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					cornwallenergy
                                                                              Gas Modifications Register
                                                                                          2 July 2010

                                                                                            Headlines
One new modification proposal of importance (medium or above) was raised last week. Gazprom Marketing and Trading Retail raised:
    UNC314 The provision of a “data update” to non code parties.
One new consultation was issued. National Grid NTS issued:
    an Informal Consultation on Exit Capacity Substitution and Revision, closing 6 August.
No consultations close before a week on Friday (16 July).
Ofgem approved UNC288 Facilitating the reduction of enduring annual NTS exit (flat) capacity by a value less than 100,000kWh.
National Grid has issued the discussion report for NTS GCD07R Optional NTS commodity tariff. It said as a first priority it would progress the necessary UNC
modifications that will add clarity to and ease in application of the short-haul tariff. But given that there were many varying views expressed on the short-haul charging
rate it proposed to give further consideration to this issue.
The company has also issued a letter stating that it will not be issuing final proposal for NTS GCM15 User commitment and entry capacity calculation fees due to Ofgem’s
rejection of the associated UNC proposals.


Modifications proposed since 25 June 2010
                                                                                                                                                                                 Date
 Code       Number         Title                   Proposer           Issue                                                                                    Impact          proposed
 Network    UNC314         The provision of a      Gazprom            This aims to facilitate the setting up of a data hub for Advance Meter Reading           Medium: S, Cb    25 June
 code                      “data update” to non    Marketing and      devices by enabling Xoserve to release certain items of data on meters to non
                           code parties            Trading Retail     code parties.



Consultations
 Sponsor                   Consultation                                                                 Impacts                                                                Close date
 Wales and West            UNC298 RG0252 Proposal 1 Amend and remove UNCTPD                             Low: S, T, Cons                                                         30 July
 Utilities                 Section V3 text inconsistencies, errors and bi-lateral insurance
                           clause
 Draft modification        This proposal seeks to resolve a number of anomalies in UNC TPD section      This is designed to clarify the credit arrangements.
 report consultation       V and to correct a small number of typographical errors. The proposer said
                           it would remove a redundant clause from credit terms (bi-lateral

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                           insurance), corrects incorrect and incomplete referencing in TPD section V
                           and better defines a scenario under which increased security is required
                           and in what timeframe.
 Wales and West            UNC299 RG0252 Proposal 2 Alignment of portfolio sanctions                      Medium: S, T                                                                         30 July
 Utilities                 across UNC TPD Section V and S                                                 Low: Cons
 Draft modification        This proposal seeks to align the timelines in which transporters may elect     This would reduce the period when a transporter could apply portfolio
 report consultation       to apply portfolio sanctions on users, where a user’s credit/payment           sanctions on users where the VAR exceed the Code Credit Limit from five days
                           position is not in line with the UNC requirements. The proposal seeks that     to one day.
                           in both the cases, where more than £10,000 is due or where the user’s
                           VAR exceed 100% of the use’s code credit limit, the transporter may now
                           impose sanctions within one business day after the date specified in the
                           notice, instead of currently 5 days for VAR.
 Northern Gas              UNC300 RG0252 Proposal 3 Introduction of Fitch as an allowable                 Medium: S, T                                                                         30 July
 Networks                  credit rating agency for the purposes of code credit arrangements              Low: Cons
 Draft modification        This proposal seeks to introduce Fitch Ratings as an allowable credit rating   This would expand the number of credit rating agencies available.
 report consultation       agency for the purposes of obtaining an unsecured code credit limit, in
                           addition to Standard and Poor’s and Moody’s ratings.
 Northern Gas              UNC301 RG0252 Proposal 4 Removal of the use of specially                       Medium: S, T, Cons                                                                   30 July
 Networks                  commissioned ratings for the purposes of obtaining an unsecured
                           code credit limit
 Draft modification        This proposal seeks to remove specially commissioned ratings as an             The proposer argued that this type of rating is not subject to the same level of
 report consultation       acceptable tool for obtaining an unsecured credit limit.                       continuing monitoring by the credit rating agencies as a published rating is, with
                                                                                                          the snapshot only valid at the time it is initially set.
 Wales and West            UNC302 RG0252 Proposal 5 Definition of regulatory asset value                  Low: S, T, Cons                                                                      30 July
 Utilities                 (RAV) when calculating maximum unsecured credit
 Draft modification        This proposal would allow transporters and users to use transporters’          Currently the UNC provisions have been interpreted such that the RAV only
 report consultation       most up-to-date published regulatory asset value position when                 changes when a price control period starts. This would enable the use of more
                           determining a user’s maximum unsecured transportation credit limit by          up-to-date data.
                           referencing the RAV for each year published by Ofgem in the relevant
                           price control final proposal. Transporters must limit the unsecured credit
                           limit to any user and related company to a maximum of 2% of RAV.
 Wales and West            UNC303 RG0252 Proposal 6 Obligation for users to maintain a                    Medium: S, T                                                                         30 July
 Utilities                 code credit limit and at a reasonable level                                    Low: Cons
 Draft modification        This proposal would require any user who receives 100% VAR notices in          This will introduce the ability for transporters to apply portfolio sanctions on
 report consultation       two consecutive calendar months to establish a code credit limit (CCL) to      users if they receive two 100% VAR notices in successive months and do not
                           the value of the highest 100% VAR notices in the preceding two month           establish a credit code limit to the higher of these levels.
                           period. The transporter may apply portfolio sanctions until the CCL is
                           brought up to that level.
 Northern Gas              UNC304 RG0252 Proposal 7 Introduction of a rating table for                    Medium: S, T, Cons                                                                   30 July
 Networks                  independent credit rating agencies for user with independent
                           assessments

