Ofgems Project TransmiT An Overview Hannah Nixon Partner, Smarter - - PowerPoint PPT Presentation

Ofgem’s Project TransmiT – An Overview

Hannah Nixon Partner, Smarter Grids and Governance Stakeholder Event, Glasgow 30 June 2010

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Project TransmiT

• What is Project TransmiT?
• What has been done so far?
• Next steps
• What we need from you
• Objectives and agenda for today

Welcome!

We are committed to conducting a transparent and open review. Your views are essential. Genuine engagement and collaborative working is the key to success

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What is Project TransmiT?

• An independent and open review of transmission charging and

associated connection arrangements

• Aiming to facilitate timely transition to low carbon energy sector

while continuing to provide safe, secure, high quality network services at value for money to existing and future consumers

• A direct response to the challenge of efficiently delivering the low

carbon economy and continued security of supply

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What has been done so far?

• Closed in November – we received over 60 responses from a

wide range of stakeholders.

Call for Evidence

• We have held one-to-one sessions with stakeholders to seek

feedback.

One-to-ones

• We held a well-attended event in Birmingham in November

2010, engaging stakeholders in roundtable discussions on the scope of our review and issues to be resolved.

2010 Stakeholder event Academic input Consultants’ review

• CEPA provided a review international charging models. Prof.

Ekins (UCL) provided a peer review of the academic work.

• We appointed four independent academic teams (from

Exeter, Strathclyde, Cambridge and a US consortium) to consider an optimum charging model for GB.

2011 academic event

• We held a roundtable discussion in March 2011 on the views

contained in the draft reports of each academic team. Final reports were published in May 2011.

Connection arrangements

• Timely connection: Output measures developed under RIIO
• Working closely with industry to develop CMP192.

Views expressed: Acknowledgement some form of cost-reflective charging is appropriate, but questions about form and level.

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Next steps

• 27 May open letter confirmed our work will focus specifically on

potential changes to the TNUoS charging arrangements.

• We are aiming to develop appropriate changes that can deliver

benefits to consumers from April 2012.

• We propose to launch a SCR to take forward our charging work.

We recognise that April 2012 is an ambitious and challenging timetable with implications for all

• f us.

This is only achievable if we are all fully committed to making it happen over the coming months.

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What we need from you

• Participation in Ofgem-led working groups to help us identify the

detail of practical changes to TNUoS charges

• A derogation from default CUSC timescales on the publication of

tariffs

• NGET to publish multiple draft tariffs on 31 January 2012, with a

view to confirming the accurate tariffs once we approve an approach

• With your support this can be done ...
• ... but we do not want to commit to an unrealistic timeframe
• Therefore seeking industry views on whether this is

achievable

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Objectives of today’s event

• To build on the information provided in our 27 May

consultation.

• To set out in more detail and seek views on the potential
• ptions for change to the TNUoS arrangements in the

shorter term. In particular:

– To ensure that all the issues raised are given due consideration. – To inform of the way in which we may progress this work. – To seek views on how to ensure collaborative working – To seek views on the timetable

• To provide an opportunity for us and others to hear your

views on what we need to consider as we deliver TransmiT.

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Agenda of today’s event

Please make the most of today’s event and tell us your views and experiences!

Time Content 1400-1420 Welcome and overview (Ofgem) 1420-1450 Further thinking and way forward (Ofgem) 1450-1510 NGET perspective and discussion of broad technical

• ptions (NGET)

1510-1525 Coffee break 1525-1615 Break out session: Kick-off working group thinking 1615-1650 Q&A from the floor 1650-1700 Next steps (Ofgem) 1700 Close

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