P272 – Industry changes to Maximum Demand Meters.
In order to ensure you are up-to-date with everything regarding P272, we have compiled these questions for you along with the answers and listed them below. We hope you find them useful. If you have any further questions which are not covered here, please contact your Business Save Account manager.
This Information is taken as a snapshot and is liable to change as Suppliers adapt to these changes and integrate them into their systems.
- Why is this being made mandatory by Ofgem?
To provide greater accuracy regarding energy consumption that Ofgem believe could help lower bills, increase competition and lower agent costs.
- What is HH settlement?
This relates to the way that a supplier is charged by third parties for things such as wholesale power, DUoS and TNUoS. For HH settlement, suppliers are charged based on the consumption specific to each half hour of each day. The cost to the supplier for each of the half-hourly periods is different and can vary considerably.
- Why do this now if it doesn’t start until April 2017?
We want avoid the inconvenience and disruption caused to customers by making mid-contract changes and the majority of contracts that are currently being agreed cover the period when HH settlement will become mandatory.
- Will the profile class change to 00?
Yes. Affected supplies will change to profile class 00.
- When will we learn of the voltage/LLF?
All affected MPANs will be assigned the equivalent of a low voltage LLF.
- Will actual TNUoS costs be calculated using HHD?
- What differences will I notice between NHH pricing and HH pricing?
HH quotations and invoices include a Capacity Charge (for customers with CT metering) which is shown as £’s per kVA per month. Affected customers will be assigned a kVA and the Capacity Charge will be included on each invoice. Metering agent charges and reactive power charges will also apply.
- Will you be able to quote these together with standard HH supplies, or will they be in their own specific “section”
Yes, renewals can be quoted with standard HH supplies.
- Can customers now be offered a Pass Through contract?
As P272 customers will be treated as HH, yes.
- If a contract that spans 1st April 16 is already in place and is “fixed” will the agreed prices remain in place until the renewal?
- Do you envisage any changes in price structure as a result of P272? E.g. will evening and weekend prices now become day and night prices?
Yes, generally single rates will no longer be quoted by suppliers for affected MPANs and a default rate structure of Day/Night will be used for quotations (other rate structures will also be available in some cases).
- Are underlying DUoS and TNUoS costs changing e.g. LLF or is it just the settlement process?
Yes, the LLF will change depending on the meter type. A new LLF has been created for Whole Current (WC), and Current Transformer (CT) meters will be charged on the current HH metered tariff.
- Does the P272 initiative only affect sites that already have AMR fitted, or is it a mandatory requirement that all 05-08 profile meters have AMR installed?
All renewals for sites that have AMR fitted and have a supply start date on or after 5th November 2015 will be affected. Also, renewals for sites that have AMR fitted, are CT metered and have a supply start date on or after 1st August 2015 will be affected.
- Will there be new appointments of Meter Operator, DA and DC companies, and how can the client/we arrange this?
If a customer does not make an appointment Suppliers will generally assign a preferred agent.
MOP, DA and DC costs will be passed through. If a customer already has a specific contract in place then we can appoint those agents if requested.
- How does it work in terms of supply capacity?
DNOs should have started contacting customers to agree a supply capacity already – although we are aware that progress has been very slow in many areas. If the supply capacity has been agreed with a customer we will use it. In the absence of this agreement we will use a value given to us by the DNO. If neither of these are available we will perform our own calculation to determine a likely kVA when we quote. Where the supply capacity has not been agreed with the customer, the billed kVA is subject to change when this agreement takes place.
- Who re-configures the meter?
Suppliers will generally instruct an agent to complete these reconfigurations – this is generally the MOP. Reconfiguration will be done remotely in most cases so the customer will not see any impact.
- Does the AMR provide HHD?
The invoice will include a breakdown of the usage, and will be sent once a month. If customers want to see the data in real-time or more regularly, they would need to pay a charge for this. The charge is dependent on the metering agent.
- Where can customers view their actual HHD?
When the metering point has been converted to HH settlement we will provide the data electronically on a monthly basis with the invoice.
- What percentage of 5-8 PC’s in the UK have AMRs fitted?
The latest information on this was published by Ofgem in August last year and showed 75% of PC 5-8 sites in the GB market had advanced meters. The level would have increased since that time as suppliers have continued to install the meters.
- What is the difference between the metering types?
The difference is dependent on how the meter was installed. Current Transformer generally means changes can be made to the metering setup without the need to switch off the power. Whole Current setup generally requires the power to be switched off before any changes to the metering setup can be made.