Joint European Stakeholder Group. Headline Report. Meeting number: Meeting 7

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1 Headline Reprt Meeting number: Meeting 7 Date f meeting: Lcatin: Tuesday 20 Octber Elexn, Lndn This nte sets ut the headlines frm the latest meeting f the Jint Eurpean Stakehlder Grup () and is prvided in additin t the presentatins frm the meeting w hich are available n the w ebsite 1. The material in the presentatin is nt duplicated in this reprt. If yu have any queries in relatin t the cntent f this reprt, please the Technical Secretary Franklin Rdrick eurpeancdes.electricity@natinalgrid.cm 1 Actins Review The Technical Secretary nted the Actins and updates n current actins. The current versin f the actin lg, including any additins frm this meeting, is attached t this Headline Reprt. 2 Grid Cnnectin Requirements fr Generatrs (RfG), Demand Cnnectin Cde (DCC), High Vltage Direct Current (HVDC) Each f these have nw been apprved by the Crss-Brder Cmmittee. These will nw prceed t the frmal apprval f the Cuncil and Parliament befre being published in the Official Jurnal f the Eurpean Unin (OJEU) and enter int frce in Q1/Q The DCC Netwrk Cde was adpted by the Member States n 16 Octber. Jint Eurpean Stakehlder Grup The HVDC Netwrk Cde was adpted by the Member States n 11 September. Tw new wrkgrups have been established t carry ut GB implementatin f the DCC and HVDC Netwrk Cdes. GC0090 has been established under the Grid Cde Review Panel fr HVDC, and GC0091 has been established jintly under the Grid Cde Review Panel and Distributin Cde Review Panel fr DCC. 3 Markets Capacity Allcatin and Cngestin Management (CACM) The CACM Guideline was published in the OJEU n 25 July and entered int frce n 14 th August, and is fficially referred t as Cmmissin Regulatin (EU) 2015/1222 f 24 July 2015 establishing a guideline n capacity allcatin and cngestin management. As an EU regulatin it takes precedence ver any Member State laws r requirements, and als where there is cnflict between the Regulatin and the law f Member States, the Regulatin prevails and the cnflicting natinal prvisins will be disregarded. The FCA cde is currently being discussed in Cmitlgy by the Member States. The Cmmissin s ambitin is t vte n it in the next Crss Brder Cmmittee meeting n 29/30 Octber. The EB Netwrk Cde is currently with the Cmmissin pst ACER s qualified recmmendatin. Fllwing the Energy Unin cmmunicatin and assciated market design wrk, the Cmmissin has indicated that the EB Netwrk Cde Cmitlgy will be deferred until System Operatin Operatin Security (OS), Operatinal Planning and Scheduling (OP&S) and Lad Frequency Cntrl Reserves (LFCR) The Netwrk Cdes have been merged t frm ne Guideline. The Cmmissin is expecting t discuss this befre the end f the year with a vte shrtly afterwards. Emergency and Restratin (ER) ACER has recmmended the netwrk cde t the Cmmissin subject t sme amendments. Fllwing the Energy Unin cmmunicatin and assciated market design wrk, the Cmmissin has indicated that the ER Netwrk Cde Cmitlgy will be deferred until

