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User Compensation for NEC Storage Curtailment – Draft Proposal. Transmission Workstream 01/12/2005. National Grid Transmission 0052 response. Concerned about reduction in incentive for 0052 shippers and potential for increased role for Residual Balancer Is 30 day SAP appropriate compensation.
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User Compensation for NEC Storage Curtailment – Draft Proposal Transmission Workstream 01/12/2005
National Grid Transmission 0052 response • Concerned about reduction in incentive for 0052 shippers and potential for increased role for Residual Balancer • Is 30 day SAP appropriate compensation
Aims • Appropriately compensate Users affected by Storage Curtailment • Ensure that Users remain incentivised to contribute to the physical balance of the system • Recognise that title to the gas held in Storage remains with the User
Proposed Compensation Amount Lesser of: SMPBuy – SAP or SAP – (ASSAP + 0.0611p/kWh) Where, ASSAP (average summer SAP) 0.0611p is the mod 0433 derived minimum differential between SMPBuy and SMPSell
Example User Injects 25 units between curtailment periods 1st Curtailment Period 2nd Curtailment Period