UNC 0594R: Meter Reading Submission for Advanced & Smart Metering. UNC Request Workgroup Report

Transcription

1 UNC Request Wrkgrup Reprt At what stage is this dcument in the prcess? UNC 0594R: Meter Reading Submissin fr Advanced & Smart Metering The rllut f Advanced and Smart Metering delivers the pprtunity t utilise mre frequent cnsumptin data thrughut industry prcesses at marginal cst. This Request is t review the arrangements and requirements fr Shippers t prvide reads fr Class 3 Supply Pints and abve where such equipment is utilised. The Wrkgrup recmmends that this Request shuld be: further assessed by a Wrkgrup The Panel will cnsider this Wrkgrup Reprt n 20 July The Panel will cnsider the recmmendatins and determine the apprpriate next steps. High Impact: Nne Medium Impact: Nne Lw Impact: Shippers and Transprters UNC 0594R Page 1 f 8 Versin 1.0

2 Cntents 1 Request Summary 3 2 Impacts and Csts 4 3 Terms f Reference 7 4 Mdificatin(s) 8 5 Recmmendatin 8 Abut this dcument: Cntact: Any questins? Jint Office f Gas Transprters enquiries@gasg vernance.c.uk Prpser: Gazprm This reprt will be presented t the panel n 20 July The panel will cnsider whether the Request shuld be clsed r returned t the wrkgrup fr further assessment. Steve.mulinganie@g azprm-mt.cm Systems Prvider: CDSP cmmercial.enquirie s@xserve.cm UNC 0594R Page 2 f 8 Versin 1.0

3 1 Request Summary Why is the Request being made? The rllut f advanced and smart metering in the GB Gas market prvides an pprtunity fr mre granular cnsumptin data (Data) t be prvided int Central Industry Systems at marginal cst. The benefits f such Data being prvided are well-established and shuld drive mre accurate cst allcatin. Currently there are n requirements/bligatins fr Shippers t prvide mre frequent meter readings shuld a Smart/Advanced meter be installed. This Request is t cnsider ptins fr the prvisin f this Data n a mre frequent basis t supprt the Settlement prcess. It is believed that any prpsals shuld apply t Class 1, 2 and 3 Supply Pints; hwever this wuld be tested as part f the review. Scpe The wrkgrup was asked t cnsider the merit f requiring that Supply Pints with Smart and Advanced metering installed and peratinal such be required t perate in Class 3 and/r abve. The wrkgrup was asked t cnsider: - Ø Benefits frm mre frequent Data being available including (but nt limited t) Back Office Efficiencies Reduced risk f histric and/r large recnciliatins Reduced finance csts / credit cver requirements Reduced unidentified Gas Scaling factr vlatility Ø Arrangements Identificatin f eligible Supply Pints in Central Systems Frequency f submissin ne size fits all r varied by class? Ensuring cmpliance with the requirements Reads failing validatin d these cnstitute fail t submit? Impact n Transprter Agency resurces (if any) t address exceptins Impact (if any) n credit and/r cash management arrangements Ø Other cnsideratins Facilitating market entry CMA utcme Additinal granularity t supprt Demand mdelling Electricity market arrangements Impact n Offtake meter errrs Timing pst NEXUS plus [X] Pst RAASP plus [X] UNC 0594R Page 3 f 8 Versin 1.0

4 Impact n faster and mre reliable switching Perfrmance Assurance Framewrk Supplier/Shipper tipping pints when cnsidering UNC Prduct Class selectin What behaviurs might the prpsed arrangements drive? Nte: When designing NEXUS Class 4 was intrduced t ensure the status qu fr Supply Pints which currently did nt have access t smart r advanced metering Impacts & Csts The areas that may be impacted are discussed in the Scpe sectin, hwever the prvisin f mre granular cnsumptin data may be expected t deliver benefits in Settlement. It is nted that the NEXUS systems were built t be scalable in line with Smart Metering rllut and it is nt envisaged that there wuld be any material extra cst in relatin t central industry systems. Fr ther users it is believed the cst f prvisin f mre granular cnsumptin data t be a matter f marginal cst. Recmmendatins The rllut f advanced and smart metering slutins prvides access t cnsumptin granularity at marginal cst. It is imprtant that the efficiencies envisaged t supprt the cst benefit case fr the prgram are nt lst and such benefits are leveraged acrss the whle market. With the implementatin f prject NEXUS and the ability t supprt mre granular cnsumptin data we shuld examine the benefits f ensuring this granularity is nt lst in central systems and prcesses. Interim Recmmendatins: The Wrkgrup asks Panel t nte that an infrmal Request fr Infrmatin (RFI) has been issued t industry parties by Ofgem t seek views n the prpsed packages highlighted in the CMA reprt. This is t seek an understanding n industry readiness, preferred ptins and ptential system impacts and csts. The RFI cnsultatin clses n 21 July The Wrkgrup recmmends that 0594R shuld be returned t Wrkgrup fr further assessment t allw the findings f the RFI t be included in the Wrkgrup Reprt. Additinal Infrmatin It is acknwledged that the industry is in the prcess f undertaking a number f significant prjects, hwever it is clear frm the utput frm the CMA that a directin f travel is being set and the industry needs t demnstrate that it is fully leveraging the benefits f these prgrams. 2 Impacts and Csts Cnsideratin f Wider Industry Impacts The wrkgrup reviewed the scpe and tpics f the Request and it was generally agreed the scpe shuld be wider than the UNC and shuld cnsider wider refrms t meter reading prvisins. The wrkgrup supprted the develpment f a scping dcument t supprt a Regulatry Request fr Infrmatin (RFI) which is likely t cmmence during the 2 nd quarter 2017 [see appendix 1?], which may then lead t changes in UNC prvisins and pssibly ther Cde impacts. UNC 0594R Page 4 f 8 Versin 1.0

