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Insights and Stories

Sembcorp Energy UK Welcomes Regulator’s Support of Embedded Capacity Registers

July 10, 2020

Sembcorp Energy UK welcomes Ofgem’s support of a change that will improve the value and reliability of data available on Distributed Energy Resources (DER) connected to distribution networks via the introduction of embedded capacity registers. These registers will improve the forecasting of available power supplies at a national level, which will help in developing a more flexible and efficient electricity system.

Sembcorp Energy UK has helped facilitate the implementation of far-reaching policy visions and recommendations of the Department for Business, Energy and Industrial Strategy (BEIS) Panel of Technical Experts (PTE) and of the Energy Data Task Force (EDTF) through the proposal of DCP350 on behalf of the PTE.

The DCUSA code change DCP350 effectively mandates that the 14 licensed Distribution Network Operators (DNOs) and Independent Distribution Network Operators (IDNOs) in the UK must create and maintain public registers of all sites larger than 1MW that use their network and influence the operation of the GB power market. The introduction of embedded capacity registers is effective from 11 July this year.

The BEIS and EDTF policy recommendations encompassed in this code change were made in response to concerns shared across the industry that insufficient and incomplete data on DER connected to distribution networks had compromised the National Grid Electricity System Operator’s (NG ESO’s) ability to accurately forecast power supply adequacy, as the ESO data is used to propose recommendations to BEIS for Capacity Market (CM) capacity procurement decisions.

Alessandra De Zottis, Regulatory Affairs Manager, Sembcorp Energy UK, said:

“As a provider of rapid, flexible generation connected at distribution level, we welcome this change.

“These registers represent a step change when it comes to the transparency and accessibility of DNOs’ data. Understanding the configuration of distribution networks will unlock the potential for a wide range of providers to make the most effective decisions and offer the most competitive solutions to support the networks where they need us most. This in turn will lead to more competitive and economically efficient electricity markets that can bring benefits to consumers through increased value and lower costs.”

“As the use of renewables continues to grow, we believe a more flexible energy system needs to evolve to support progress towards the UK’s 2050 Net-Zero target. Improving the data available for distributed energy resources, such as the power generation and storage sites operated by Sembcorp in the UK, will enhance the forecasting of power supplies available to the grid and better inform the planning of future energy system developments.”