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Simon Trivella –25 th February 2010 Distribution Workstream

Draft Modification Proposal: Population and Maintenance of Market Sector Code within Sites & Meters. Simon Trivella –25 th February 2010 Distribution Workstream. UPDATE. Background – Market Sector Code (MSC). Field within Sites and Meters Can hold the following values: “D” for domestic

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Simon Trivella –25 th February 2010 Distribution Workstream

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  1. Draft Modification Proposal:Population and Maintenance of Market Sector Code within Sites & Meters Simon Trivella –25th February 2010 Distribution Workstream UPDATE

  2. Background – Market Sector Code (MSC) • Field within Sites and Meters • Can hold the following values: • “D” for domestic • “I” for Industrial & Commercial • Population is Mandatory on Confirmations (since 2001) • Can be updated using bespoke file (T73)

  3. Background – Market Sector Code (MSC) • Blank population (as of 27th July 2009) • Approximately 7,000,000 (~33% of all Supply Points) • Blank population is reducing slowly (<0.5% per month) • Extensive analysis presented • Market Differentiation on 4th August 2009

  4. Background – Market Sector Code (MSC) • References to “domestic” and “non-domestic” • The Gas Act • Gas Transporter Licence (various conditions) • Gas Supplier Licence (various conditions) • Gas Shipper Licence (various conditions) • The Gas (Standards of Performance) Regulations 2005 & A2008 • Uniform Network Code (TPD G & TPD J)

  5. Background – Market Sector Code (MSC) • References to “domestic” and “non-domestic” • The Gas and Electricity (Consumer Complaints Handling Standards) Regulations 2008 • The Consumers, Estates Agents and Redress Act 2007 • Complaint Handling Standards 2008 • The Electricity & Gas Carbon Emissions Reduction Order 2008 • The Supply Point Administration Agreement (SPAA) • Detailed summary presented at Workstream (10th Sept 09)

  6. Issues • “Gap” in Supplier/Shipper Licence provisions • Condition 17 (Mandatory exchange of information) • 17.9 Requirement to inform Shipper if premise is domestic or non-domestic within 3 days of becoming relevant Supplier • 17.10 Requirement to inform Shipper if premise changes from domestic to non-domestic and vice versa • 17.11 For the above, if the Supplier is the Shipper then the Supplier must inform the relevant Transporter

  7. Issues • “Gap” in Supplier/Shipper Licence provisions • No corresponding Shipper obligation to inform Transporter when they are not also the Supplier • Obligation is not retrospective • Does not impact on blank MSC data

  8. Issues • No UNC requirement for accuracy or maintenance • MSC only has to be populated at confirmation stage • Compliance (Regs, UNC etc) • Inability to report on ‘market sectors’ • Restricts industry development? • Modification Proposal 0253 / Data Protection Act • Ability for greater Market Differentiation

  9. Proposal • UNC obligation on Shippers • Population of Market Sector Code flag • Accuracy of submitted Market Sector Code flag • Maintenance of Market Sector Code flag

  10. Proposal • Implementation • Blank MSC flags to be populated • Incorrect MSC flags to be corrected • Transition period needed? • Potential for 7,000,000 T73 files or Confirmations • Potential “data-fix” approach • Shipper input required • Non User Pays (subject to Implementation technique)

  11. Proposal Update • Transition Period of [6] months • T73 files to be used in transition period • Limit to be placed on file size (tbc) • Shippers obligated to: • Update incorrect MSC entries; and • Populate any “D” LSPs and/or any “I” SSPs

  12. Proposal Update • Blank MSC Shipper portfolio report • Prior to transition period (at implementation) • [3] months / halfway in to transition period • 1 month from end of transition period • “Suspect” MSC entry report (if required) • Existing potential anomalies flagged to Shipper • Provided prior to transition period

  13. Proposal Update • After Transition Period • All populated entries correct (Shipper obligation) • Blanks can only be “D” SSPs or “I” LSPs (Shipper obligation) • Remaining blanks to be populated by xoserve • SSPs will be “D” and LSPs will be “I” • User Pays Service and User Pays Charges apply • Development/Implementation/Service costs • Payable based on Shipper’s blank MSC population

  14. Proposal Update • Charging Example 1 • Indicative costs of [£150k] (tbc within Modification Proposal) • 7,000,000 blank MSCs • £0.02 per blank MSC update • Charging Example 2 • 150,000 blank MSCs • £1.00 per blank MSC update

  15. Next Steps • Draft Modification Proposal to be published • Shipper feedback on Proposal (incl. Implementation) • March Modification Panel • Consultation

  16. Draft Modification Proposal:Population and Maintenance of Market Sector Code within Sites & Meters Simon Trivella –25th February 2010 Distribution Workstream UPDATE

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