Charging

Users of the transmission system are subject to three types of transmission charges:

  • Connection charges
  • Transmission Network Use of System (TNUoS) charges
  • Balancing Services Use of System (BSUoS) charges.

Each type of charge is payable to National Grid Electricity Transmission plc (NGET) in its role as system operator. 

Connection charges

Connection charges recover the cost of providing and maintaining connection assets. NGET defines connection assets as those assets solely required to connect an individual user, eg a generator, to Britain’s transmission system, which are not and would not normally be used by another connected party. The costs of these assets are recovered directly from the user. These connection charges do not recover costs associated with assets that are shared (or could potentially be shared) by more than one user.

Transmission Network Use of System charges

Transmission Network Use of System (TNUoS) charges recover the cost of providing and maintaining shared (or potentially shared) electricity transmission assets, ie assets that cannot be solely attributed to a single user. TNUoS charges are recovered from all generation and demand users of Britain’s electricity transmission system. These charges vary by location, reflecting the costs that users impose on the transmission network to transport their electricity.

Balancing Services Use of System charges

Balancing Services Use of System (BSUoS) charges relate to the costs of the day-to-day operation of the transmission system. These costs primarily relate to the balancing of Britain’s electricity system and include the costs of constraining generation.

Charging methodologies and governance

In terms of charging, the design and maintenance of the relevant charging methodologies is enforced through licence conditions, which contain relevant objectives for the methodologies.

The charging methodologies used to derive the charges for connection to and use of the transmission system are administered by NGET in its role as system operator. These methodologies are contained in section 14 of the Connection and Use of System Code (CUSC) industry code. 

NGET has responsibility through its electricity transmission licence to ensure that these methodologies are kept up to date. As part of this it must bring forward modifications, where appropriate, that better meet the relevant objectives set out in their licence.  There are open governance arrangements that allow industry parties to propose modifications to these methodologies.

Industry assesses these proposals before submitting a recommendation to us. We make the final decision whether to implement any change. We do not set or approve the level of individual charges.

 

Publications and updates

  • Published: 20th Aug 2010
  • Decisions
  • 1 Associated documents
This document approves SPTL’s Statement of the Basis of Transmission Owner Charges applicable from 1 April 2010.

  • Published: 20th Aug 2010
  • Decisions
  • 2 Associated documents
This document approves SHETL’s Statement of the Basis of Transmission Owner Charges applicable from 1 April 2010.

  • Published: 16th Jul 2010
  • Decisions
  • 1 Associated documents
This letter sets out the Authority's decision in relation to the Use of System Charging Methodology modification proposal GB ECM-24.

  • Published: 4th May 2010
  • Closed: 2nd Jun 2010
  • Consultations and responses
  • 2 Associated documents
This letter seeks views on proposed modifications to the SHETL and SPTL Statement, which sets the basis upon which they will charge NGET for services.

  • Published: 9th Apr 2010
  • Decisions
  • 1 Associated documents
This letter sets out the Authority's decision in relation to the Use of System Charging Methodology Modification Proposal GBECM-21.

  • Published: 8th Mar 2010
  • Decisions
  • 1 Associated documents
The letter sets out the decision to modify Special Licence Condition D4 following a Consultation and Notice under section 11(2) of the Electricity Act 1989.

  • Published: 1st Mar 2010
  • Decisions
  • 1 Associated documents
This letter sets out the Authority’s decision in relation to the Use of System Charging Methodology Modification Proposal GBECM-18 “Locational BSUoS”.

  • Published: 25th Jan 2010
  • Closed: 22nd Feb 2010
  • Consultations and responses
  • 1 Associated documents
The Consultation sets out proposals to modify Special Licence Condition D4 (Pass Through Items) and seeks the views of interested parties.

  • Published: 3rd Dec 2009
  • Open letters and correspondence
  • 1 Associated documents
Letter stating our intention to undertake an impact assessment on GB ECM-18: Locational BSUoS.

  • Published: 3rd Dec 2009
  • Closed: 21st Jan 2010
  • Consultations and responses
  • 19 Associated documents
This document is an impact assessment on the charging modification proposal GB ECM-18. This proposal aims to introduce locational BSUoS.

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