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Mod 0428 Charge Impact

Mod 0428 Charge Impact. October 2012. Affected Supply Point Population. Impact on Supply Point Population. Impact on Collectable Revenue. Potential Interaction with LDZ System Methodology.

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Mod 0428 Charge Impact

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  1. Mod 0428 Charge Impact October 2012

  2. Affected Supply Point Population

  3. Impact on Supply Point Population

  4. Impact on Collectable Revenue

  5. Potential Interaction with LDZ System Methodology • With implementation of Mod 0428 we would expect to review derivation of current LDZ System charging functions • Apply existing methodology but with new Supply Point basis • As shown, multi-meter Supply Points are significant proportion of load bands over 732 MWh/annum • Implementation of Mod 0428 could: • Reduce LDZ System charge function levels for Supply Points over 732MWh/annum (since some loads from top bands would move to lower bands) • Have little or no impact on LDZ System two fixed charge levels below 732 MWh/annum since new Supply Points from current multi-meter SPs would be small minority of loads • This re-evaluation of LDZ System functions could reduce LDZ System charges for >732 MWh/a loads so avoiding overall charge level impact • Instead could have re-distribution of LDZ System charges within >732 MWh/a load bands, with possible 2% LDZ System charge decrease in general for these loads: • Increase for current multi-meter SPs (possibly 8% [+9.7%-2%] average increase) • Decrease for current single meter SPs (possibly ~ 2% average decrease)

  6. Potential Interaction with Mod 0418 – Review of LDZ Customer Charges • Mod 0418 proposes that the current customer charge structure is replaced by one with 3 flat rates • Implementation of this change would significantly reduce the level of the customer charges for I&C loads • For the loads within National Grid networks it is estimated that on the new single Meter Point per Supply Point basis and with revised customer charge structure, customer charges for current multi-meter Supply Points would be about 54% lower than at present (recovering £2.2m compared to £4.7m annually in aggregate) • The combined impact of Mod 0428 with Mod 0418 and the re-evaluation of the LDZ System charge functions for current I&C multi-metered sites is estimated to be only around +3% charge increase on average (with decreases for current single meter point I&C loads)

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