PN UNC Workgroup Settlement topic

4th October 2011

2

Objectives of the Workgroups

• Determine detailed business requirements & rules for future processing of meter reads and Settlement arrangements

• Output from workgroup; – Process maps– Business Requirements Document for future state. Document to

provide sufficient definition around business rules to:• Enable the proposed requirements to be incorporated in

xoserve’s investment decisions, and• Support the raising of any UNC Modification Proposals, if

required

• Monitor & align with latest SMIP position • Focus will be on requirements for Project Nexus delivery

3

Business Issues Raised

• Business issues around settlement, allocation and meter reading processes were raised during;– 1st AMR Workgroup from walkthrough of DME regime– The Allocation Principles and Settlement Workgroup– During the Project Nexus Consultation (taken from the IRR)

• These were reviewed at 22/08/11 meeting and agreed either;– Resolved & included in the requirements– Considered but closed – No longer an issue

4

Scope of Settlement Topic

• Determination of daily gas offtaken, processing of reads and interaction with subsequent reconciliation

Obtain and Validate

Meter Reading

Submit Meter

Reading to GT

Determine Daily

Energy Offtaken

Issue Energy

Balancing Invoices

Collect/Pay Energy

Balancing Invoices

Determine total LDZ Energy

Obtain site level energy

values

Apply ‘Allocation Scaling

Adjustment’ (smear)

Determine daily energy

offtaken

Scope of “Settlement”

5

Objectives for Today’s Meeting

• Complete requirements for Settlement; – Agree read validation process (Market

breaker)– Review & approve updated process flows– Review comments made to the BRD

• Agree updates to BRD or• Provide reason for not amending BRD

– ‘Approve’ / Workgroup sign off BRD• Agree next steps

– Re-publish updated version of BRD (v0.9)?– Update Modification 0377?