacting issues through Error and Failure Resolution (EFR) can take a substantial amount of time. The longer the period to rectify these issues, the longer there is a material impact on Settlement accuracy. This change would result in an additional escalation step under the EFR process to incentivise swifter improvement.

It has also been noted that treating Settlement Performance and risk data as confidential protects Market Participants who are having a significant impact on other market participants which has the potential to negatively impact competition. This Modification would provide the opportunity for the PAB to recommend for new league tables for performance and contribution to Settlement risk where the PAB believes doing so would have a positive impact on competition and compliance. The Modification would also establish De Minimis thresholds for impact on one or more Market Participant to ensure that large Settlement Errors are attributed to the responsible party, incentivising behaviours to assist the early identification and resolution of such errors. Improved efficiency of Assurance Framework with swifter resolution of issues is expected.


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