Stage 01: Request 0XXX: Meter Reading Submissin fr Advanced & Smart Metering At what stage is this dcument in the prcess? The rllut f Advanced and Smart Metering delivers the pprtunity t utilise mre frequent cnsumptin data thrughut industry prcesses at marginal cst. This prpsal is t cnsider requiring Shippers t utilise Class 3 and abve were such equipment is utilised. The Prpser recmmends that this request shuld be assessed by a Wrkgrup High Impact: Shippers and Transprters Medium Impact: Nne Lw Impact: Nne 0xxx Page 1 f 8 Versin 1.0 Request 2016 all rights reserved Day Mnth Year
Cntents 1 Request 3 2 Impacts and Csts 4 3 Terms f Reference 7 4 Recmmendatin 8 Cntact: Any questins? Cde Administratr enquiries@gasg vernance.c.uk 0121 288 2107 Abut this dcument: This dcument is a Request, which will be presented by the Prpser t the panel n 18 th August 2016. The Panel will cnsider the Prpser s recmmendatin, and agree whether this Request shuld be referred t a Wrkgrup fr review. Mdificatin timetable: (amend as apprpriate) Initial cnsideratin by Wrkgrup 25 nd August 2016 Wrkgrup Reprt presented t Panel 18 th January 2017 Prpser: Insert name email address telephne Transprter: Insert name email address. telephne Systems Prvider: Xserve cmmercial.enquirie s@xserve.cm telephne Additinal cntacts: Insert name email address. telephne 0xxx Page 2 f 8 Versin 1.0 Request 2016 all rights reserved Day Mnth Year
1 Request Why is the Request being made? The rllut f advanced and smart metering in the UK 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 culd drive mre accurate cst allcatin. The Cmpetitin Markets Authrity final reprt specifically mentins the benefits assciated mre frequent readings being available fr settlement Currently there are n requirements/bligatins t prvide mre frequent meter readings shuld a Smart/Advanced meter be installed and that this Request is t cnsider ptins fr the prvisin f this data n a mre frequent basis t supprt the Settlement prcess. Steve Mulinganie 10/8/16 13:08 Frmatted: Highlight We believe it is timely t cnsider the utilisatin f mre granular cnsumptin data within central industry prcesses. Scpe The wrkgrup wuld be 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 wuld be 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 Other cnsideratins Facilitating market entry CMA utcme Additinal granularity t supprt Demand mdelling Electricity market arrangements Impact n Offtake meter errrs Identificatin f eligible Supply Pints in Central Systems Timing pst NEXUS plus [X] Pst RAASP plus [X] Impact n faster and mre reliable switching Perfrmance Assurance Framewrk Supplier/Shipper tipping pints when cnsidering UNC Prduct Class 0xxx Page 3 f 8 Versin 1.0 Request 2016 all rights reserved Day Mnth Year
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. We wuld nte that the NEXUS systems were built t be scalable in line with Smart Metering rllut and we d nt envisage material extra cst in relatin t central industry systems. Fr ther users we believe 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. I[t is prpsed that this Request is sent t the Distributin Wrkgrup fr cnsideratin and that a Reprt shuld be prvided by January 2017 Panel Additinal Infrmatin We acknwledge that we are in the prcess f undertaking a number f significant industry 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 We have nt identified a specific material negative impact assciated with undertaking this review User Pays Classificatin f the mdificatin as User Pays, r nt, and the justificatin fr such classificatin. Identificatin f Users f the service, the prpsed split f the recvery between Gas Transprters and Users fr User Pays csts and the justificatin fr such view. Prpsed charge(s) fr applicatin f User Pays charges t Shippers. This is a review grup This is a review grup This is a review grup 0xxx Page 4 f 8 Versin 1.0 Request 2016 all rights reserved Day Mnth Year
Prpsed charge fr inclusin in the Agency Charging Statement (ACS) t be cmpleted upn receipt f a cst estimate frm Xserve. This is a review grup Impacts Impact n Transprters Systems and Prcess Transprters System/Prcess Ptential impact UK Link Mre frequent cnsumptin data will impact UKLink systems althugh NEXUS is scped fr scalability against advanced/smart rllut Operatinal Prcesses Managing mre Supply Pints in Class 3 and abve may impact peratinal prcesses User Pays implicatins Impact n Users Area f Users business Ptential impact Administrative and peratinal Develpment, capital and perating csts Cntractual risks Legislative, regulatry and cntractual bligatins and relatinships Impact n Transprters Area f Transprters business Ptential impact System peratin Develpment, capital and perating csts Recvery f csts Price regulatin Cntractual risks Legislative, regulatry and cntractual bligatins and relatinships Standards f service Impact n Cde Administratin Area f Cde Administratin Ptential impact Mdificatin Rules 0xxx Page 5 f 8 Versin 1.0 Request 2016 all rights reserved Day Mnth Year
Impact n Cde Administratin UNC Cmmittees General administratin Impact n Cde Cde sectin Ptential impact UNC Changes may be required t UNC t give effect t any prpsal Impact n UNC Related Dcuments and Other Referenced Dcuments Related Dcument Ptential impact Netwrk Entry Agreement (TPD I1.3) NA Netwrk Exit Agreement (Including Cnnected System Exit Pints) (TPD J1.5.4) Strage Cnnectin Agreement (TPD R1.3.1) NA UK Link Manual (TPD U1.4) Netwrk Cde Operatins Reprting Manual (TPD V12) NA Netwrk Cde Validatin Rules (TPD V12) ECQ Methdlgy (TPD V12) NA 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 NA Gas Transprter Licence NA Other Impacts Item impacted Ptential impact 0xxx Page 6 f 8 Versin 1.0 Request 2016 all rights reserved Day Mnth Year
Security f Supply Operatin f the Ttal System Industry fragmentatin Terminal peratrs, cnsumers, cnnected system peratrs, suppliers, prducers and ther nn cde parties 3 Terms f Reference Backgrund The rllut f advanced and smart metering in the UK 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. We believe 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 Assessment f alternative means t achieve bjective Develpment f Slutin (including business rules if apprpriate) Assessment f ptential impacts f the Request Assessment f implementatin csts f any slutin identified during the Request Assessment f the legal text 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. 0xxx Page 7 f 8 Versin 1.0 Request 2016 all rights reserved Day Mnth Year
Meeting Arrangements Meetings will be administered by the Jint Office and cnducted in accrdance with the Cde Administratin Cde f Practice. 4 Recmmendatin The Prpser invites the Panel t: DETERMINE that Request 0XXX prgress t Wrkgrup fr review. 0xxx Page 8 f 8 Versin 1.0 Request 2016 all rights reserved Day Mnth Year