Issue 38: Potential Improvements to Credit Checking Rules to Support High Levels of Embedded Generation in North Scotland

There is a defect in the method used by BSC credit checking processes to estimate how much energy Suppliers have used. This defect only becomes material if the amount of embedded generation in the GSP Group is nearly as large as the amount of demand. In September the North Scotland GSP Group came close to this for the first time.

On 08 October 2009 the BSC Panel asked the Issue 38 Group to investigate issues associated with increased levels of embedded generation. The Group met on two occasions (on 23 October and 6 November) to consider the following issues:

• Issue 1: Reduced accuracy of the Credit Checking Process
• Issue 2: GSP Group treated as Production
• Issue 3: GSP Group treated as Delivering
• Issue 4: BSC description of interface from Central Data Collection Agent (CDCA) to Supplier Volume Allocation Agent (SVAA)
• Issue 5: Reduced share of Supplier Charges
• Issue 6: Data collection obligations

The Issue 38 Group recommended that Modification Proposals are raised to resolve issues 1, 2 and 4 (in the above table).

A BSC Party will need to raise a Modification Proposal to address issue 2 above; however Elexon could ask the Panel to raise Modification Proposals regarding Issues 1 and 4 above.

The Issue Group recommended to the Panel to close the Issue.