Demand Side Balancing Reserve Workshop. Peter Bingham EMR Team David Preston Senior Account Manager

Transcription

1 Demand Side Balancing Reserve Workshop Peter Bingham EMR Team David Preston Senior Account Manager

2 Agenda General Update MPAN validation Assessment principles Open Q&A Tender Portal Guidance (optional) 2

3 General Update Maximum volume requirements published Values are de-rated, absolute volumes higher Based on methodology approved by Ofgem Needed to meet the LOLE=3 hour Reliability Standard for a range of credible scenarios and sensitivities Year Actual volumes procured dependent on tendered prices Maximum De-rated Volume 2014/15 330MW 2015/16 1,800MW 2016/17 1,300MW 2017/18 800MW Marginal requirement in 2014/15 to be met by piloting DSBR tender opened in June for 6 weeks 2015/16 requirement to be tendered to both DSBR and SBR in two tranches: Up to 75% in September 2014 Remainder in March /17 and 2017/18 requirement would only be tendered if the arrangements are rolled forward 3

4 MPAN Validation determining Offered Volume capability kw SP33 SP34 SP35 SP36 SP37 SP38 SP39 SP40 Typical Demand Profile (based on Lowest volumes in each SP across 10 peak days) Option 1 - ~100kW across 6 Settlement Periods Option 2 - ~40kW across 8 Settlement Periods 4

5 MPAN Validation Purpose To validate the authenticity of DSBR offers Validation process MPAN site level address review against ECOES (sample) MPAN site contact awareness discussions (sample) MPAN volume validation from DC data for 13/14 winter Timetable w/b 21 Jul 14 - Data request to DCs - MPAN site address comparison with ECOES - MPAN site contact discussion w/b 28 Jul & 4 Aug 14 - Volume validation and bilateral discussions w/b 11 Aug 14 - DSBR participant approval / withdrawal of any amended MPANs / DSBR Units (3 days or deemed acceptance) 5

6 MPAN Validation MW volume validation process 13/14 winter data received from DC in line with BSC Mod P299 National Grid will extract the data for offered settlement periods across the following 10 peak days across the 13/14 winter:- - Tuesday 19/11/13 - Thursday 21/11/13 - Monday 21/11/13 - Wednesday 27/11/13 - Monday 02/12/13 - Tuesday 03/12/13 - Thursday 05/12/13 - Friday 06/12/13 - Monday 20/01/14 - Thursday 30/01/14 Single additional day for generation sites also received System will compare Offered Capability per MPAN with lowest volumes of demand and highest volumes of generation across all offered settlement periods by day 6

7 MPAN Validation MW volume validation process - Examples MPAN Offered Capability 100kW (All Settlement Periods) Date 19 Nov Nov Nov 13 This example would pass validation 27 Nov 13 Max Capability (kw) Observed Deviation (%) 20% 15% 11% 18% 30% 5% 3% 10% 14% 11% 02 Dec Dec Dec Dec Jan Jan 14 MPAN Offered Capability 100kW (All Settlement Periods) Date 19 Nov Nov Nov Nov 13 Max Capability (kw) Observed Deviation (%) 20% 50% 40% 45% 10% 47% 40% 30% 46% 10% This example would require a discussion about the kw offered capability 02 Dec Dec Dec Dec Jan Jan 14 7

8 MPAN Validation National Grid amendable fields Offered Capability at DSBR (MW) / MPAN (kw) Potential rejection of MPANs / DSBR Units Application of Administration Fee (where MPANs reduced to <50) For the avoidance of doubt National Grid will not be able to amend Site Set Up Fee request, Utilisation Fee, Sustainable Duration, Offered Settlement Periods Potential mitigating circumstances for bilateral discussions Provision of balancing services volume in 13/14 winter Plant breakdown Site not built in 13/14 (however MPAN needs to exist now to tender) Missing data from Data Collectors Single day site shut downs 8

9 Assessment principles (1) DSBR will be subject to economic assessment. Cost of each tender will be calculated as LOLE starts at that calculated for the scenario/sensitivity that defines the volume requirement RF (Reliability Factor) will initially be set to 0.75 for DSBR Tender offering the lowest unit cost is accepted, subject to maintaining even 4-8pm capability profile (Tetris) 9

10 Assessment principles (2) CF DP (Contribution Factor) is an estimate of the contribution of the DSBR Unit in supporting a stress event, which can typically run for up to three hours CF = DP x PF, where is the relative demand profile calculated as the average value of the demand profile figures in the table below taken across the settlement periods in which the offered DSBR capability can be delivered Settlement Period Demand Profile PF is the statistical probability that the DSBR Unit will be able to support a 3 hour stress event between 4pm and 8pm on a winter weekday evening 10

11 Assessment principles (3) Process repeated with LOLE recalculated (reduced) with each tender approval, until either Volume Requirement is met, or Unit Cost exceeds 17,000/MWh Any remaining tenders electing not to receive an admin or setup fee will be accepted 11

12 Assessment principles Example (Step 1) Starting LOLE = 3.20 hrs (target = 3 hours) DSBR Unit Setup Fee ( /MW) Admin Fee ( /MW) Utilisation Rate ( /MWh) Settlement Periods Sustain (hours) CP = DP x PF Unit Cost ( /MWh) DSBR 0 Yes 2,000 7, pm ,712 DSBR 1 No 1,000 3, pm 4 1 3,417 DSBR 2 Yes 0 2, pm ,050 DSBR 3 Yes 0 1, pm ,470 DSBR 4 No 5, :30 8pm ,886 DSBR 5 Yes N/A 4, pm 4 1 8,167 DSBR 6 Yes N/A pm ,332 DSBR 7 No , pm ,208 DSBR 8 Yes 5,000 2, pm ,889 DSBR 9 No 2,500 5, pm ,434 12

