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Ofgem is consulting on a series of amendments to Capacity Market rules, including several to increase transparency over the composition of units.
Among the changes are two suggested by EDF in 2017 as part of a previous review of the rules.
Responding to the proposals the following year, Ofgem agreed with them in principle but delayed their implementation to enable necessary changes to the systems of National Grid Electricity System Operator (ESO) – the delivery body for the scheme.
CP270 would require the Capacity Market register to include component-level information on the primary fuel, technology class, connection capacity and de-rated capacity of generation units.
In the proposal document, EDF said the absence of this information “makes it difficult or even impossible for anyone analysing the market to determine exactly how much capacity of what generating technology has prequalified, participated in an auction, gained an agreement or continued to meet its obligations.”
Meanwhile, CP271 would require the register to show whether proven demand-side response units include any behind-the-meter generation.
EDF said in its proposals there are “greater challenges” in developing “turn-down” demand-side response and the modification would provide a “better understanding of actual capacity in place to turn demand down and reliance on small onsite generating units.”
In both instances, the company noted that this information is already gathered by the ESO.
Ofgem said its minded-to position to approve both the proposals, although in the case of the latter, the regulator said it would only be partially implemented, with the register being required to display the primary fuel and capacity of onsite generation but not the technology class.
The other changes being considered by Ofgem include allowing applicants to reuse certain elements from previous successful applications for up to four years so long as they remain compliant with the rules. The regulator said they would still be subject to the formal prequalification assessment process undertaken by the ESO and would not be seen as “pre-approved”.
The deadline for responses to the consultation is 7 January 2022.
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