Glossary

014 SVA Risk: Agent not appointed correctly

This page outlines the risk that Agents are not appointed or de-appointed correctly, such that SMRS is not complete or up to date, members of the Supplier Hub do not hold the correct MPID of other Hub members or the appropriate agents are not appointed.

Diagram of 014 SVA Risk: Agent not appointed correctly
Diagram of 014 SVA Risk: Agent not appointed correctly

How it relates to you

This risk can affect all Parties. Small suppliers with fewer appointments would likely see a larger percentage impact from one error.

Parties responsible for risk factors

  • Supplier
  • Data Collector
  • Data Aggregator
  • Meter Operator Agent

Parties responsible for risk controls

  • Supplier
  • Data Aggregator
  • Non-Performance Assurance Parties

Risk 014 forms part of the registration and appointments process shown in the Risk Visualisation Tool.

Potential causes

Potential causes, or as they known in the Risk Evaluation Register: Risk Factors are the points of failure that could result in erroneous or estimated data entering Settlement.

Elexon has identified a number of typical failure points related to this risk, parties should note the list is non-exhaustive, and not all risk factors are applicable to every role type.

  • Supplier enters incorrect data into appointment flows, resulting in overlapping appointments
  • Agents not sending appointment acceptance or rejection in a timely manner
  • Supplier not acting on appointment rejection in a timely manner
  • Supplier not notifying all agents in the hub on each other’s identity on initial appointment or after a change
  • Supplier not appointing appropriate agents (e.g. the correct HH or NHH agents on CoMC, or agents that are able to read or maintain the meter)
  • Supplier appoints or registers an unintended agent
  • Supplier and agents not managing de-appointments correctly

Potential solutions

Parties responsible for operating controls should take note of the information below. This identifies the BSC Sections and Procedures relating the risk.

Parties should understand their responsibilities in relation to this risk. These are outlined in BSC Section J: Party Agents and Qualification Under the Code.

Review the processes outlined in the following BSCPs and ensure that internal processes match the requirements:

Impact of this risk on the industry

This graph highlights the probability distribution of this risk and cost incurred to the industry when a risk manifests over the course of a year.

  • Impact: £3.0 Million
  • Upper Impact: £8.5 Million
  • Volatility: Low

In order to calculate the impact this risk has on your Party, multiply your market share by the impact as outlined above.

Probability graph

Further information

Risk Evaluation Register sets out further detailed information on the noted controls.

Support and training

Operational Support Managers (OSMs) are able to help with further information or training on this risk and associated processes.

Methodology used for this risk

The following documents outline the methodology used to assess the Settlement Risk related to Agent appointments.

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