PAF explained

Glossary

Part of Elexon’s role as administrator of the BSC involves checking that all BSC Parties (and the agents that work for them) follow rules on accurate submission of data to the process. Elexon does this through the Performance Assurance Framework (PAF).

What is PAF all about?

Elexon carries out this Settlement assurance on behalf of the Performance Assurance Board (PAB) whose role is to oversee the assurance framework. The PAB is made up of industry experts. It is a sub-committee of the BSC Panel.

Elexon carries out a variety of performance assurance activities through the year, at the direction of the Performance Assurance Board (PAB), to assess and prioritise risks to Settlement. This includes confirming whether Parties are complying, and identifying any issues that need to be addressed.

What are the techniques we use?

Elexon use techniques to assess whether there are any active issues or risks that might impact on Settlement and where your company may not be meeting your obligations. These techniques are divided into 4 categories:

  • Incentive – Gives participants and their agents an added reason to comply with the BSC
  • Preventive – Designed to stop risks manifesting in the first place
  • Detective – allow Elexon to detect risks to Settlement and any noncompliance with the code
  • Remedial – Remedial techniques are used to correct issues that occur once risks manifest

Some of the techniques are deployed on a cycle (e.g BSC Audit is an annual activity, the TAA audit is performed to an annual cycle) and others are deployed on an ad hoc basis (e.g Assurance Information Report (AIR), Technical Assurance of Performance Assurance Parties (TAPAP) checks are targeted checks, Error Failure Resolution (EFR) is deployed following a non-compliance)

What are the reports and methodologies we use?

Performance Assurance Documents

The BSC Panel and the PAB produce the following suite of documents as per the Annual Performance Assurance Timetable. This is done in consultation with industry. 

Technique reports

There are a number of reports that provide feedback on the results of some of the Performance Assurance Techniques. These reports feed into the Annual Performance Assurance Report (APAR).

Reporting findings and recommendations to Performance Assurance Board (PAB)

After Elexon has deployed any of these detective PATs, a report is sent to the PAB listing any issues and putting forward appropriate recommendations. The Board will then consider the report and come to a decision about what potential changes may need to be introduced.

At this point, those companies affected by the Board’s decision will be contacted and full disclosure of the risks and recommendations will be communicated.

About PAB

The Performance Assurance Board (PAB) is part of the groups and committees coordinated by Elexon. The PAB is appointed by, and reports to the BSC Panel. You are able to attend any of the open meetings or become a PAB member.

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