I-SEM: Statutory Consultation on Modifications to SONI MO and TSO Licences

The Utility Regulator today publishes notice of a consultation on licence modifications to the SONI Market Operator (MO) and Transmission System Operator (TSO) licences. The consultation is accompanied by an Annex 2 outlining the modifications to the SONI TSO licence and an Annex 3 outlining the modifications to the SONI MO licence. 

Key modifications in the SONI TSO licence include:

• a ‘new’ Central Dispatch and Merit Order condition,
• a ‘new’ Balancing Market Principles Statement condition and
• a ‘new’ Compliance and Assurance Officer condition requiring the TSOs to appoint an independent Compliance and Assurance Officer to report on compliance with other existing licence conditions concerning Non-Discrimination, Restriction on the Use of Certain Information and Prohibition of Cross-Subsidies. The proposed introduction of a Compliance and Assurance Officer role is as a result of the SEMC’s governance review process which considered potential conflicts of interest within the EirGrid group. 

New conditions proposed to the SONI MO licence include:

• a‘new’ Nominated Electricity Market Operator (NEMO) condition to set out the duties of the MO in its capacity as holder of the NEMO Designation in  NI and
• a ‘new’ Agent of Last Resort (AoLR) condition requiring the MO to provide an Agent of Last Resort service for renewable and de-minimis generators. The service is to facilitate trading in the Day-Ahead and Intraday markets through the NEMO. 

This is the second statutory consultation relating to SONI licence modifications which are necessary for the implementation of I-SEM. A statutory Article 14 notice for the SONI TSO proposed licence modifications is also published along with a statutory Article 14 notice for the SONI MO proposed licence modifications.  A decision for the first consultation took effect on 1 September 2016. 

The Utility Regulator requests that representations or objections with respect to the proposed modifications may be made on or before 17.00 on 23 January 2016 to, preferably by email to: isemlicences@uregni.gov.uk