This page outlines requirements for new organisations entering the market and how existing Party Agents need to maintain their Qualified status in order to comply with the provisions of the Balancing and Settlement Code (BSC).
Qualification and re-Qualification are Preventive Assurance Techniques (PAT) which form part of the Performance Assurance Framework (PAF) designed to limit risks to Settlement.
How it relates to you
When entering the electricity market, a new organisation is required to complete SVA Qualification process to operate. Existing Party Agents are required to maintain their Qualified status through the re-Qualification process.
To operate in any of the market participant roles listed below, you need to complete SVA Qualification.
- Supplier
- Half Hourly and Non Half Hourly Data Collector
- Half Hourly and Non Half Hourly Data Aggregator
- Half Hourly and Non Half Hourly Meter Operator and CVA Meter Operator
- Supplier Meter Registration Agent
- Unmetered Supplies System Operator
- Meter Administrator
SVA Qualification
The process is intended to provide assurance that new organisations entering the market in certain roles have developed their systems and processes to an appropriate standard in order to meet their obligations under the BSC. Obtaining Qualified status constitutes of the following:
- A declaration from an officer of the applicant that it will meet the requirements set out in the BSC
- Completion of the Self-Assessment Document (SAD)
- An independent review of evidence and risk-based witnessing of testing
- Approval of Qualified status by PAB
BSC Parties are required to complete CVA market entry prior to or alongside SVA Qualification process.
Re-Qualification
Re-Qualification is a preventive technique within Performance Assurance Framework.Once an organisation is Qualified in a certain role (other than Suppliers), that organisation is required to maintain its Qualified status through the re-Qualification process.
Re-Qualification is triggered when an organisation makes material changes to its previously Qualified systems and/or processes.
The re-approval of ‘Qualified status’ for existing participants (Qualified Persons) seeking to make material changes to their systems and processes is based upon the following:
- A detailed Risk and Impact Assessment (RIA) by the organisation to determine if the change(s) being implemented are material change(s)
- A declaration from an officer of the applicant that it will continue to meet the requirements of the BSC
- Completion of the Self Assessment Document (SAD)
- An independent review of evidence and risk-based witnessing of testing
- Approval of Qualified status by PAB
Removal of Qualifications
In some circumstances, the Qualified Status of an organisation can be removed if the Performance Assurance Board (PAB) decides that the organisation is failing to comply with certain requirements and standards.
If a Qualified Person has had its Qualification removed, it will need to re-establish its Qualifications to operate.BSC Parties are not subject to Removal of Qualification, however, significant or persistent breaches of the BSC are addressed under the Breach and Default provisions of the BSC.
Do I need to pay?
As an applicant, you do not need to pay to go through the Qualification or Re-Qualification process. The costs are recovered centrally through Elexon’s funding mechanisms.
About the Performance Assurance process
SVA Qualification and Re-Qualification are both preventative techniques which form part of the Performance Assurance Framework (PAF) and the main requirements for entry/re-entry into the market.
BSC obligations
- Defined in Section J of the BSC and detailed in BSCP537 ‘Qualification Process for SVA Parties, SVA Party Agents and CVA MOAs’.
- Section Z of the BSC sets out PAB’s responsibilities with regard to the Qualification, re-Qualification and Removal of Qualification process.