Utility Week

6 | MAY 2021 | UTILITY WEEK The Month in Review Market-wide half-hourly settlement gets go-ahead E nergy regulator Ofgem has nally given the go-ahead for the rollout of market- wide half-hourly settlement (MHHS) across the electricity retail market. A decision on the plans for the implementation of MHHS has been delayed three times previously including from the rst half of 2018, the second half of 2019 and the third quarter ofƒ2020. In an announcement on 20 April Ofgem revealed that the implementation of the new system is expected to take place over a period of four and a half years and is to be completed by October 2025. The transition period will allow extensive test- ing to take place in order to iron out any issues before going live. The new system builds on changes already made which require half-hourly settlement for medium to large non-domes- tic customers, and elective half- hourly settlement for domestic and smaller non-domestic consumers. Ofgem has previously esti- mated that it will bene t elec- tricity consumers by between £1.61 billion to £4.56 billion over the next 25 years. Anna Rossington, interim director of retail at Ofgem, said: "This decision marks a major With COP26 now just six months away, one of the event's principal part- ners, SSE, has launched a campaign to shine a light on the employees at the heart of the energy transition. The We Power Change campaign will be telling the stories of these workers and the roles they are playing in some key projects building towards net zero. They include Jasmine Allen, pictured on the front cover image of this magazine standing high atop a turbine in the Greater Gabbard wind- farm, o™ the coast of Su™ olk. Alistair Phillips Davies, SSE chief executive, said: "Building world- leading assets like Dogger Bank Wind Farm to help deliver net zero is at the heart of SSE's low-carbon strategy, but it's the thousands of people in the business that make these projects a reality." Read a comment piece from Phillips Davies here https://utilityweek. co.uk/alistair-phillips-davies-powering-change/ The latest move on settlements is the 'biggest shake-up to the electriity system since privatisation' Here are some highlights from Utility Week's round-up of people moves across the utilities sector: Thames Water The water company has appointed former Ofwat chief execu- tive Cathryn Ross as strategy and regulatory a• airs director, as it undertakes "signi• cant" performance improve- ments. Ross will take up the newly created role from 1 June following the departure of current regulation director Nicola Cocks. Thames also welcomed Francis Paonessa as its new capital delivery director at the end of April following John Bentley's decision to leave the business. Paonessa arrived from consul- tancy Aczel and was previously managing director of infrastructure projects at Network Rail. Bentley will stay with the company until 25ŽMay to hand over. Logan Energy Former SSE chief executive and current Thames Water chair- man Ian Marchant is to head the board of the hydrogen technology • rm. Marchant said he believed hydrogen could have "as big an impact as North Sea Oil and Gas had in the 1970s or the wind indus- try had in the early 2000s". He will be joined by non-exec- utive directors Bob MacDonald, former chief executive specialist technical solutions at Wood, and Derek Mathieson, ex-chief market- ing and technology oš cer at Baker Hughes. Electralink Chief executive Stuart Lacey has leœ the company aœ er ten years to pursue "a new challenge". Elec- tralink praised Lacey for leading the transformation of the business to an energy market data hub. Director of data and transfor- mation services Dan Hopkinson has been promoted to acting chief executive of the data transfer ser- vice operator. ON THE MOVE milestone in the transition to the smart, ¡ exible energy system essential to Britain achieving its net zero climate goals at the low- est cost to consumers." "These reforms are complex, but we know there's a huge appetite across the sector to make these vital changes a suc- cess," she added. The decision also con rmed that Balancing and Settlement Code manager Elexon would be the senior responsible owner for the programme, as suggested in January. An Elexon spokesperson said: "MHHS is one of the biggest changes to the electricity market since competition was intro- duced in 1998. It is also part of the critical path to net zero and a smarter energy system, built on the roll out of smart meters. "We will now start to mobi- lise the programme and we will be seeking input from industry on programme set up, indus- try engagement and resultant budget. We want to ensure that we are set up to deliver MHHS successfully for all programme parties and their customers." Chris Hewett, chief executive of Solar Energy UK, said: "One might question the overly cau- tious length of time set aside for testing in the midst of a climate emergency, but otherwise it is fantastic to see Ofgem is moving the dial on the matter of half- hourly settlement. The decision will undoubtedly enhance inno- vation in the market, and the role of solar and battery storage in supporting the grid." Adam John, reporter Photo: SSE

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