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 Draft modification        This proposal seeks to provide a consistent mapping from the scores from          The aim is to add clarity to the application of the independent assessment
 report consultation       the process of independent assessment, for users without a Moody’s or             scores
                           Standard and Poor’s investment grade rating (or below BB-), to the
                           established credit scores used by the five recognised credit assessment
                           agencies.
 National Grid NTS         UNC305 RG0252 Proposal 8 Unsecured credit limit allocated                         Medium: S, T                                                                        30 July
                           through payment history                                                           Low: Cons
 Draft modification        This proposal seeks that credit provision based on a user’s payment history       The proposer argued that a good payment history was not always a useful
 report consultation       is only available as an options for new entrants for two years.                   means of gauging if an applicant was credit worthy and that use of payment
                           It also proposes a revised approach to administration errors that may allow       history as a credit tool to date has been a limited event as users have opted for
                           the credit provision to be maintained where a late payment has occurred.          other credit tools such as letter of credit, deposit deed and independent
                                                                                                             assessment.
 Scotia Gas                UNC306 RG0252 Proposal 9 Administration of shipper credit                         Low: S, T, Cons                                                                     30 July
 Networks                  security contact details
 Draft modification        This proposal would introduce a centralised shipper credit security contact       This is a proposal to help improve administration.
 report consultation       register which will be administered by Xoserve. It would require shippers
                           to provide credit security contact details at the point of initial accession to
                           the UNC and subsequently where there are any amendments to these
                           details. This is to avoid delays in applying sanctions and in recovering bad
                           debt.
 Scotia Gas                UNC307 RG0252 Proposal 10 Alignment of defaulting user                            Medium: S, T                                                                        30 July
 Networks                  threshold with insolvency act (1986) threshold                                    Low: Cons
 Draft modification        This proposal would align section V 4.3.1(a) with the Insolvency Act 1986         This would greatly reduce the level at which a shipper user can be defined as a
 report consultation       thereby reducing the £10,000 threshold to £750 in relation to                     defaulting user.
                           circumstances where a shipper user can be defined as a defaulting user.
 Wales and West            UNC308 RG0252 Proposal 11 Appropriate use of the terms                            Low: S, T, Cons                                                                     30 July
 Utilities                 surety and security in UNC TPD Section V
 Draft modification        This proposal seeks to better define the terminology of security and surety       This proposal would add clarity to the use of terminology.
 report consultation       so as to remove any ambiguity when credit issues are being considered:
                           letter of credit and guarantees and surety; deposit deeds and prepayment
                           agreements are security
 Wales and West            UNC309 RG0252 Proposal 12 Timeframes for establishing and                         Medium: S, T                                                                        30 July
 Utilities                 extending guarantees and letters of credit                                        Low: Cons
 Draft modification        This proposal seeks to clarify the timeframes around establishing and             This would clarify the timescales around the use of guarantees and letters of
 report consultation       maintaining guarantees and letters of credit. A letter of credit would be         credit.
                           deemed zero value for a user’s code credit limit purposes 30 days prior to
                           the date of its expiry; a guarantee would also be deemed zero value for a
                           user’s code credit limit 30 days before expiry unless either extended or
                           replaced by security or surety from no later than the day after the expiry
                           date of the existing guarantee.
 Scotia Gas                UNC310 RG0252 Proposal 13 Removal of DNO users from UNC                           Medium: T                                                                           30 July

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 Networks                  TPD v3.3.4                                                                            Low: S, Cons
 Draft modification        This proposal would remove an obligation imposed by the implementation                This seeks to remove an obligation created by the introduction of exit reforms
 report consultation       of UNC195AV which would increase GDNs’ provision of credit cover                      which imposes additional credit cover obligations on DNOs.
                           from 51 days to 12 months which the proposer said does not appear
                           justified as exit reform does not involve any great change in the
                           circumstances under which exit capacity is sold by the NTS. It would also
                           remove the differential treatment of National Grid NTS and National Grid
                           Distribution where they are currently treated as a single entity for credit
                           purposes.
 Wales and West            UNC311 RG0252 Proposal 13a Removal of DNOs as users from                              Medium: T                                                                                 30 July
 Utilities                 UNC TPD V3 and V4                                                                     Low: S, Cons
 Draft modification        This proposal is raised as an alternative to UNC310. In addition to the               This seeks to remove an obligation created by the introduction of exit reforms
 report consultation       provisions in UNC310 this proposal also seeks to amend other                          which imposes additional credit cover obligations on DNOs.
                           “anomalies,” which consist of a further six items. They include removal of
                           41 days securitisation requirement for all applicable charge types, removal
                           of the “unworkable” distribution network termination facility and removal
                           of requirements for independent network operators to securitise against
                           DN pension charges.
 National Grid NTS         Informal consultation on exit capacity substitution and revision                      High: T, S                                                                               6 August
                                                                                                                 Low: Cons
 Informal consultation     The consultation reviews the debate on the exit capacity substitution and exit        National Grid has an obligation to submit exit capacity substitution and methodology
                           capacity revision obligations and seeks views on the issues to be resolved before     statements to the Authority by 4 January 2011 for implementation from the July 2011
                           National Grid is able to present formal proposals to the Authority. A draft           application window.
                           methodology statement has also been issued. Issues include identification of
                           available capacity for substitution; exchange rate caps and collars; partial
                           substitution, part investment combinations, treatment of “special sites”; including
                           interconnectors and European regulations; and process timelines.

New items since last register in italics


Decisions
                                                                                                                                                                                                        Implement
 Code        Number        Title                      Proposer           Reason                                                                                                     Decision            date
 Network     UNC288        Facilitating the           National Grid      Ofgem considered that the proposal would facilitate the efficient and economic operation of the            Approve             28 June
 code                      reduction of               NTS                pipeline system and facilitate competition. It said that to the extent that efficient operators are
                           enduring annual NTS                           able to reduce costs by aligning their capacity holdings with actual requirements they will gain a
                           exit (flat) capacity by                       competitive advantage. Ofgem also considered that it would remove an artificial constraint on the
                           a value less than                             availability of Enduring Annual NTS Exit (Flat) capacity which may distort its true value.
                           100,000kWh



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Withdrawn
 Code       Number         Title                  Proposer        Reason
 None



Modifications in progress
 Code       Number         Title                Proposer        Issue                                     Comment                                                 Impact                   Key date
 Network    UNC209         Rolling Annual       E.ON UK         This proposes to introduce a process      On 17 April the UNC Panel decided to set up a           Medium: S, T             18 November
 code                      Quantity (AQ)                        for a rolling review of AQ, with the      development work group. On 12 March the proposal        Low: Cons                Report to
                                                                proposal based on the output from         was amended in line with comments from the                                       UNC Panel
                                                                review group 177.                         development workgroup. On19 March the UNC               The proposer said
                                                                                                          Panel sent the proposal for consultation which closed   that consumers
                                                                                                          on 9 May. The final modification report was issued      should benefit from
                                                                                                          on 12 May.                                              more accurate bills
                                                                                                                                                                  as when meter
                                                                                                          On 18 June the UNC Panel decided to ask for a           reading history is
                                                                                                          formal view from Ofgem and therefore to defer a         poor bills are
                                                                                                          decision. At the meeting the Ofgem representative       estimated based on
                                                                                                          suggested that it would be difficult for Ofgem to       AQs, and thus more
                                                                                                          reach a positive decision in favour of early            accurate AQs should
                                                                                                          implementation without more information on costs        result in more
                                                                                                          and benefits over the expected lifetime of any system   accurate bills.
                                                                                                          changes. On 16 July the Panel deferred consideration
                                                                                                          to allow the distribution workstream to discuss         In general, allocation
                                                                                                          Ofgem’s request that the benefits of implementation     of energy may be
                                                                                                          be quantified and to consider the case for              more accurate.
                                                                                                          implementation prior to Project Nexus. On 20
                                                                                                          August the Panel referred the proposal to the
                                                                                                          Project Nexus workstream.
                                                                                                          On 19 November 2009 the Panel agreed that the
                                                                                                          workstream should continue to consider this
                                                                                                          proposal alongside other options which it may
                                                                                                          develop.
                                                                                                          On 17 June the UNC Panel extended the time to
                                                                                                          report to the November panel meeting.
 Trans-     NTS            User commitment      National Grid   This sets out the proposed treatment      The proposal was raised on 16 April 2009 and the        Low: S, Cons             No further
 mission    GCM15          and entry capacity                   of an NTS entry capacity cancellation     consultation closed on 14 May.                                                   action
 charging                  calculation fees                     fee as proposed in UNC246 Quarterly       A draft conclusions report was issued on 8 January
                                                                NTS entry capacity user commitment.       (which has not been submitted to the Authority for
                                                                It proposes that:                         approval.) The proposal has been amended to take
                                                                     cancellation fees in regard to       account equivalent credit drawdown charges
                                                                     baseline entry capacity that would   proposed under UNC246B, along with the

