EMR Delivery Body Capacity Market - Agreement Management. Webinar Q&A April 2016

Transcription

1 EMR Delivery Body Capacity Market - Agreement Management Webinar Q&A April 2016

2 1 Are the systems running to time? The upgrades to systems that we have been developing in the first half of the year are running to schedule. We are planning to deploy code updates in May, June and July and we will be giving a further update at the May Operational Coordination Event on our progress. 2 Is there any update on the dates of the prequalification window and Auctions? 3 What will be the impact on the CM overall if projects are late because of DNO delays (or any other reason)? How will the missing capacity be made up? 4 Are there any changes to the reporting from the December reporting this time around? We published the Operational Plan on Friday 6 May. It may be found here: nts/35/capacity%20market%20operational%20plan%202016%20 v%203.pdf If any capacity is delayed and this delay is apparent prior to the T- 1 auction then there is the ability for the Secretary of State to allow for this when setting the capacity to procure through the T-1 auction. There are no changes in the reporting format. The Applicants should include any material changes in to the Construction milestone dates and the works covered in construction plan, since the last submission i.e. the last 6 monthly report or data provided at the prequalification stage. 2

3 5 Are you expecting an option to delay submission of planning permission at the prequalification stage as per previous years auctions? 6 Statement of works - if a site is subject to this and is delayed does that fall under the FM it was the DNO's fault rule? 7 Does the market know if a plant is terminated? if they appeal when do we know? 8 Any views yet on how battery storage particularly de-rating factors will work in the CM? Ofgem are currently consulting on the ability to incorporate the deferral of planning consents as a permanent feature of the CM design. There is a provision under rule that allows for an extension to the Long Stop Date if the delay is as a consequence of a DNO failing to provide a connection in accordance with the timescales in the connection agreement. However a scenario where the connection is available, but the DNO would not allow a noncompliant generating unit to connect may not be covered by this clause. The Capacity Market Register is updated when the Termination becomes final and not when the Termination Notice is issued for the first time. It can take up to 6 months for the Termination to be reflected on the Register from the date of issue of Termination Notice. We are not aware of any specific proposals but are aware of the potential issues with regard to battery storage and we are happy to engage with providers on a case by case basis 3

4 9 Can the Statement of Works issue affect old connection agreements, e.g. decades-old agreements, or is it just for new connections? 10 If a provider fails to meet the FCM and is issued a termination notice can thy appeal? If so what are the grounds that can be used and how long is the appeal process? We understand that it only affects current new connections. If a connection has been energised then it does not apply. Within 20 Working Days of receipt of a Termination Notice, a Capacity Provider may either (a) Submit a written request to Secretary of State to extend the Termination Notice by up to 60 Working Days specifying the reasons for extension and a cure plan demonstrating that it will address the grounds for Termination within the extension period; or (b) Make a written representation to the Secretary of State to have the Termination Notice withdrawn specifying the reasons for requesting the withdrawal and a cure plan specifying how it will address the grounds for Termination. The Secretary of State may within 3 months of date of Termination Notice, direct the Delivery Body to (i) Withdraw the Termination Notice; or (ii) Extend the date by which the Capacity Provider has to fulfil the specified requirement due to which the Termination Notice was issued, up to 6 months from the date of Termination Notice. 4

5 11 Can you confirm that it will be possible to defer Transmission Connection Agreement information in this year's T-4 auction? 12 Is there guidance on the web on transferring sites? 13 The capacity which the CMU has to demonstrate is the de-rated capacity - is that correct? Is that the case for all capacity types in the various pre-delivery tests? Does that also apply to SPDs? 14 If August we must have a 4 week window. Imperative 15 Are we going to get a formal ok for the June 2015 and December 2015 milestone submissions? Yes this is likely; however it is subject to Ofgem accepting the Change proposal regarding this matter. Chapter 9 of the Capacity Market Rules covers transfer of capacity obligations. Paragraph specifically outlines the requirements to be an acceptable Transferee. We aim to publish a guidance document outlining the steps which need to be followed for transfers in the coming few weeks. When demonstrating that the Substantial Completion Milestone has been met the unit must demonstrate that it can deliver it connection capacity, otherwise the agreement will be reduced to reflect the capacity that can shown to be delivered, or if the capacity is less than 50% of the connection capacity, the agreement is terminated. There is a four week window for prequalification, opening on Monday 1 August and closing on Friday 26 August ments/35/capacity%20market%20operational%20plan% %20v%203.pdf We will be looking to contact every party who is participating in the milestone submission progress and will confirm if we need any further information or whether the submission needs no further action. 5