P412 ‘Ensuring non-BM Balancing Services providers pay for non-delivery imbalances at a price that reflects the real-time value of energy’

The first Workgroup meeting was held on Thursday 29 October 2020. The Workgroup considered the background to P412 and the proposed solution, the Terms of Reference and the proposed timetable.

The second Workgroup meeting was held on Friday 27 November 2020. The Workgroup considered the solution options.

The third Workgroup meeting was held on Monday 22 February 2021 to further consider the legal and technical issues with the five possible solutions. 

The fourth Workgroup meeting was held on Wednesday 7 April 2021 to discuss a proposed cost benefit analysis for the five possible solutions.

At its April 2021 meeting, the BSC Panel agreed to a six month extension to the Assessment Procedure.

At its October 2021 meeting, the BSC Panel agreed to a nine month extension to the Assessment Procedure.

National Grid ESO sought the views of all interested parties on the solution options which have been identified by the P412 Workgroup. National Grid ESO issued a consultation on 18 October 2021, with responses invited by 5pm on 26 November 2021. The consultation documents is available on the NGESO website. 

National Grid ESO have collated the consultation responses and are considering next steps.

At its July 2022 meeting, the BSC Panel agreed to a six month extension to the Assessment Procedure.

At its January 2023 meeting, the BSC Panel agreed to a nine month extension to the Assessment Procedure.

The fifth Workgroup meeting will be held on Thursday 25 April 2024. 

National Grid ESO raised P412 on 3 September 2020.

Elexon’s Initial Written Assessment of P412 was published on 8 September 2020.

At its meeting on 10 September 2020, the BSC Panel:

• Agreed that P412 progresses to the Assessment Procedure;
• Agreed the proposed Assessment Procedure timetable;
• Agreed the proposed membership for the P412 Workgroup; and
• Agreed the Workgroup’s Terms of Reference.

The Proposer has agreed to amend the title of the Modification following discussions at the BSC Panel, to better reflect the impact of the Modification on non-BM Balancing Services Providers.