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                                                                     have resulted in TO revenue           cancellation fees defined in other proposals.
                                                                     would be treated as TO entry          Implementation is not proposed from 1 April 2010
                                                                     revenue; this would result in         subject to implementation of UNC246, UNC246A or
                                                                     reduced TO entry commodity            UNC246B.
                                                                     charges; and                          On 24 June National Grid published a letter which said
                                                                     cancellation fees in regard to        that as the Authority has rejected UNC246A and
                                                                     incremental and non-obligated         UNC246B it will not be issuing final proposals.
                                                                     entry capacity that would have
                                                                     resulted in SO revenue would be
                                                                     treated as SO revenue; this
                                                                     would result in reduced SO
                                                                     commodity charges (entry and
                                                                     exit).
 Network    UNC267         Review of UNC        British Gas      This proposes to set up a review          The proposal was raised on 6 October. On 15              High: S, T, Cons         15 July 2010
 code                      governance           Trading          group to run in parallel with Ofgem’s     October the UNC decided that the proposal should         Reform of the UNC        UNC Panel
                           arrangements                          code governance review in order to        proceed to review, reporting to the July 2010 Panel      governance
                                                                 consider its outcomes and determine       meeting.                                                 arrangements could
                                                                 the best way of delivering the required                                                            have important
                                                                 UNC changes. It also proposes that at                                                              implications including
                                                                 the same time industry participants                                                                for the
                                                                 review other existing processes to                                                                 representation of
                                                                 confirm whether they remain fit for                                                                consumers’ views.
                                                                 purpose. The scope would include the
                                                                 implications of Ofgem’s suggested way
                                                                 forward in the initial proposals for
                                                                 code administrators and the initial
                                                                 proposals for major policy reviews and
                                                                 self governance. This would include
                                                                 membership and voting rights on the
                                                                 UNC Panel.
 Network    UNC270         Aggregated           First: Utility   This would allow shippers to elect        The proposal was raised on 30 October. On 19             Medium: S, Cons          19 August
 code                      monthly                               that readings from supply points with     November the UNC Panel referred the proposal to          The proposal has         Report to
                           reconciliation for                    smart meters installed could be used      a development work group, to report back to the          important                Panel
                           smart meters                          in settlement, so settlement would be     Panel by the 20 May meeting. On 20 May the Panel         implications for the
                                                                 based on actual consumption for these     extended the time to report to the August Panel          employment of smart
                                                                 sites. Shippers could elect to have all   meeting.                                                 meters as it provides
                                                                 sites registered with a smart meter to                                                             a link between
                                                                 be reconciled using Individual NDM                                                                 consumption and
                                                                 Reconciliation so that monthly or                                                                  billed energy in
                                                                 annual reads can be sent to                                                                        settlements. It would
                                                                 settlement.                                                                                        facilitate, for
                                                                                                                                                                    example, suppliers
                                                                                                                                                                    entering into energy
                                                                                                                                                                    efficiency initiatives
                                                                                                                                                                    with their customers.

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 Network    UNC271         Amendment to the     EDF Energy    This proposal relates to the process        The proposal was raised on 6 November. On 19           Medium: S             19 August
 code                      SSP−provisional                    for amending Annual Quantities              November the UNC Panel referred the proposal to        Low: T, Cons          Report to
                           LSP−SSP                            around the border between Smaller           the distribution workstream, to report back to the                           Panel
                                                              Supply Points and Larger Supply             Panel by its 18 February meeting. On 18 February the   The proposal seems
                           amendment rules
                                                              Points. The proposal seeks that where       time to report was extended to the May Panel           to be a sensible
                                                              the Provisional Annual Quantity is          meeting. On 20 May the Panel extended the time to      process
                                                              greater than 73,200kWh then the             report to the August Panel meeting.                    enhancement that
                                                              User Provisional AQ can be any                                                                     should support a
                                                              number that is different to the                                                                    more efficient
                                                              Transporter Provisional AQ.                                                                        competitive process

 Network    UNC273         Governance of        E.ON UK       This seeks to introduce a defined           The proposal was raised on 11 November. On 19          Medium: S, T          16 September
 code                      feasibility study                  process and published timescales and        November the UNC Panel referred the proposal to        Low: Cons             Report to
                           requests to                        costs for feasibility studies requested     the transmission workstream for consideration and                            Panel
                           support changes to                 by shippers who wish to amend their         development, to report by the 18 February Panel        The proposal seems
                           network exit                       Network Exit Agreement (NExA) to            meeting. It also requested that, as some of these      to be a sensible
                           agreements                         increase the off-take of gas at a NTS       agreements apply on distribution networks, the         process
                                                              exit point or a distribution network        proposal is also considered by the distribution        enhancement that
                                                              exit point beyond what is set out in        workstream.                                            should support a
                                                              their NExA.                                                                                        more efficient
                                                                                                          On 17 December the UNC Panel extended the time         competitive process
                                                                                                          to report to 20 May and on 18 March to the June
                                                                                                          Panel meeting.
                                                                                                          On 17 June the UNC Panel extended the time to
                                                                                                          report to the September panel meeting.
 Network    UNC274         Creation of a        E.ON UK       This proposal is one approach               The proposal was raised on 11 November. On 19          Medium: S, Cons       18 November
 code                      National Revenue                   proposed in the work-stream report          November the UNC Panel referred the proposal to        Key processes an      Report to
                           Protection Service                 for UNC245 Review of arrangements           a development work group to report to the 20 May       NPRS service would    Panel
                                                              regarding the detection and investigation   Panel meeting. An extension request is on the May      develop would
                                                              of theft of gas. It seeks to consider the   Panel agenda. Following a request to put               impact directly on
                                                              development of a National Revenue           development of the proposal on hold Panel members      consumers
                                                              Protection Service (NPRS) which             voted by majority to extend the time to report to
                                                              would determine strategies to               the November Panel meeting.
                                                              improve the investigation, detection
                                                              and prevention of theft in the GB
                                                              market. This would include handling of
                                                              theft reporting, operating mechanisms
                                                              to detect theft and investigating
                                                              suspected consumers. The NPRS
                                                              would attempt to recover money
                                                              from customers who had stolen
                                                              energy and also to recover its own
                                                              costs; any costs not borne by the
                                                              consumer would be borne by the
                                                              industry.
 Network    UNC277         Creation of          British Gas   This would introduce the supplier           The proposal was raised on 9 December. E.ON UK         Medium: S, Cons       19 August

