Market Compliance

A number of activities and processes ensure that BSC Parties, Party Agents and BSC Agents adhere to a number of performance standards and targets described in the Balancing and Settlement Code (BSC) and Code Subsidiary documents. These include:

• Audits. Performance Assurance Parties (PAPs) can also be audited as part of the BSC Audit, Technical Assurance of Performance Assurance Parties or ad hoc audits. This section concentrates on the BSC Audit.
• Bulk Change of Non Half Hourly Agent. This is designed to provide the BSC Panel and Performance Assurance Board (PAB) assurance that when responsibilities for large volumes of Non Half Hourly (NHH) Metering Systems change, it’s done in a controlled way.
• Error and Failure Resolution. Error and Failure Resolution (EFR) is used to assure ELEXON, the Performance Assurance Board (PAB) and the rest of the industry that you understand identified performance issues and have robust plans in place to correct them in a timely manner.
• Material Error Monitoring. Material Error Monitoring is designed to: Estimate the impact and materiality of a Settlement Error; monitor error levels over time; and estimate the contribution to overall market errors made by individual Parties and their Agents.
• PARMS. Performance Assurance Reporting and Monitoring System (PARMS) is a database that contains information about how Suppliers and their Supplier Hubs are performing. PARMS data is used primarily to support the Performance Monitoring and Reporting technique, part of ELEXON's Performance Assurance Framework.
• Peer Comparison. Peer Comparison is designed to encourage performance improvement and compliance by showing comparative performance across Suppliers and Supplier Agents.
• Performance Assurance. The Performance Assurance Framework (PAF) is in place to provide assurance that: Energy is allocated between Suppliers efficiently, correctly and accurately; Suppliers and Supplier Agents transfer Metering System data efficiently and accurately; and Calculations and allocations of energy and the associated Trading Charges are performed in line with the requirements detailed in the BSC.
• Supplier Charges. Supplier Charges are liquidated damages that Suppliers incur if they fail to meet certain performance levels. They compensate Parties disadvantaged by those who aren’t meeting defined standards.
• SVA Removal of Qualification. The Performance Assurance Board (PAB) can remove a Qualified Person’s Qualification if the organisation fails to comply with certain requirements and standards.