Getting the right intelligence to reduce winter transmission charges

Getting the right intelligence to reduce winter transmission charges

With energy prices very much in focus currently, many businesses are asking what steps they can take to reduce costs, especially over the coming winter season.

For companies that can be flexible around grid power consumption, it’s possible to dramatically reduce transmission charges by Triad managing. In our latest vlog, Sandeep Ghuman explains how her Short Term Energy Markets team shares intelligence to help businesses determine potential ‘Triad’ periods – and react accordingly.

For those new to Triad management, this entails reducing consumption or switching to on-site generation during potential peak periods of national demand – which typically occur during the winter tea-time period on weekdays.

This can save your business many thousands in Transmission Network Use of System (TNUoS) charges. For example, for a company in the London area, the TNUoS fee for winter 2021/22 is £61,676 for every MW consumed during a Triad period*.

Our experts monitor multiple factors to determine possible Triads before making a call. These include detailed analysis of the weather, national demand, interconnector flows, wind power performance, generation performance and possible system transmission losses.

As part of Ofgem’s Targeted Charging Review, using Triads to determine 100% of TNUoS charges will soon be replaced by another charging model. But this will not now happen in 2022 as planned. So companies can Triad manage for a further season throughout winter 2022/23.

For information about Triad warnings, you can access Sandeep’s latest vlog below.

In addition, you may be interested to watch the section on Triad management and latest developments in our recent Energy Insight webinar, which is also presented by Sandeep. Refer to our story on this here for information and to access a link.

Finally, for more information, email Triad-notifications@eonenergy.com

*Triads are the three half hours of peak demand between 1 November and the end of February, each separated by at least ten days. These are determined retrospectively when all the energy demand figures can be compared.

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