5 The wrkgrup recmmends that this Request is clsed and that any assciated UNC impacts identified by the RFI shuld be managed via UNC mdificatins nce they have been identified. This wuld allw fr the establishment f Crss Cde wrkgrups shuld there be a need. Impacts Nne identified at this time. Impact n Transprters Systems and Prcess Transprters System/Prcess Ptential impact UK Link Nne Operatinal Prcesses User Pays implicatins Impact n Users Area f Users business Administrative and peratinal Develpment, capital and perating csts Cntractual risks Legislative, regulatry and cntractual bligatins and relatinships Ptential impact Impact n Transprters Area f Transprters business System peratin Develpment, capital and perating csts Recvery f csts Price regulatin Cntractual risks Legislative, regulatry and cntractual bligatins and relatinships Standards f service Ptential impact Impact n Cde Administratin Area f Cde Administratin Mdificatin Rules Ptential impact UNC 0594R Page 5 f 8 Versin 1.0

6 Impact n Cde Administratin UNC Cmmittees General administratin Impact n Cde Cde sectin Ptential impact Impact n UNC Related Dcuments and Other Referenced Dcuments Related Dcument Ptential impact Netwrk Entry Agreement (TPD I1.3) Netwrk Exit Agreement (Including Cnnected System Exit Pints) (TPD J1.5.4) Strage Cnnectin Agreement (TPD R1.3.1) UK Link Manual (TPD U1.4) Netwrk Cde Operatins Reprting Manual (TPD V12) Netwrk Cde Validatin Rules (TPD V12) ECQ Methdlgy (TPD V12) Measurement Errr Ntificatin Guidelines (TPD V12) Energy Balancing Credit Rules (TPD X2.1) Unifrm Netwrk Cde Standards f Service (Varius) Impact n Cre Industry Dcuments and ther dcuments Dcument Ptential impact Safety Case r ther dcument under Gas Safety (Management) Regulatins Gas Transprter Licence Other Impacts UNC 0594R Page 6 f 8 Versin 1.0

7 Item impacted Security f Supply Operatin f the Ttal System Industry fragmentatin Terminal peratrs, cnsumers, cnnected system peratrs, suppliers, prducers and ther nn cde parties Ptential impact 3 Terms f Reference Backgrund The rllut f advanced and smart metering in the GB Gas market prvide an pprtunity fr mre granular cnsumptin data t be prvided int Central Industry Systems at marginal cst. The benefits f such cnsumptin data being prvided culd drive mre accurate cst allcatin. It is timely t cnsider the utilisatin f mre granular cnsumptin data within central industry prcesses. It is suggested that the Wrkgrup review the Terms f Reference t ensure the tpics are priritised and any relevant areas included in the review. Tpics fr Discussin Understanding the bjective and scpe f the review; Assessment f the benefits f mre frequent Data being available; Understand vlumes and assciated impacts f meter reading submissins; Cnsideratin f the required supprting arrangements; Cnsideratin f the reprting requirements; Cnsider impacts n Supplier/Shipper tipping pints fr Prduct Class Selectin; Understanding the impacts n any SCR; Develpment f Slutin (including business rules if apprpriate) Assessment f ptential impacts f the Request and any assciated mdificatin(s); Assessment f implementatin csts f any slutin identified during the Request; Assessment f legal text (if any); Assessment f alternative means t achieve bjective. Outputs Prduce a Wrkgrup Reprt fr submissin t the Mdificatin Panel, cntaining the assessment and recmmendatins f the Wrkgrup including a draft mdificatin where apprpriate. Cmpsitin f Wrkgrup The Wrkgrup is pen t any party that wishes t attend r participate. A Wrkgrup meeting will be qurate prvided at least tw Transprter and tw User representatives are present. Meeting Arrangements Meetings will be administered by the Jint Office and cnducted in accrdance with the Cde Administratin Cde f Practice. UNC 0594R Page 7 f 8 Versin 1.0

8 . 4 Mdificatin(s) N UNC mdificatins required by this Request. 5 Recmmendatin The Wrkgrup invites the Panel t: AGREE that Request 0594R shuld be returned t Wrkgrup fr further assessment. UNC 0594R Page 8 f 8 Versin 1.0 Request Wrkgrup Reprt 22 June 2017