Open letter on DWG final report and proposed new governance structure

Correspondence and other

Publication date

Industry sector

Supply and Retail Market

The Design Working Group delivered the Final Report on their preferred Target Operating Model (TOM) and Transition Approach for Market Wide Half Hourly Settlement (MHHS) to Ofgem in August 2019. We would like to thank the DWG, ELEXON and wider industry for their work on the TOM to date.

This open letter concludes Phase 2 of the TOM design and marks the launch of the next phase - the Development Phase. In order to progress with the next phase we are providing a “least regrets steer” that further work on the TOM for MHHS should be done on the basis of the DWG’s preferred TOM. Additionally, we have set out proposals for an updated governance structure, which includes a set of Development Principles, and we are proposing the creation of two new industry groups; the Code Change and Development Group (CCDG) and the Architecture Working Group (AWG). We are seeking stakeholder feedback on our proposals and also asking for applications to join our two new industry working groups.

Specifically we are requesting applications from small suppliers and network operators for the Code Change and Development Group and from all supplier types, network operators and software providers for the Architecture Working Group. 

More details about the CCDG and AWG can be found in the open letter and Appendix 2. If you are interested in becoming a member of either the CCDG or AWG please send your CV and a supporting statement to HalfHourlySettlement@ofgem.gov.uk by 1 November 2019.

Additionally, we welcome your views on this new governance model, set out in Appendix 2, which includes the Terms of References for the two new groups, the DAB and the TOM Development Principles. There is a feedback form provided alongside this Open Letter. Please send the completed form to HalfHourlySettlement@ofgem.gov.uk by 29 October 2019.

On 18 December 2019 we published our Updated Development Phase Governance Structure.