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DCMF

DCMF. WSB Update EDCM Consultation Mo Sukumaran – WSB Chair. EDCM Consultation. EDCM Consultation workshop: Held 13 th January at ELEXON. 65 attendees. EDCM Consultation: Issued 21 st December 2010 Updated appendices issued: 23 rd Dec & 11 th January

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DCMF

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  1. DCMF • WSB Update • EDCM Consultation • Mo Sukumaran – WSB Chair

  2. EDCM Consultation • EDCM Consultation workshop: • Held 13th January at ELEXON. • 65 attendees. • EDCM Consultation: • Issued 21st December 2010 • Updated appendices issued: • 23rd Dec & • 11th January • Consultation closed 1st February 2011. 15 February 2011

  3. Consultation responses • Responses received from 28 stakeholders: • 3 DNOs • 2 IDNOs • 6 Suppliers • 6 Generators • 7 Customers • 4 Other organisations • Comprising: • 23 general response papers • 184 answers to the 15 questions in the consultation

  4. Key Comments • Stakeholders recognise the progress and work by DNOs since June 2010 • Concerns: • Cost-reflectivity • Inclusion of 2 different methodologies (LRIC, FCP) • Demand scaling method and high percentage of total costs • Justification of charges • Fairly even split between voltage level and site specific options • Need for capping seen as a failure of the methodology (although customers were in favour of capping!)

  5. Key Comments (continued) • Concerns continued: • Scaling of generation charges • Distinction between: • intermittent/non-intermittent generation and • on-shore/off-shore generation • Volatility and predictability of charges • Pre-2005 generation compensation unknown • Awaiting Ofgem decision • Failure to address issues raised to June consultation • Specific illustrative charges – some are significantly higher

  6. A stakeholder comment • “In conclusion; this evolution is much better than that rightly delayed last summer. • It remains, however, an inelegant solution to a question that many EHV users would have been happy not to ask”!

  7. Next Steps • Review the responses and reflect as appropriate in EDCM • Publish a Summary of Consultation responses on ENA website 15 February 2011 7 | Energy Networks Association

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