regulation

  • Regulation and policy

    “Behind-the-Connection-Point” A match made in heaven?

    The AEMC's new rule change for storage integration into the NEM provides more flexibility for hybrid systems and VRE owners to more effectively level their bids and participation into the market. This means, if the new rule takes place, hybrids can manage their own internal energy exchange behind the connection...

  • Regulation and policy

    Taking charge: the MHHS implementation levy

    On 10 June the BSC Panel approved the Market-wide Half Hourly Settlement (MHHS) Implementation Charge for 2021-22. The new charge, introduced under modification P413 Market-wide Half Hourly Settlement Programme Manager, will cover Elexon’s programme management costs for MHHS implementation. It will be levied on suppliers on a monthly basis, based...

  • Regulation and policy

    Australian Chart of the week | EnergyConnect: transformational highway or white elephant?

    Last week, the AER delivered their final regulatory approval for Project EnergyConnect (PEC) with total costs of $2.28b. This signifies the end of a process that began back in 2016 when the initial project specification report was released. There was some uncertainty around the viability of the project. However, a $295 million...

  • Low carbon generation

    Australian Chart of the week | “I feel the earth move under my feet”: from high to lows

    We have seen a dramatic shift in FCAS price fortunes over the past year or so, going from all-time highs of ~$229.3mn in Q1 of 2020 (due to the separation event) to only ~$40.1mn in Q1 2021. Since 2019 we have also seen regulation raise prices decline from robust prices...

  • Heat networks

    Pixie Chart of the week | Game of Therms: Winter is Coming

    The 2017 Clean Growth Strategy committed the government to phasing out fossil fuel heating in off gas grid properties by 2030. The Sustainable Energy Association (SEA) has used this pledge as a starting point to propose regulations to bring down carbon emissions from heat. The SEA presented its ideas in...

  • Business supply and services

    Australian Chart of the week | Retail markets: the biggest shake-up since deregulation?

    The energy retail sector in Australia is undergoing a significant shake-up. This is largely due to regulatory intervention, ongoing rule changes and market entry. Consequently, there have been concerns over retailers who charge disengaged households and small businesses higher rates and generally rising retail prices. As a result, two default...

  • Regulation and policy

    Chart of the week | Come what May – sector activity ramps up before summer

    May has seen a number of notable developments within the industry. By coincidence – or perhaps due to various parties not wanting their deadlines of “spring” to slip into “summer” – a number of workstreams hit significant milestones this month. In this week's Chart of the Week, we explore some of these major...

  • Regulation and policy

    Pixie Chart of the week | Pinpointing potential generation-dominated areas

    In a recent consultation on options for forward-looking charges, Ofgem proposed to introduce the concept of Generation and Demand Dominated Areas (GDAs and DDAs) in the Common Distribution Charging Methodology (CDCM). The CDCM governs the distribution charges that low- and higher-voltage (up to 22kV) connected users see and currently applies...

  • Regulation and policy

    Chart of the week | Ofgem broadens its approach to compliance

    The processes whereby Ofgem ensures licence compliance has evolved in recent years. The regulator has made efforts to increase the transparency around its enforcement action, shorten investigation times, and direct financial penalties for non-compliance to affected consumers. It is also apparent that Ofgem is flexing its regulatory muscles more than...

  • Regulation and policy

    Chart of the week | UIG UNC SOS

    Unidentified gas (UIG), continues to create issues for shippers and suppliers alike. Since the introduction of new gas settlement arrangements in June 2017, the UIG process has been problematic. The nub of the issue is that the initial allocation of UIG volumes can range between -15% and +25% of all...