13 Assessment principles Example (Step 2) Starting LOLE = hrs (target = 3 hours) DSBR Unit Setup Fee ( /MW) Admin Fee ( /MW) Utilisation Rate ( /MWh) Settlement Periods Sustain (hours) CP = DP x PF Unit Cost ( /MWh) DSBR 0 Yes 2,000 7, pm ,777 DSBR 1 No 1,000 3, pm 4 1 3,420 DSBR 2 Yes 0 2, pm ,106 DSBR 3 Yes 0 1, pm ,521 DSBR 5 Yes N/A 4, pm 4 1 8,199 DSBR 6 Yes N/A pm ,394 DSBR 7 No , pm ,210 DSBR 8 Yes 5,000 2, pm ,974 DSBR 9 No 2,500 5, pm ,453 13

14 Example Assessments Results DSBR Unit Setup Fee ( /MW) Admin Fee ( /MW) Utilisation Rate ( /MWh) Settlement Periods Sustain (hours) CP = DP x PF Unit Cost ( /MWh) DSBR 4 No 5, :30 8pm ,886 Tenders Accepted Rejected DSBR 1 No 1,000 3, pm 4 1 3,420 DSBR 9 No 2,500 5, pm ,472 DSBR 3 Yes 0 1, pm ,625 DSBR 5 Yes N/A 4, pm 4 1 8,301 DSBR 6 Yes N/A pm ,650 DSBR 2 Yes 0 2, pm ,397 DSBR 8 Yes 5,000 2, pm ,518 DSBR 7 No , pm ,220 DSBR 0 Yes 2,000 7, pm ,187 14

15 Any Questions Questions & Answers 15

16 DSBR 2014/15 Tender Portal Guidance 16

17 Login Screen 17

18 DBSR Registration Form 18

19 DBSR Registration Form Unique Field Format: 11 digits commencing GB (in capitals) followed by 9 numeric characters Format: Please enter a space after the 3 rd or 4 th character 19

20 DBSR Registration Form Unique Field Format: 11 digits, no spaces Format: 5 alpha characters Unique Field Note: MPANs will be Validated against a down load of half hourly Metered sites from ECOES 20

21 DBSR Registration Form 21

22 DBSR Registration Form Contact Us 22

23 DBSR Registration Form 23

24 Login Screen 24

25 Change Password 25

26 DSBR Provider Home Page 26

27 Tender System Process Flow Provide Details Home Page Submit Submit Note: Submit button will only be available once certain conditions are met Company Details (Summary) Edit Edit Save or Cancel Cancel Add Company Details (Edit) Click on DSBR Unit Name Back to Company Details Cancel DSBR Unit Details (Edit) Add DSBR Unit DSBR Unit Details (Summary) Save Edit Cancel Save DSBR Unit Details (Add) MPAN Details (Edit) Add Cancel MPAN Details (Add) Click on MPAN Back to DSBR Unit MPAN Details (Summary) Save Save 27

28 Company Details (Summary) 1 of

29 Company Details (Summary) 2 of 2 As DSBR Unit and MPAN details are updated this Status will change to OFFERED. All DSBR Units must be in the OFFERED state before the tender can be finally submitted 3 &

30 Company Details (Summary) 30

31 Company Details (Edit) 1 of 2 Please provide these details. All dispatch instructions will be issued to this contact. Multiple phone numbers can be provided 31

32 Company Details (Edit) 2 of 2 Please accept the tender declaration The SUBMIT button is greyed out until the detailed conditions are met 32

33 DSBR Unit Details (Edit) & (Add) Tick here if you want to tender a set up fee Customer Portfolio and 3 rd Party Intermediaries can tender an Administration Fee for a DSBR Unit where it is populated with 50 MPANs Declare MW capability (1MW minimum, to 3 decimal places) Select Utilisation Rate from list Select Sustainability Duration from list Select Settlement Periods (when Offered Capability can be provided) that are consistent with Sustainability Duration Tick here 33

34 DSBR Unit Details (Summary) As MPAN details are updated the MPAN Status (bottom of screen) will change from DRAFT to OFFERED. When all MPANs within a DSBR Unit show as OFFERED the DSBR Status (top of page) will also typically move from DRAFT to OFFERED. All DSBR Units must be in the OFFERED state before the tender can be finally submitted 2 & Note: MPAN Offered Capability 34 is shown in KW (not MW)

35 MPAN Details (Edit) & (Add) 1 of 3 This is an editable field on the (Add) page and will validate against an extract from ECOES and other DSBR tender offers Provide MPAN site address details Provide MPAN site contact details. National Grid may contact this person to validate their awareness that the MPAN has been offered for DSBR If you wish a site contact to be sent dispatch notifications by SMS please detail here. All dispatch instructions will still be sent to DSBR tenderer. If clicked a separate input field will appear Input the volume capability of the MPAN in KW (not MW) 35 Identify whether the MPAN is Demand Reduction or Generation (see following pages)

36 MPAN Details (Edit) & (Add) 2 of 3 For each MPAN both these conditions need to be ticked prior to saving 36

37 MPAN Details (Edit) & (Add) 3 of 3 Generation MPANs are required to identify a date in the last 2 years when the unit ran at the Offered Capability For each MPAN both these conditions need to be ticked prior to saving 37

38 MPAN Details (Summary) 38

39 Company Details (Edit) Submit Button 39

40 Tender Submission Warning and Confirmation Messages 40

41 DSBR Provider Home Page Post Final Tender Submission 41

42 Company Details (Summary) Post Final Tender Submission 42

43 Any Questions Peter Bingham & David Preston Contact 43