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 code                      incentives for the                    energy theft scheme, which was one of      has proposed that it is sent to the distribution        This is designed to      Report to
                           detection of theft                    the two alternative proposals raised in    workstream for three months. On 17 December the         incentivise greater      Panel
                           of gas (supplier                      the review group for UNC245 (the           UNC Panel referred the proposal to a development        activity by suppliers
                           energy theft                          other has been raised in UNC274            workgroup to report to the April Panel meeting.         in detecting theft.
                           scheme)                               Creation of National Revenue               On 18 February the Panel extended the time to
                                                                 Protection Service) This is an incentive   report to the June Panel meeting. On 18 March the
                                                                 scheme which would obligate all            Panel deferred consideration of the terms of
                                                                 suppliers of relevant supply points to     reference; terms of reference were agreed on 15
                                                                 pay into a centrally managed fund          April. On 20 May the Panel extended the time to
                                                                 based on their share of meter points.      report to the August Panel meeting.
                                                                 The fund would then be distributed
                                                                 annually on the basis of how much
                                                                 theft each supplier detected relative to
                                                                 their competitors. It has proposed
                                                                 that the value of the scheme is
                                                                 £8.74mn. Daily Metered sites would
                                                                 be excluded.
 Network    UNC280         Review of demand      E.ON UK         This proposes that the demand              The proposal was raised on 22 December. On 21           Medium: S, T             18 November
 code                      estimation UNC                        estimation process as outlined in          January the UNC Panel decided the proposal should       Low: Cons                UNC Panel
                           Section H                             Section H of the UNC. It said that         proceed to review and report to the July Panel.
                           processes and                         shipper organisations bear the impacts     Terms of reference were approved by the Panel on
                           responsibilities                      from the allocation mechanism and          18 February. On 20 May the Panel extended the time      This could lead to
                                                                 have a vested interest in ensuring the     to report to the November Panel meeting.                proposals which
                                                                 processes and parameters operate                                                                   ensure more
                                                                 smoothly and are as accurate as                                                                    accurate allocation of
                                                                 possible.                                                                                          energy at the initial
                                                                                                                                                                    stage and reduce
                                                                                                                                                                    price risk at
                                                                                                                                                                    reconciliation
 Network    UNC281         Introduction of an    National Grid   The proposal seeks to introduce a          The proposal was raised on 13 January. On 21            Medium: S, T, Cons       19 August
 code                      implementation        NTS             process by which suggested                 January the UNC Panel sent the proposal to the                                   Report to
                           timeframe for                         implementation dates and/ or               governance workstream to report to the March            A very similar
                                                                                                                                                                    proposal has been        Panel
                           modification                          Authority decision-by dates can be         Panel. On 18 March the UNC Panel extended the
                           proposals                             included within a modification             time to report to the June Panel meeting.               raised in the BSC
                                                                 proposal. It has proposed a structure                                                              (P250). No proposal
                           (Previously titled:                                                              On 13 May the proposal was “substantially               has been timed out in
                                                                 of “fixed” and “flexible” dates to be      rewritten” in the light of feedback received. An
                           Prevention of                         applied. There would be a least two                                                                the UNC but the aim
                           “timing out” of                                                                  extension request is on the May Panel agenda.           is to ensure
                                                                 fixed proposed implementation dates
                           Authority                             and associated Authority decision-by       On 19 May the proposal was further amended              consistency across
                           decisions on                          dates, a proposed backstop                 following the development of legal text, the proposer   industry codes.
                           modification                          implementation lead time period or a       considers these are minor improvements. It also
                           proposals)                            “blank” date if the implementation         introduces defined terms within the text regarding
                                                                 date is not critical.                      the “fixed” and “backstop” dates.
                                                                                                            On 20 May the Panel extended the time to report to
                                                                                                            the August Panel meeting.
                                                                                                            On 11 June the proposal was amended such that the

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                                                                                                            implementation date format should be complimented
                                                                                                            with the use of a flexible or backstop alternative
                                                                                                            date.
 Network    UNC282         Introduction of a   Scottish        This seeks to introduce a new process        The proposal was raised on 26 January. On 18             Medium: S, Cons,   19 August
 code                      process to manage   Power           under the UNC, similar to that               February the UNC Panel sent the proposal to the                             Report to
                           long term vacant                    existing in the electricity market,          distribution workstream. On 18 March the Panel                              Panel
                           sites                               whereby shippers can reduce their            deferred consideration of the terms of reference;
                                                               cost exposure to vacant sites.               terms of reference were agreed on 15 April.
                                                                                                            On 20 May the Panel extended the time to report to
                                                                                                            the August Panel meeting.
 Network    UNC291         NTS special         National Grid   This proposes that a review group be         The proposal was raised on 7 April. On 15 April the      Medium: S,T        16 September
 code                      licence condition   NTS             formed to develop possible options           UNC Panel sent the proposal to a review group to         Low: Cons          Report to
                           C27 – balancing                     and produce recommendations for a            report to the September Panel meeting.                                      UNC Panel
                           arrangements                        linepack product and updated cash-out
                                                               fixed differentials in response to the
                                                               new obligations on National Grid set
                                                               out in special condition C27 and
                                                               arising from the gas system operator
                                                               final proposal
 Network    UNC292         Proposed change     Scottish        This urgent proposal seeks to reduce         The proposal was raised on 14 April. Ofgem has           Medium: S, Cons    16 September
 code                      to the AQ review    Power           the SSP AQ amendment tolerance to            been asked to consider that the proposal should be                          UNC Panel
                           amendment                           5% from the current 20%. The                 treated as urgent. Ofgem rejected a request that the
                           tolerance for SSP                   proposer said that overstated AQs            proposal should be accorded urgent status on 30
                           sites                               can significantly affect the profitability   April but it urged the UNC Panel to consider it by
                                                               of a supply business and the effect is       email prior to the next UNC Panel meeting. The
                                                               more pronounced now that capacity            proposal was subject to amendments on 13 May
                                                               charges represent 95% (rather than           which include a proposal that the cost should be split
                                                               50% previously) of distribution              50%/ 50% shippers/ transporters.
                                                               transportation charging. AQs are also        On 20 May the Panel referred the proposal to the
                                                               reducing by 5% per annum and the             distribution workstream to report on 3 June. This
                                                               restriction limits the ability to            meeting was cancelled as the report was not ready.
                                                               recognise the reduction at the meter
                                                               point level.                                 On 17 June the UNC Panel extended the time to
                                                                                                            report to the September panel meeting
                                                               It proposed to retain the requirement
                                                               to demonstrate a consistent
                                                               amendment strategy to ensure there is
                                                               no gaming opportunity presented by
                                                               the proposal.
 Network    UNC293         Proposed removal    Scottish        This urgent proposal seeks to remove         The proposal was raised on 14 April. Ofgem rejected      Medium: S, Cons    16 September
 code                      of the AQ review    Power           the SSP AQ amendment tolerance.              a request that the proposal should be accorded                              UNC Panel
                           amendment                           The same reasoning is put forward as         urgent status on 30 April but it urged the UNC Panel
                           tolerance for SSP                   for UNC292 above.                            to consider it by email prior to the next UNC Panel
                           sites                                                                            meeting. The proposal was subject to amendments
                                                                                                            on 13 May, which include a proposal that the cost

