Performance Assurance Processes
Each year, the BSC Panel and the Performance Assurance Board (PAB) deploy the Performance Assurance Framework (PAF) to manage Settlement Risks. Performance Assurance Techniques are applied to Performance Assurance Parties (PAPs) based on the Settlement Risks that they pose.
How it relates to you
The BSC Panel and the PAB identify, evaluate and prioritise the risks that may occur within Settlement and the extent to which they apply to each Performance Assurance Parties (PAP). Performance Assurance Parties include:
- Meter Operator Agents
- Data Collectors
- Data Aggregators
- Meter Administrators
- Licensed Distribution System Operators
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.
- Risk Evaluation Methodology (REM) – is a reference document reviewed annually by the PAB
- Risk Evaluation Register (RER) – this sets out the risks and the significance of each risk
- Risk Operating Plan (ROP) – sets out techniques and costs that apply to each Settlement Risk in the RER
- Annual Performance Assurance Report (APAR) – provides results of the risk evaluation and risk assurance procedures
A Settlement Risk is a risk of any failure or error in a process required under the BSC that may impact (or has impacted) Settlement. These are recorded on the Risk Evaluation Register (RER).
An example of a Settlement Risk description from the RER is:
“The risk that [the NHHDC does not enter valid Meter readings by the Final
Reconciliation (RF) Settlement Run] resulting in [old/default data entering
The RER sets out the risks, and the significance of each risk on Settlement in relation to a specific Performance Assurance Operating Period (PAOP).
The Guidance Note sets out the principles that the PAB uses when assessing the probability, impact and strength of controls relating to Settlement Risks. This document should be read in conjunction with the Risk Evaluation Methodology and the Risk Evaluation Register .