2 5 Feedback frm ACER Market Stakehlder Cmmittee Steve Wilkin (Elexn) updated n the kick-ff ACER- ENTSO-E Market Eurpean Stakehlder Cmmittee (Market ESC) meeting which tk place n 29 th September. The purpse f the meeting is t discuss the implementatin f the three Market Cdes. Steve explained the Terms f Reference fr the Cmmittee meeting. Stakehlders raised a cncern that nt publishing the minutes frm the meeting until the next meeting is nt the right prcess. Hwever, a fair balance needs t be fund between the timely publicatin and the need fr Market ESC participants t feel cmfrtable with their cntent. Stakehlders raised a cncern that there shuld be separate Cmmittees fr separate cdes as peple may nt be interested in the ther cdes. With separate Cmmittees the expert fr individual cdes can be at the meeting which will make the meeting mre fcussed. Steve highlighted that natinal issues are nt part f this Cmmittee and nly Eurpean issues will be discussed. Stakehlders questined that if the lcal and reginal questins cannt be raised at the Cmmittee meeting then where can the questins be raised. Natasha Smith () said that the is a useful frum fr stakehlders t discuss natinal issues and t identify thse which have the ptential f becming pan-eurpean nes and thus shall be escalated t the Market ESC. Cmmittee Meeting agenda and presentatins can be fund n the ENTSO-E website. 6 Update n meetings and lcatins Bec Thrntn () advised the grup that are cncerned abut the cst f rm bkings but are happy t facilitate the meetings at different lcatins. Stakehlders were advised that the Scttish gvernment are happy t hst the meetings fr free and were advised t check the availability fr the meetings and discuss at the next meeting. Stakehlders suggested that the Custmer Seminar in March culd be ptentially used as the meeting. NEGT will have t check internally first befre cmmitting t hld the meeting. 7 Crss Brder Cmmittee meeting update Elena Mylna () gave an update frm the Crss Brder Cmmittee meeting held n the 15/16 Octber. The key pints frm the meeting were: DCC Cde was unanimusly adpted. The Cde has ended n an acceptable frmat. Nw it will be translated befre entering scrutiny f the Eurpean Parliament and the Cuncil. The Cmmissin has shwn an intentin f vting n the FCA Cde in the Crss Brder Cmmittee meeting n the 29/30 Octber. A new versin f the Cde has been circulated ahead f the meeting and stakehlders are invited t give their cmments by clse Friday 23 Octber. The Cmmissin expects the System Operatin Guideline will be discussed befre Christmas and will be vted n in the New Year. 8 Flrence Frum update Elena Mylna () gave an update n the Flrence Frum which was attended by Sue Harrisn frm. It was a 2 day event and n the first day a lt f time was spent n the Energy Market Design. This was fllwed by a shrt sessin n Capacity Mechanisms with Member States setting ut their psitins. The secnd day was fcussed n the Cdes with updates n implementatin and pilt prjects. Eurpean Cmmissin (EC) was pleased with hw pilt prjects are prgressing but pilt prjects shuld nt be extended t nn-members half way thrugh as it culd delay the implementatin. EC wuld try t d a lt mre at the reginal level e.g. Capacity Calculatin in as big regins as pssible. EC flated the idea f having cmmn adequacy standards but a lt f Member States have pushed back n this.

3 9 Grid Cnnectin Cdes Implementatin David Freed () gave an update n the Grid Cnnectin Cdes (GCC) Implementatin. David said the Multiple TSOs wrk has already started. Industry discussins abut hw TSO Respnsibilities can be allcated have cmmenced fr all three cdes fr Stakehlders t review and be discussed in Nvember t cme t a decisin n them in the New Year Existing Dergatin prcess fr dmestic level needs reviewing t ensure cmpatibility with EU Cdes.. It was highlighted that an Emerging Technlgies discussin is required fr RfG i.e. what technlgy can be classified as Emerging Technlgies. Stakehlders asked if wuld publish the letter sent t n the assignment f TSO bligatins fr GCC. Stakehlders questined if there wuld be industry input n Dergatins prcess. David said that the industry input wuld be taken thrugh and cnsultatin prcess. It was nted that Dergatin prcess can be included as a future agenda item. 10 CACM Implementatin Matthew Ramsden () gave an update n CACM implementatin. It was highlighted that the critical first steps were - Assigning rles and respnsibilities fr TSOs, NEMO designatin, CCR Prpsal which will be fllwed by at least 19 mandatry methdlgies. Stakehlders asked abut the prcess fr recvering csts under CACM. Natasha Smith () cnfirmed that this will need t be cnsidered in line with the CACM Regulatin. All TSOs must prpse CCRs t all NRAs by 14 Nvember All NRAs have 6 mnths t take decisin n the prpsal. Bec Thrntn () updated that the vting is expected at the ENTSO-E Market Cmmittee meeting n 29 Octber fr CCR. Stakehlders asked if can publish the UK vtes n CCR s fllwing Market Cmmittee meeting n 29 Octber via weekly update. Stakehlders asked whether wuld cnsult n a minded t decisin fr the frmal CCR prpsal. Matthew explained that did nt expect t cnsult further n prpsals which have already been subject t public cnsultatin, and emphasised the need fr stakehlders t engage early with all cnsultatin and t share any cncerns with. In additin, Matthew emphasised the need fr TSOs, and in the future NEMOs, t prvide rbust and well justified prpsals t. Hwever, Matthew nted that discussin f stakehlder views fllwing cnsultatins and frmal prpsals culd be envisaged at. 11 Future Agenda items Franklin Rdrick () advised that an update n the Balancing Cde will be given at Nvember s meeting. It was suggested t include an update frm the wrkshp n the 21 Octber t be added t the agenda. 12 AOB - Stakehlder Engagement a 6 mnth frward view Bec Thrntn () prvided an update n the timings f the Eurpean and GB meetings n the Netwrk Cdes and pprtunities fr GB stakehlders t becme invlved. 13 Next Meeting The next meeting is scheduled fr 17 Nvember 2015 at Elexn Offices in Lndn. Registratin details will be prvided in the Weekly Updates and stakehlders will be invited t suggest agenda items.