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                                                                                                               should be split 50%/ 50% shippers/ transporters.
                                                                                                               On 20 May the Panel referred the proposal to the
                                                                                                               distribution workstream to report on 3 June. This
                                                                                                               meeting was cancelled as the report was not ready
                                                                                                               On 17 June the UNC Panel extended the time to
                                                                                                               report to the September panel meeting
 Network    UNC294         Changes to the          British Gas      This proposes a series of changes to       The proposal was raised on 23 April. On 20 May the   High: All         15 July
 code                      UNC modification        Trading          the UNC Panel constitution including       proposer said he intended to amend the proposal                        UNC Panel
                           panel constitution                       increasing the current maximum of          and requested that consideration be deferred.
                                                                    five voting shipper user
                                                                    representatives to six, introducing two
                                                                    shipper user representative
                                                                    constituencies, the LSP constituency
                                                                    and the SSP constituency, and
                                                                    transferring governance of the process
                                                                    for appointing shipper users
                                                                    representatives to the UNC code
                                                                    administrator from the Gas Forum. It
                                                                    would also introduce a system of
                                                                    voting units in Panel decisions in order
                                                                    to retain the balance between shippers
                                                                    and transporters.
 Network    UNC296         Facilitating a supply   British Gas      This would enable shippers to request      The proposal was raised on 11 May. On 20 May the     Medium: S, Cb     19 August
 code                      point enquiry                            the same data as is contained in a         Panel sent the proposal to the distribution                            UNC Panel
                           service for non                          supply point enquiry for non-domestic      workstream to report by the August Panel meeting.
                           domestic supply                          customers. Shippers would warrant
                           points                                   that they have the customer’s
                                                                    permission to access the data.
 Network    UNC297         Extending rights to     Scotia Gas       This would extend the disclosure of        The proposal was raised on 12 May. On 20 May the     Low: S, Cons      15 July
 code                      protected               Networks         protected information provisions to        Panel deferred consideration in order that the                         UNC Panel
                           information                              include registered meter applicants        additional information to support proceeding to
                           provisions for                           beyond the provision of the supplier       consultation could be added.
                           meter asset                              identity, This may include meter
                           managers/                                information and the status of supply
                           registered meter                         points (live/ dead).
                           applicants
 Network    UNC298         RG0252 Proposal         Wales and        This seeks to resolve a number of          The proposal was raised on 25 May and an amended     Low. S, T, Cons   30 July
 code                      1 Amend and             West Utilities   anomalies in UNC TPD section V and         changed-marked version issued on 9 June which                          Consultation
                           remove UNCTPD                            to correct a small number of               amends the suggested legal text. On 17 June the                        close
                           Section V3 text                          typographical errors. The proposer         UNC Panel sent the proposal for consultation.
                           inconsistencies,                         said it would remove a redundant
                           errors and bi-                           clause from credit terms (bi-lateral
                           lateral insurance                        insurance), corrects incorrect and
                           clause                                   incomplete referencing in TPD section

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                                                                  V and better defines a scenarios under
                                                                  which increased security is required
                                                                  and in what timeframe
 Network    UNC299         RG0252 Proposal       Wales and        This seeks to align the timelines in          The proposal was raised on 25 May and an amended     Medium: S, T        30 July
 code                      2 Alignment of        West Utilities   which transporters may elect to apply         changed-marked version issued on 9 June which        Low: Cons           Consultation
                           portfolio sanctions                    portfolio sanctions on users, where a         amends the suggested legal text. On 17 June the                          close
                           across UNC TPD                         user’s credit/payment position is not         UNC Panel sent the proposal for consultation.
                           Section V and S                        in line with the UNC requirements.
                                                                  The proposal seeks that in both the
                                                                  cases, where more than £10,000 is
                                                                  due or where the user’s VAR exceed
                                                                  100% of the use’s code credit limit,
                                                                  the transporter may now impose
                                                                  sanctions within one business day after
                                                                  the date specified in the notice,
                                                                  instead of currently 5 days for VAR.
 Network    UNC300         RG0252 Proposal       Northern Gas     This seeks to introduce Fitch Ratings         The proposal was raised on 25 May and an amended     Medium: S, T        30 July
 code                      3 Introduction of     Networks         as an allowable credit rating agency for      (unchanged-marked) version issued on 9 June. On 17   Low: Cons           Consultation
                           Fitch as an                            the purposes of obtaining an                  June the UNC Panel sent the proposal for                                 close
                           allowable credit                       unsecured code credit limit, in               consultation.
                           rating agency for                      addition to Standard and Poor’s and
                           the purposes of                        Moody’s ratings.
                           code credit
                           arrangements
 Network    UNC301         RG0252 Proposal       Northern Gas     This seeks to remove specially                The proposal was raised on 25 May and an amended     Medium: S,T, Cons   30 July
 code                      4 Removal of the      Networks         commissioned ratings as an acceptable         (unchanged-marked) version issued on 9 June. On 17                       Consultation
                           use of specially                       tool for obtaining an unsecured credit        June the UNC Panel sent the proposal for                                 close
                           commissioned                           limit. The proposer argued that this          consultation.
                           ratings for the                        type of rating is not subject to the
                           purposes of                            same level of continuing monitoring by
                           obtaining an                           the credit rating agencies as a
                           unsecured code                         published rating is, with the snapshot
                           credit limit                           only valid at the time it is initially set.
 Network    UNC302         RG0252 Proposal       Wales and        This would allow transporters and             The proposal was raised on 25 May and an amended     Low: S, T, Cons     30 July
 code                      5 Definition of       West Utilities   users to use transporters’ most up-to-        changed-marked version issued on 9 June which                            Consultation
                           regulatory asset                       date published regulatory asset value         amends the suggested legal text. On 17 June the                          close
                           value (RAV) when                       position when determining a user’s            UNC Panel sent the proposal for consultation.
                           calculating                            maximum unsecured transportation
                           maximum                                credit limit by referencing the RAV for
                           unsecured credit                       each year published by Ofgem in the
                                                                  relevant price control final proposal.
                                                                  Transporters must limit the unsecured
                                                                  credit limit to any user and related
                                                                  company to a maximum of 2% of RAV.
                                                                  Currently the UNC provisions have

