Guidance

Engaging with DECC on Electricity Market Reform

Updated 6 November 2013

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1. Advisory groups

1.1 Collaborative Development

Collaborative Development is a phase of EMR in which industry works closely with DECC and delivery partners on developing the detailed design of EMR systems and processes for implementation.

This involves a series of open and transparent working groups (separate working groups for CM and for CfD), with representation from all parties involved in ensuring system readiness, including DECC and its delivery partners, generators and suppliers. The process is overseen by a senior steering board to ensure executive buy-in and enable companies to dedicate sufficient resources to the process.

Information on Collaborative Development sessions, Steering and Working Groups Terms of Reference, and meeting papers and notes are available on the ‘Electricity Market Reform (EMR): Collaborative Development’ page.

1.2 EMR Expert Groups

DECC has established EMR Expert Groups that will play an important role in testing and improving policy proposals. Terms of reference and meeting papers are available at the links below.

1.3 Route to market under CfDs

Concerns have been raised by independent renewable developers over ‘route to market’ under CfDs (see the main Electricity Market Reform page for more details). DECC is taking forward two initiatives to address these concerns and to help prepare the industry for the introduction of CfDs.

  1. Considering introducing an Off-taker of Last Resort mechanism, which would provide eligible generators with a ‘backstop’ route to market at a fixed discount to the market price. Development of this policy is supported by an Advisory Group comprised of industry members. You can find out more about this on the Off-taker of Last Resort Advisory Group page.

  2. Establishing two CfD market readiness working groups, which are considering how power purchase agreement (PPA) contracts will need to change to complement CfDs, and developing best practice guidelines for PPA providers and generators. You can find out more about these working groups on the CfD Market Readiness Working Groups page.

2. Past events – presentations and papers

Presentations and papers from previous EMR stakeholder events are available below. Presentations related to Collaborative Development and the EMR Expert Groups on are available on their respective pages.

2.1 CfD Allocation and Solar PV consultation workshop: 30 May 2014

Following the publication of the government response to the consultation on Allocation of Contracts for Difference and the consultation on changes to financial support for solar PV, DECC held a consultation Workshop on 30 May 2014 to explore the content and implications of the publications. Slides from the event are published below:

2.2 Capacity Market Consultation Workshop – Demand-Side Response: 21 November 2013

Following the publication of the EMR consultation on implementation proposals on 10 October 2013, DECC held a workshop on 21 November 2013 specifically focused on the participation of demand side response (DSR), storage and embedded generation in the Capacity Market. A note of the workshop as well as the slides presented are published below.

2.3 Contracts for Difference (CfD) Consultation Workshop: 13 November 2013

Following the publication of the EMR consultation on implementation proposals on 10 October 2013, DECC held a workshop on 13 November 2013 to allow interested stakeholders to explore the contents of the consultation relating to Contracts for Difference in more detail, and to discuss our detailed policy proposals with DECC officials. A note of the workshop as well as the slides presented are published below.

2.4 Capacity Market Consultation Workshop: 4 November 2013

Following the publication of the EMR consultation on implementation proposals on 10 October 2013, DECC held a full day workshop on the 4 November 2013 to allow interested stakeholders to explore the contents of the consultation document relating to the Capacity Market, and to discuss detailed policy proposals with DECC officials. A note of the workshop as well as the slides presented are published below.

2.5 Nuclear and CCS CfD allocation stakeholder workshop: October 2013

DECC held a workshop on Wednesday 9 October 2013 with CCS and nuclear developers and other interested parties to discuss how CfD allocation could work for nuclear and CCS and the potential for using competitive allocation models. We are now seeking more detailed feedback on the issues discussed from those that attended the meeting, as well as inviting comments from others that may have an interest, by 31 October 2013. Slides from the seminar and a list of areas on which we would particularly welcome feedback are published below. If you would like more information about the workshop or other engagement activities on nuclear and CCS allocation, please get in touch by emailing Emrcfddesign@decc.gsi.gov.uk.

2.6 EMR CfD contract and allocation process workshop: August 2013

Presentation slides from the 2 day workshop run by DECC’s EMR team on 21 - 22nd of August 2013 on the CfD Contract terms and Allocation Process, please forward any queries on these to emrcfddesign@decc.gsi.gov.uk

2.7 EMR CfD contract and allocation methodology seminar: August 2013

The EMR team held a one day seminar on Monday 12 August 2013 that gave an overview of the CfD Contract and Allocation Methodology, slides from the seminar are published below. If you would like more information about the seminar or other engagement activities on the CfD Contract, please get in touch by emailing Emrcfddesign@decc.gsi.gov.uk

2.8 EMR Delivery Plan workshops: Summer 2013

DECC has recently hosted a number of interactive workshops on the Draft EMR Delivery Plan to provide stakeholders with greater clarity on the content and the underlying analysis. Slides from these workshops are available below.

2.9 EMR CfD investor simulation workshop: May 2013

On 21st May 2013 DECC and Renewable UK hosted a workshop with renewable developers, investors and policy officials. This was an opportunity to gain a common understanding of the developer’s perspective on the CfD policy across the lifecycle of various generic renewable projects from development up to commissioning.

2.10 EMR stakeholder event: February 2013

On 11 February 2013 DECC hosted a large-scale stakeholder event: ‘The UK Electricity Market – Open for Business’. In addition to a keynote speech by Secretary of State for Energy and Climate Change Edward Davey, there was a Q & A panel session with Ministers, senior officials and a senior National Grid representative, a number of breakout sessions on key policy areas, and a reception. Presentations from the breakout sessions are available:

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