1 / 4

Ofgem RIA – UNC Modification Proposal 0229

Ofgem RIA – UNC Modification Proposal 0229. Chris Warner. DNO concerns. Ofgem RIA states that it is ‘minded to accept’ Mod 0229 DNOs accept that 0229 principles essentially sound. However: Proposal as drafted (including guidelines) Unduly complex

arista
Download Presentation

Ofgem RIA – UNC Modification Proposal 0229

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Ofgem RIA – UNC Modification Proposal 0229 Chris Warner

  2. DNO concerns • Ofgem RIA states that it is ‘minded to accept’ Mod 0229 • DNOs accept that 0229 principles essentially sound. However: • Proposal as drafted (including guidelines) • Unduly complex • Numerous challenges and process ‘stop points’ • Unlikely to result in timeline to conclusion • Unmitigated risks exist • AUGE tender controlled by UNC Committee • Not acceptable for UNC Committee to select AUGE and then for Transporters to be forced to contract with selected party. • Eventualities - Suitability of candidate/or no candidates?

  3. DNO concerns (continued) • Multiple opportunities for parties to challenge/agree output of AUGE (AUGS) – undermines purpose of independent agent • Risk that challenges driven by commercial interests - undermines ‘neutrality’ of AUGE • Once appointed need to let AUGE conclude • Risk of changes to Guidelines which could impact Transporter contractual arrangements • Guidelines appear to be unclear as to the specific output i.e. the ‘methodology’ or ‘Statement’ or ‘AUGS’? Also timing and deliverability not clear. • Complexity threatens delivery within timescales – high likelihood that ‘zero volumes’ would result. • Process for AUGE/AUGS output unduly protracted – no output for up to 2 years from implementation.

  4. Possible alternative proposal • Based on Mod 0229 principles (includes appointment of independent AUGE & production of AUGS) • Simplified AUGE tendering and appointment process – wholly a Transporter responsibility • Addresses the scenario where AUGE is not appointed • Allows challenge and review but process will conclude in acceptable timescale • Reliance on AUGE as ‘independent’ authority ensures AUGS not influenced by commercial drivers/interests

More Related