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Legal framework 

 

Balancing and Settlement Code (BSC)

The Balancing and Settlement Code (BSC) sets out the arrangements for electricity balancing and settlement in Great Britain. National Grid Electricity Transmission Plc (NGET) is obliged to have and maintain a BSC under Condition C3 of the Standard Conditions of the Electricity Transmission License.

The BSC is administered by ELEXON who are a wholly owned but operationally independent subsidiary of NGET paid for by market participants through charges levied under the BSC.

 

Connection and Use of System Code (CUSC)

The Connection and Use of System Code (CUSC) sets out the legal framework under which the National Grid Electricity Transmission Plc (NGET) interacts with signatories to the CUSC with regards electrical connection to the transmission system in England and Wales. NGET is obliged to have and maintain a CUSC under Condition C10 of the Standard Conditions of the Electricity Transmission License.

 

The Grid Code

The Grid Code covers all material technical aspects relating to:

• connections to and the operation and use of the transmission system
• the operation of the electric lines and electrical plant connected to it or to a distribution system, where relevant to the operation of the transmission system

The Grid Code also specifies data which system users are obliged to provide to National Grid for use in the planning and operation of the transmission system. NGC is obliged to have and maintain a Grid Code under Condition C14 of the Standard Conditions of the Electricity Transmission License.

 

The Distribution Code

Condition 9 of the Distribution Licence requires a Distribution Network Operator (DNO) to have in force, implement and comply with a Distribution Code which covers all material technical aspects relating to:

• Connection to, and the operation and use of, the DNO's distribution system; and
• The operation of electrical lines and electrical plant or apparatus connected to the DNO's distribution system

The Distribution Code is designed so as to:

• Permit the development, maintenance and operation of an efficient, coordinated and economical system for the distribution of electricity; and
• Facilitate competition in the generation and supply of electricity

The DNO and potential and existing generators, suppliers and customers connected to (or seeking connection to) the DNO's distribution system must comply with the Distribution Code. For more information on the Distribution Code, please see further reading.

 

The Master Registration Agreement (MRA) Code

The MRA is a multi-party agreement between all licensed Distribution Businesses and Suppliers that went live in June 1998 on the opening of the UK electricity market to full competition. It will not therefore be relevant to smaller generators connected directly to the Transmission System.

It governs the essential interactions that facilitate the change of supplier process within the electricity retail market and its inter-relationship with the wholesale Balancing and Settlement markets, both in terms of agreed working procedures and industry standard dataflows.

As with the other industry codes, the MRA contains its own change procedures to allow it to evolve as the market does. To view the latest version of the MRA, and to obtain more information on the MRA Service Company (MRASCo), please see the further resources section.