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                                                                  been interpreted such that the RAV
                                                                  only changes when a price control
                                                                  period starts.
 Network    UNC303         RG0252 Proposal       Wales and        This would require any user who            The proposal was raised on 25 May and an amended        Medium: S, T        30 July
 code                      6 Obligation for      West Utilities   receives 100% VAR notices in two           changed-marked version issued on 9 June which adds                          Consultation
                                                                                                                                                                     Low: Cons
                           users to maintain a                    consecutive calendar months to             suggested legal text. On 17 June the UNC Panel sent                         close
                           code credit limit                      establish a code credit limit (CCL) to     the proposal for consultation.
                           and at a                               the value of the highest 100% VAR
                           reasonable level                       notices in the preceding two month
                                                                  period. The transporter may apply
                                                                  portfolio sanctions until the CCL is
                                                                  brought up to that level.
 Network    UNC304         RG0252 Proposal       Northern Gas     This seeks to provide a consistent         The proposal was raised on 25 May and an amended        Medium: S, T Cons   30 July
 code                      7 Introduction of     Networks         mapping from the scores from the           (unchanged-marked) version issued on 9 June The                             Consultation
                           a rating table for                     process of independent assessment,         Joint Office said it added additional consequences to                       close
                           independent credit                     for users without a Moody’s or             the level of contractual risk to each transporter and
                           rating agencies for                    Standard and Poor’s investment grade       the inclusion of legal text. On 17 June the UNC Panel
                           user with                              rating (or below BB-), to the              sent the proposal for consultation.
                           independent                            established credit scores used by the
                           assessments                            five recognised credit assessment
                                                                  agencies. The aim is to add clarity to
                                                                  the application of the independent
                                                                  assessment scores
 Network    UNC305         RG0252 Proposal       National Grid    This seeks that credit provision based     The proposal was raised on 25 May. On 17 June the       Medium S, T,        30 July
 code                      8 Unsecured           NTS              on a user’s payment history is only        UNC Panel sent the proposal for consultation.                               Consultation
                                                                                                                                                                     Low: Cons
                           credit limit                           available as an options for new                                                                                        close
                           allocated through                      entrants for two years. The proposer
                           payment history                        argued that a good payment history
                                                                  was not always a useful means of
                                                                  gauging if an applicant was credit
                                                                  worthy and that use of payment
                                                                  history as a credit tool to date has
                                                                  been a limited event as users have
                                                                  opted for other credit tools such as
                                                                  letter of credit, deposit deed and
                                                                  independent assessment.
                                                                  It also proposes a revised approach to
                                                                  administration errors that may allow
                                                                  the credit provision to be maintained
                                                                  where a late payment has occurred.
 Network    UNC306         RG0252 Proposal       Scotia Gas       This would introduce a centralised         The proposal was raised on 25 May. Minor, change-       Low: S, T Cons      30 July
 code                      9 Administration      Networks         shipper credit security contact register   tracked alterations were made on 11 June. On 17                             Consultation
                           of shipper credit                      which will be administered by              June the UNC Panel sent the proposal for                                    close
                           security contact                       Xoserve. It would require shippers to      consultation.

100702 Gas modifications                                                                           Page 12 of 18
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                           details                                provide credit security contact details
                                                                  at the point of initial accession to the
                                                                  UNC and subsequently where there
                                                                  are any amendments to these details.
                                                                  This is to avoid delays in applying
                                                                  sanctions and in recovering bad debt.
 Network    UNC307         RG0252 Proposal       Scotia Gas       This would align section V 4.3.1(a)        The proposal was raised on 25 May. Minor, change-   Medium: S, T     30 July
 code                      10 Alignment of       Networks         with the Insolvency Act 1986 thereby       tracked alterations were made on 11 June. On 17                      Consultation
                                                                                                                                                                 Low: Cons
                           defaulting user                        reducing the £10,000 threshold to          June the UNC Panel sent the proposal for                             close
                           threshold with                         £750 in relation to circumstances          consultation.
                           insolvency act                         where a shipper user can be defined as
                           (1986) threshold                       a defaulting user.
 Network    UNC308         RG0252 Proposal       Wales and        This seeks to better define the            The proposal was raised on 25 May. On 17 June the   Low: S, T Cons   30 July
 code                      11 Appropriate        West Utilities   terminology of security and surety so      UNC Panel sent the proposal for consultation.                        Consultation
                           use of the terms                       as to remove any ambiguity when                                                                                 close
                           surety and security                    credit issues are being considered:
                           in UNC TPD                             letter of credit and guarantees and
                           Section V                              surety; deposit deeds and prepayment
                                                                  agreements are security.
 Network    UNC309         RG0252 Proposal       Wales and        This seeks to clarify the timeframes       The proposal was raised on 25 May. On 17 June the   Medium: S, T     30 July
 code                      12 Timeframes for     West Utilities   around establishing and maintaining        UNC Panel sent the proposal for consultation.                        Consultation
                                                                                                                                                                 Low: Cons
                           establishing and                       guarantees and letters of credit. A                                                                             close
                           extending                              letter of credit would be deemed zero
                           guarantees and                         value for a user’s code credit limit
                           letters of credit                      purposes 30 days prior to the date of
                                                                  its expiry; a guarantee would also be
                                                                  deemed zero value for a user’s code
                                                                  credit limit 30 days before expiry
                                                                  unless either extended or replaced by
                                                                  security or surety from no later than
                                                                  the day after the expiry date of the
                                                                  existing guarantee.
 Network    UNC310         RG0252 Proposal       Scotia Gas       This would remove an obligation            The proposal was raised on 25 May. The proposer     Medium: T        30 July
 code                      13 Removal of         Networks         imposed by the implementation of           made an amendment to the suggested text on 11                        Consultation
                                                                                                                                                                 Low: S, Cons
                           DNO users from                         UNC195AV which would increase              June to clarify exclusion of DNOs. On 17 June the                    close
                           UNC TPD v3.3.4                         GDNs’ provision of credit cover from       UNC Panel sent the proposal for consultation.
                                                                  51 days to 12 months which the
                                                                  proposer said does not appear
                                                                  justified as exit reform does not
                                                                  involve any great change in the
                                                                  circumstances under which exit
                                                                  capacity is sold by the NTS. It would
                                                                  also remove the differential treatment
                                                                  of National Grid NTS and National
                                                                  Grid Distribution where they are

