Open Networks Project Phase 2 Work Programme Webinar (15 Feb)

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1 Open Networks Project Phase 2 Work Programme Webinar (15 Feb) 15 February 2018 Energy Networks Association Document Ref: ON-PRJ-Ph2 Webinar Response (15 Feb 18) Restriction: N/A

2 Introduction ENA s Open Networks Project has started to lay the foundations of a smart energy grid in the UK. It is a key initiative to deliver Government policy set out in the Ofgem and BEIS Smart Systems and Flexibility Plan, the Government s Industrial Strategy and the Clean Growth Plan. Launched in January 2017, the Project is carrying out extensive and comprehensive assessment of transmissiondistribution interactions and future Distribution System Operator functionality. The draft Phase Work Programme for the Open Networks project was published on 30 th January 2018 to seek wider views on the content and priorities for work during As part of the consultation process, a webinar was broadcast on 15 th February to present the programme and to take questions from participants. The structure of the webinar was to introduce the programme and then present the work of each workstream. After each section of the presentation questions were taken from participants via the webex facility. On completion of the presentation and written questions, verbal questions were also invited. This note captures the questions and responses. The questions and responses have been included in a single table as there is some overlap between questions and the different workstreams. Presentation of Phase 2 Programme - Introduction - Jason Brogden introduced the webinar and went on to present the Phase 2 project objectives, programme and workstream structure. - Workstream 1 - Matt White presented the content of Workstream 1 on T-D Processes. - Workstream 2 - Chris Allanson presented the content of Workstream 2 on Customer Experience. - Workstream 3 Stewart Reid presented the content of Workstream 3 on DSO Transition. - Workstream 4 - Chris Allanson presented the content of Workstream 4 on Charging. - Workstream 5 Jason Brogden presented the content of Workstream 5 on Communications. - Questions and Next Steps Jason Brogden presented consultation questions and next steps. Questions on Phase 2 Programme The below table summarises feedback and questions received from webinar participants. Questions (Does) "More consistent..." = more similar experience whether a T-connection or a D-connection? Open Networks Response Much of the work, particularly Workstream 2, aims to ensure better practice across network operators and more consistent practice between distribution companies. Learning from direct connections to transmission will be drawn on as well as focusing on consistency of approach and best practice from distribution networks. WS2 Product 1 - We would value consistent high standards for pre connection information such as heat maps, could a minimum quality level for Workstream 2 will aim to improve the quality of information across network companies and introduce more consistency in good practice. With respect to pre-connection information, Workstream 2 Product 1 will review different approaches and Energy Networks Association Page 2 of 5

3 information provided such as heat maps be picked up here? tools, including heat maps, as a means of improving information for potential connectees. Do you envisage an event with wider participation to disseminate the outputs (eg of WS1 and WS2), perhaps towards end of 2018? We are keen to ensure all stakeholders have a chance to be involved in our work and welcome feedback as to how best to engage with you. We can confirm that a wider event will take place in June or July to support the market model consultation and we are considering others. The project will also use further webinars to help stakeholders stay in touch with work, particularly given the positive feedback on this webinar. Who are the DER connection steering group - where do they sit in ONP? The DER Connections Steering Group is an industry group co-ordinated by the Energy Networks Association that seeks to address ongoing connections issues for DER customers. It is jointly chaired by a DER stakeholder representative and a DNO representative. The Open Networks project governance diagram (slide 7 of presentation) will be updated to include the relationships to the DER Connections Steering Group and to relevant industry working groups that are part of the Ofgem led work on future charging. Graham Pannell, Co-Chair of the DER Connections Steering Group, commented: - I would add that we (the DER Connections SG) sit outside ONP, we are a key stakeholder. It is an ENA group to share and develop best practice in distribution connections and has been going for several years. It is an ideal vehicle to gather customer experience of any ONP trials and feed back to the ONP. - I support Jason's proposal to update the governance diagram. A lot of efficiencies that come out of a future DSO rely on data we currently don t see details of the EDCM model to see where constraints arise on networks. Will this data be available in the future to drive an effective market for constraint management? Otherwise it s hard to see the right markets being able to develop. Will the Open Networks Project push for this? The Open Networks project recognises that improved data flows to market participants and between network operators are crucial to meeting wider objectives. A number of specific products in Workstream 1 are intended to address data and information. These include Workstream 1 Product 12 on TSO/DSO & DER Data Requirements and Workstream 1 Product 7 on ANM Information. Other products will draw on the improved data and information to be provided through these products Energy Networks Association Page 3 of 5

4 to provide better information on opportunities to address network constraints. On the EDCM model, it is recognised that the existing model is somewhat blackbox in design. The Open Networks project would like greater visibility of data and models and we will raise this through our charging workstream. It was noted post-webinar that sharing full details of the EDCM model may be a matter for the relevant industry code group (DCUSA). What is SGAM- stand for? SGAM stands for Smart Grid Architecture Model. It is a tool being used by the Open Networks project to represent potential options for future DSO and TSO functionality. The detailed SGAM models being developed for these future worlds will help stakeholders visualise and understand DSO / TSO models and will help the Open Networks project understand how future DSO and TSO arrangements could be designed and implemented. Ivana Kockar circulated the following links on SGAM: ents/xpert_group1_reference_architecture.pdf Agree choice of consultants for CBA and scope will be critical. We would like this process to consider the economics of the chosen design - i.e. will it support efficient markets for DER flexibility? The review of DSO models and CBA is recognised as critical and is intended to be broad. An external consultant will be engaged to lead the CBA work with support from the project and input from stakeholders. Regarding the CBA, it is intended that wider aspects will be factored into the assessment (e.g. customer satisfaction and complexity). Most industry stakeholders will be signed up to Ofgem alerts- could ONP updates be notified on there as well to reach the widest possible audience? This support from Ofgem would be useful. The project has approached Ofgem to see if updates could be notified with Ofgem alerts, but it is not possible to add alerts from organisations outside of Ofgem, for both technical and practical reasons. We would welcome any further thoughts of potential ways to help ensure wider industry stakeholders have opportunities to engage. Energy Networks Association Page 4 of 5

5 Re Charging: how open are Ofgem to the ToU charging discussion? If the DSO requires time-of-use costing to influence behaviour then supply tariffs and contracts should mirror the structure? for all business (and residential customers) Workstream 4 ensures consistency of approach between future DSO arrangements and the development of charging arrangements through Ofgem s Charging Futures programme. We will ensure these thoughts are captured by workstream 4 and fed into Charging Futures. Are you considering the potential effects of cost reflective charging on vulnerable customers? We are supporting Ofgem s project on reforming network access and forward looking charges but it is too early to comment on potential outcomes. Any features in reformed arrangements to address particular customer groups will include consideration of social policy. Further details of charging work? Further details of Ofgem s Charging Futures programme can be found at: The next Charging Futures forum is 28th February. Energy Networks Association Page 5 of 5

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