Elexon will be returning £1.5m to BSC Trading Parties through a reduction in our billing over the coming months. This has been driven by a number of cost efficiencies and savings made by the company.
Recognising the economic situation
Elexon is funded by industry and is a not-for-profit company. As such, every year our charges exactly match our costs with no profit margin added and we publish our budget in advance to be transparent. We recognise the economic situation of our customers at this time, in particular due to the COVID-19 pandemic, which was why we concluded not to award an annual pay rise this year. We have worked hard to identify a number of other cost efficiencies and savings so that we can return additional funds to BSC Parties.
Since closing our office on 12 March due to COVID-19, Elexon has made a number of savings, and coupled with other savings, we will be returning £1.5m to BSC Trading Parties by reducing their normal charges during the remainder of the year. BSC Trading Parties include any company such as a Supplier or Generator which trades in the wholesale market under the terms of the BSC.
Difficult circumstances for customers
Elexon Chief Executive, Mark Bygraves said:
I recognise this is not a significant amount but the principle of returning underspend and savings is correct as many of our customers are dealing with difficult circumstances due to the impact of COVID-19 on the economy, as well as other challenges.
We strive to deliver value for money to our customers and we are committed to tight cost controls as well as transparency of our spending. We have returned unused funds in the past, and we will look for further opportunities to return more money to Trading Parties as we head towards the end of the financial year.
You can find out more about Elexon’s finances by visiting the Finances, Reports and Policies webpage.