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                                                                 currently treated as a single entity for
                                                                 credit purposes.
 Network     UNC311        RG0252 Proposal      Wales and        This proposal is raised as an                 The proposal was raised on 25 May. On 17 June the     Medium: T         30 July
 code                      13a Removal of       West Utilities   alternative to UNC310. In addition to         UNC Panel sent the proposal for consultation.                           Consultation
                                                                                                                                                                     Low: S, Cons
                           DNOs as users                         the provisions in UNC310 this                                                                                         close
                           from UNC TPD                          proposal also seeks to amend other
                           V3 and V4                             “anomalies,” which consist of a further
                                                                 six items. They include removal of 41
                                                                 days securitisation requirement for all
                                                                 applicable charge types, removal of the
                                                                 “unworkable” distribution network
                                                                 termination facility and removal of
                                                                 requirements for independent
                                                                 network operators to securitise
                                                                 against DN pension charges.
 Network     UNC312        Introduction of      E.ON UK          This proposes that where a condition          The proposal was raised on 26 May. On 17 June the     High: All         16 September
 code                      two-thirds                            is introduced to a transporter’s              UNC Panel referred the proposal to the governance                       UNC Panel
                           majority voting to                    licence which requires that                   workstream to report to September Panel.
                           the UNC                               transporter to bring forward a UNC
                           modification panel                    proposal, a recommendation to
                                                                 implement that proposal by the Panel
                                                                 must be based on gaining at least two-
                                                                 thirds of votes in favour of
                                                                 implementation cast by those Panel
                                                                 members present. For all other
                                                                 modification proposal the current
                                                                 rules prevail such that a simple
                                                                 majority is required for a
                                                                 recommendation to implement.
 Network     UNC313        Application data     British Gas      This would ensure that the Allocation         The proposal was raised on 9 June. On 17 June the     Medium: S, Cons   16 September
 code                      for MOD0229                           of Unidentified Gas Statement                 UNC Panel referred the proposal to the distribution                     UNC Panel
                                                                 described in UNC229 will be applied           workstream to report to the September Panel
                                                                 no later than 1 April 2011, even if the       meeting.
                                                                 statement is not ready by that date.
 Network     UNC314        The provision of a   Gazprom          This aims to facilitate the setting up of a   The proposal was raised on 25 June.                   Medium: S, Cb     15 July UNC
 code                      “data update” to     Marketing and    data hub for Advance Meter Reading                                                                                    Panel
                           non code parties     Trading Retail   devices by enabling Xoserve to release
                                                                 certain items of data on meters to non
                                                                 code parties.

New items since last register in italics

Modifications awaiting Ofgem decision


100702 Gas modifications                                                                              Page 14 of 18
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                                                                                                                                                                                      Panel
 Code       Number         Title                Proposer      Issue                                    Comment                                                Impact                  advice
 Network    UNC231V        Changes to the       British Gas   This proposes to bring the current       The proposal was raised on 10 October and on 20        Medium: S, Cons         Reject
 code                      reasonable                         scheme within the UNC and to raise       November the UNC Panel referred the proposal to
                           endeavours                         the level of compensation available to   the distribution workstream. On 19 February the        The proposal would
                           scheme to better                   shippers to a maximum of £1000 per       Panel extended the report period to May and then       incorporate the
                           incentivise the                    occasion. It would also extend the       subsequently it was extended to August, October        scheme, which is a
                           detection of theft                 existing arrangements to allow           and December.                                          licence requirement
                                                              shippers to recover their costs to the                                                          on transporters, into
                                                                                                       The proposal was amended on 14 May, with changes       the UNC to provide
                                                              new maximum level where part             made to the nature and purpose section of the
                                                              payment has been made by the end                                                                a governance
                                                                                                       proposal. It was amended on 9 July to make clear       framework. This
                                                              user to the shipper.                     that the scheme would only be amendable by             does seem to be a
                                                                                                       modification proposal and on 10 September following    logical enhancement.
                                                                                                       the distribution workstream meeting.
                                                                                                       On 2 November British Gas raised a variation
                                                                                                       request. The proposal has been amended to retain
                                                                                                       control of the transporter specific aspects of the
                                                                                                       Reasonable Endeavours Allowances Scheme
                                                                                                       document with Ofgem, as the current drafting goes
                                                                                                       further than the intent of the proposal; to create a
                                                                                                       new UNC related document for the scheme; and to
                                                                                                       include the table with maximum permitted claims
                                                                                                       levels within the UNC.
                                                                                                       On 19 November the UNC Panel agreed the
                                                                                                       variation was material. The proposal was deemed
                                                                                                       withdrawn and replaced by UNC231V which it sent
                                                                                                       for consultation, closing on 8 January. The final
                                                                                                       modification report was issued on 11 January. Of
                                                                                                       seven responses, 4 were in support, 1 gave qualified
                                                                                                       support, 1 offered comments and 1 was not in
                                                                                                       support. On 21 January the Panel did not
                                                                                                       recommend the proposal for implementation.
                                                                                                       On 17 June Ofgem informed the UNC Panel that it
                                                                                                       will be conducting an impact assessment. The Panel
                                                                                                       agreed to write to the Authority asking when a
                                                                                                       decision was likely to be made.

