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Electricity Generation

Energy and Climate Change written question – answered on 14th December 2011.

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Photo of Jon Ashworth Jon Ashworth Opposition Whip (Commons)

To ask the Secretary of State for Energy and Climate Change

(1) what steps the National Grid has taken to validate the meter readings provided by short-term operating reserve aggregators;

(2) on how many occasions representatives of the National Grid have inspected the metering equipment of short-term operating reserve aggregators in the last year;

(3) on how many occasions the National Grid has sought penalty payments from short-term operating reserve aggregators for failing to meet their contractual requirements in the last year.

Photo of Charles Hendry Charles Hendry The Minister of State, Department of Energy and Climate Change

To monitor and despatch services from STOR providers, including aggregators, National Grid installs a Standing Reserve Despatch (SRD) system. This is connected to the reserve provider's metering equipment to allow the amount of reserve provided from the contracted site to be read each minute and communicated back to National Grid.

The rules surrounding the provision of accurate metering signals by all STOR providers (including aggregators) are contained within a contractually enforced document known as the STOR despatch procedure(1). Through the rights and obligations placed upon STOR providers in this document, National Grid has the right to gain physical access to ascertain the accuracy and adequacy of the metering equipment providing the metering signals and of the resultant data sent to the SRD system. In addition a STOR provider is required by the STOR despatch document to:

(a) ensure that all metering systems comply with the relevant industry metering standards as set out in the Balancing and Settlement Code Codes of Practice;

(b) ensure that all of those meters are kept in calibration; and

(c) provide National Grid with copies of the meter calibration certificates confirming the same.

Aggregators use their own technology to meter each sub-site and aggregate this information which is then fed into the SRD system. National Grid agrees the chosen methodology with each aggregator (which may vary depending on the combination of generation/demand reduction) and subsequently monitors the performance of aggregated sites using a combination of metering data fed into the SRD system and off-line metering data provided by the aggregator(2). The latest version of the standard contractual agreements for aggregators introduces terms to clarify that, should National Grid wish to discharge its rights to gain access to metering equipment for verification purposes, then given not less than five business days notice of such request, the aggregator has an obligation to provide such access.

Government do not hold information on how many occasions representatives of National Grid inspect the metering equipment of STOR aggregators or sought penalty payments from STOR aggregators for failing to meet their contractual requirements. As the system operator, National Grid is responsible for keeping the system in balance (including the procurement of balancing services) under the terms of its transmission licence and is not required to report this information to the Secretary of State for Energy and Climate Change, Chris Huhne.

(1)http://www.nationalgrid.com/NR/rdonlyres/297EB1F6-77EA-4AC2-A09A-FB8188A80D98/30804/STOR_Despaich Procedure_v13.pdf

(2)http://www.nationalgrid.com/NR/rdonlyres/EF35E0EC-D7EC-4169-94FB-B09B484C21DF/49612/Generic_Aggregation_STOR_Framework_Agreement.pdf

Published on 19 October 2011

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