Balancing and Settlement Code (BSC) modification P498: decision on urgency
- Publication type:
- Code modification
- Publication date:
- Topic:
- Electricity supply, Energy codes
- Industry sector:
- Supply and Retail Market
Balancing and Settlement Code (BSC) modification proposal P498 was raised on 21 August 2025 by Energis Electricity Developments Limited.
On 22 August 2025, the BSC Panel requested that the proposal be treated as urgent based on our urgency criteria. We have granted this request.
The proposed modification seeks to mitigate the impact of changes to BSC arrangements on the correct allocation of supply volumes when calculating what each licensed supplier should pay towards the levies which fund government’s Contracts for Difference and Capacity Market mechanisms. Only licensed suppliers are obligated to pay these levies, but where a licensed supplier is facilitating the activities of a licence-exempt supplier then corrective action is required.
Industry is in the process of moving from an administrative workaround to an enduring process, but issues with the transition have been identified which are having negative impacts on some suppliers. The proposed modification will mitigate these impacts and allow for a remedy.
The attached letter sets out our reasoning for approving the request.