                                                                                                       Indicative date for decision: TBC
 Network    UNC279         Improving the        GDF SUEZ      This seeks to address a problem for      The proposal was raised on 15 December. On 21          Low; S, Cons            Approve
 code                      ability of meter     Energy UK     shippers in relation to the annual AQ    January the UNC Panel agreed to send the proposal      The proposal seems
                           read history and                   review process where a supply point      to the distribution workstream to report in            to be a sensible
                           asset information                  has recently changed shipper/supplier    February. On 18 February the Panel extended the        process
                                                              and there is insufficient meter read     time to report to the March Panel meeting. The         enhancement, which
                                                              and meter asset information available    proposal was amended on 25 February following          should help to
100702 Gas modifications                                                                      Page 15 of 18
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                                                                  to enable an AQ appeal. It proposes         discussion in the distribution workstream, the          ensure the accuracy
                                                                  that the transporter provides all meter     changes in the marked up version; the workstream        of AQs. Arguably it
                                                                  read and meter asset information held       report has also been published which recommends         could have a small
                                                                  by the transporter for a three year         that the proposal is now sent for consultation.         beneficial competitive
                                                                  period on an annual basis.                  On 18 March the Panel accepted the workstream           effect.
                                                                                                              report and sent the proposal to consultation, which
                                                                                                              closed on 16 April. The final modification report was
                                                                                                              issued on 19 April. Of 12 responses received 11
                                                                                                              were in support and one was not in support.
                                                                                                              Indicative date for decision: TBC
 Network    UNC284         Removal of the         National Grid   This proposes that the zero auction         The proposal was raised on 10 March. On 18 March        Medium: S, T, Cons       Approve
 code                      zero auction           NTS             reserve price for within day daily NTS      the UNC Panel sent the proposal to consultation.
                           reserve price for                      entry capacity is removed from the          The draft modification report and legal text were
                           within-day daily                       UN and that the reserve price is set        considered by the UNC Panel on 15 April and the
                           NTS entry capacity                     out in the NTS transportation               draft modification report was issued the same day.
                                                                  statement and calculated in                 The consultation closed on 7 May and the final
                                                                  accordance with the NTS charging            modification report was issued on 9 May. Of eight
                                                                  methodology statement.                      responses, four were in support and four not in
                                                                                                              support.
                                                                                                              Indicative date for impact assessment: June2010;
                                                                                                              indicative date for decision: TBC
 Network    UNC285         “Use-it-or-lose-it“    National Grid   This proposes that National Grid NTS        The proposal was raised on 10 March. On 18 March        High: S, T               Approve
 code                      (UIOLI)                NTS             only releases UIOLI interruptible           the UNC Panel referred the proposal to the              Medium: Cons
                           interruptible                          capacity at an ASEP when at least 90%       transmission workstream to report to the 20 May
                           capacity only to be                    of firm entry capacity (that the            Panel meeting. The draft modification report was
                           released when firm                     company is obliged to release in            issued on 15 April. The consultation closed on 7 May
                           entry capacity is at                   accordance with licence special             and the final modification report was issued on 9
                           least 90% sold out;                    condition C8D(C) has been sold out          May. Of eight responses received three were in
                                                                  prior to the daily auctions. The sold       support and five not in support.
                                                                  out quantity would be established           Indicative date for impact assessment June2010;
                                                                  prior to daily auctions. It proposes this   Indicative date for decision: TBC
                                                                  would be effective from 1 October
                                                                  2010.
 Network    UNC286         Extending              EDF Energy      This seeks to change the status of          The proposal was raised on 10 March. On 18 March        Medium: All              Reject
 code                      modification panel                     consumer representatives on the             the UNC Panel sent the proposal for consultation,
                           voting rights to                       UNC modification panel from non-            closing on 7 May. The consultation closed on 7 May
                           consumer                               voting to voting members. The               and the final modification report was issued on 11
                           representatives                        proposer argued that this would bring       May. Of the 18 responses, five were in support, four
                                                                  the UNC into line with best practice        gave qualified support and nine were not in support.
                                                                  in other industry codes.                    Indicative date for decision: 29 June 2010.
 Network    UNC286A        Extending              British Gas     The proposer considered that a fuller       The proposal was raised on 25 March. The                Medium: All              Reject
 code                      modification panel     Trading         discussion of the issues was required.      consultation closed on 7 May and the final
                           voting rights to                       But given that the original proposal        modification report was issued on 11 May. Of the 18
                           consumer                               has gone to consultation, this proposal     responses, three were in support, five gave qualified
100702 Gas modifications                                                                           Page 16 of 18
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                           representatives                        sets out limitations on the consumer         support and ten were not in support.
                                                                  representatives’ ability to vote and         Indicative date for decision: 29 June 2010.
                                                                  prevents the NCC from appointing as
                                                                  the voting consumer representative
                                                                  any party other than the NCC.
 Network    UNC287         Change system          National Grid   This seeks to move back the last             The proposal was raised on 10 March. On 18 March        Low: S, T, Cons      Reject
 code                      capacity transfers     NTS             notification time for proposed system        the UNC Panel sent the proposal for consultation
                           notification time                      capacity transfers from 04:00 to 03:00       which closed on 13 April. The final modification
                           limit from 04:00                       in order to fit round the planned UK         report was issued on 14 April. Of seven
                           hours to 03:00                         Link downtime between 04:00 and              representations received three were in support,
                           hours                                  06:00 each day while still leaving 60        three were not in support and one remained neutral.
                                                                  minutes to approve or reject the             On 22 April the UNC Panel referred the proposal to
                                                                  transfer.                                    the transmission workstream seeking a report on the
                                                                                                               new issues raised during the consultation. On 20 May
                                                                                                               the Panel was advised that additional issues had been
                                                                                                               raised at the workstream meeting and it is intended
                                                                                                               to consider these further at the June meeting.
                                                                                                               On 17 June the Panel did not recommend the
                                                                                                               proposal for implementation.
 Network    UNC290         To facilitate the      National Grid   This proposes that National Grid NTS         The proposal was raised on 10 March. On 18 March        Medium: S, T, Cons   Approve
 code                      release of             NTS             should be able at its discretion to          the UNC Panel referred the proposal to the
                           additional NTS                         release additional NTS exit (flat)           transmission workstream to report back to the
                           exit (flat) capacity                   capacity where the aggregate quantity        September Panel meeting. On 15 April the UNC
                           at National Grid’s                     applied for is greater than the              Panel sent the proposal for consultation. The
                           discretion                             remaining available NTS exit (flat)          consultation closed on 7 May and the final
                                                                  capacity. National Grid said that this       modification report was issued on 10 May. Of eight
                                                                  would facilitate additional flexibility in   responses received seven were in support and one
                                                                  making additional NTS exit (flat)            was not in support.
                                                                  capacity available to users and allow        Indicative date for decision: TBC
                                                                  users the opportunity to secure
                                                                  additional NTS exit (flat) capacity
                                                                  therefore allowing gas flows that may
                                                                  otherwise be prevented under the
                                                                  current UNC arrangements.
 Transmis   NTS            Removal of NTS         National Grid   The proposals result from discussions        The proposal was raised on 8 March and the              Medium: S, T, Cons   Approve
 sion       GCM19          daily entry capacity   NTS             of the TCMF entry charging review            consultation closed on 6 April. The consultation
 charging                  reserve price                          group This proposes to remove the            report was issued on 30 April and recommended no
                           discounts                              33% NTS entry capacity reserve price         change to the original proposal.
                                                                  discount for day ahead entry capacity        On 19 May Ofgem said it had decided to conduct an
                                                                  and the 100% discount for within day         impact assessment, which would also include
                                                                  daily entry capacity. As a consequence       UNC284 and UNC285 provided they were
                                                                  day-ahead and within-day daily entry         submitted to the Authority in an appropriate
                                                                  capacity reserve prices would both be        timeframe.
                                                                  equal to the rolling monthly auction
                                                                  reserve prices.

100702 Gas modifications                                                                             Page 17 of 18
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                                                                It also proposes that the revenue from
                                                                the sale of within-day obligated daily
                                                                NTS entry capacity (not redistributed
                                                                via capacity neutrality) would be
                                                                treated as TO revenue for charge
                                                                setting purposes.
 Network     UNC295        Allocation of daily   E.ON UK        This seeks to ensure that a bid for      The proposal was raised on 23 April. Minor            Medium: S    Approve
 code                      NTS entry capacity                   daily NTS entry capacity cannot          amendments (not change marked) were made on 11        Low: Cons
                           within day                           remain on National Grid’s system for     May following comments received at the transmission
                                                                longer than one hour without it taking   workstream. On 20 May the proposal was issued for
                                                                action either to accept or reject the    consultation which closed on 7 June. The final
                                                                bid.                                     modification report was issued on 8 June. There was
                                                                                                         unanimous support from the seven consultation
                                                                                                         responses.
                                                                                                         On 17 June the Panel recommended the proposal for
                                                                                                         implementation
 Distribut   DNPC07        LDZ system            Distribution   This proposes that the current           The proposal was raised on 22 April and the           Medium: S,   Approve
 ion                       charges capacity      network        95%/5% capacity/commodity split for      consultation closed on 28 May. The consultation       Low: Cons
 charging                  commodity split       companies      LDZ system changes is changed to         report was issued on 22 June which made no changes
                                                                100%/0% to reflect the treatment of      to the original proposal.
                                                                shrinkage in the distribution price
                                                                control as fixed volumes rather than
                                                                related to throughput

New items since last issue in italics




100702 Gas modifications                                                                       Page 18 of 18

				
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