CAP011 - Changes to frequency response payments to reflect a potential change to the BSC

National Grid has proposed a change to the BSC (BSC Mod P34) to remove certain charges made as a result of delivering Ancillary Services and Other Services, including Mode A Frequency Response. If this proposal, or a similar proposal with the same effect, was adopted, we believe that CUSC would need to be amended such that the refund of these payments (which is described in CUSC) is also removed. Specifically, we propose the removal of the following payments (currently made under paragraph 4.1.3.9A):

1. Refund of BSC imbalance charges; and
2. Refund of BSC non-delivery charges.

The effective date to be consistent with the effective date of the BSC modification.

For the avoidance of doubt, the payment for energy delivered or avoided as a result of delivering Mode A Frequency Response will continue to be made under CUSC.