4 Actin Lg Actins ID Tpic Lead Party Status Surce S1 S2 S3 S4 Cntinue t review the membership f the and engage additinal industry parties where apprpriate. Prepare a cmmentary / cmparisn dcument between the Netwrk Cde and the existing GB arrangements at apprpriate stages in the Cde develpment fr each Netwrk Cde. Share any intelligence abut hw ther member states are appraching demnstrating cmpliance thrugh infrmatin gained frm ther gvernment departments, regulatrs r parent cmpanies Stakehlders are requested t prvide specific examples f incnsistent r prblematic definitins in the Netwrk Cdes t (natasha.z.smith@fgem.gv.uk) and (elena.mylna@decc.gsi.gv.uk). Chair // / / Industry parties with Eurpean parent cmpanies All Stakehlders S3 S1 ECCAF 3/2 S6 Actins ID Tpic Lead Party Status Update 21 Make changes t the Netwrk Cde Summary status diagram 22 Liaise with Barbara Vest fr dates and meetings befre next with respect t Custmer Seminar in March Publish UK vtes n CCR s fllwing Market Cmmittee meeting n 29 Octber via weekly update 24 Circulate s letter t requesting t assign TSO respnsibilities fr Grid Cnnectin Cdes 25 Update meeting slides with upcming dates 17 Prvide visibility f respnse sent t ENTSO-E n Stakehlder engagement frums 18 Check whether CACM methdlgies nce apprved by NRAs will be required t g thrugh Cmitlgy t give them legal effect. 19 Put Stakehlder cmmittees nt slide fr 6 mnth plan t see when s need t discuss issues t take t thse Stakehlder Cmmittee meetings. Circulate the dcuments when available in the weekly update. 20 Lk at hw t avid turning away peple wh haven t registered peple fr and arrive n the day Elexn Recently Clsed Actins ID Tpic Lead Party Status Update 16 Optins t increase engagement with stakehlders All Clsed Included in Actin #22

5 13 What is the prcess if there is a translatin errr in the published versin f a regulatin? Hw can an errr be crrected, and what is the legal result if there is a discrepancy between different language versins. 14 Circulate the prpsed Term f Reference, and likely agenda items fr the Subgrup n CACM and FCA 15 Cnsider nminatins fr the chair f the Subgrup n CACM and FCA frm the industry Meeting Attendees / All Clsed Marta Krajewska updated that in case f discrepancy English versin takes precedence Clsed Circulated t the meeting attendees and published n the website Clsed Cvered as part f the Subgrup meeting Name Barbara Vest Franklin Rdrick Marta Krajewska Garth Graham Bec Thrntn David Freed Matthew Ramsden Natasha Smith Julian Rudd Bill Reid Je Underwd Helen Stack Francisc Gncalves Lin Ga Jhn Csta Kamila Nugumanva Michela Beltracchi James Andersn Simn White Steve Wilkin Hazel Gulliver Cmpany Chair Technical Secretary Energy UK SSE Natinal Grid Electricity Transmissin () RWE Drax Pwer Centrica Gazprm E.ON EDF ESB NPS Scttish Pwer Smartest Energy Elexn Scttish Pwer