What is P272?
P272 is a mandatory industry-wide change instigated by OFGEM for the half-hourly (HH) settlement of profile class 5-8 meters that have capable metering in place, i.e. where AMR (Automatic Meter Reading) meters are fitted. Settlement is the process by which electricity volumes are allocated to suppliers.
This obligatory change is industry-wide and will be implemented by all suppliers by 1st April 2017. AMR meters are able to record consumption in each half-hour giving more precise data on customers’ usage.
The change requires that suppliers use this data to settle profile classes 5-8 rather than a pre-determined industry-wide forecast. This data can also be used for billing which means customers’ invoices will better reflect the cost of their energy.
What is BPG Energy doing about P272?
BPG will be pricing on half-hourly terms for all renewals for customers with profile classes 5-8, who have the correct metering in place. This will ensure the majority of customers are being treated as half-hourly by 1st April 2017 and will minimise the number of customers who will require a mid-contract change to half-hourly invoicing prior to this date. Once customers’ new half-hourly contracts commence, they will receive half-hourly bills.
Existing customers: We will be advising existing customers who are affected by this change. Customers without the correct metering in place will continue to be priced as non-half-hourly until further notice.
New customers: Any new quotations for meter profile classes 5-8 will continue to be treated as non-half-hourly with corresponding prices and invoicing until further notice.
This change results in customer bills that better reflect customers’ energy, distribution and transmission charges. Depending on the existing pattern of usage some customers will see a fall in costs and others will see a rise. Customers who are able to alter when they use power to minimise consumption at expensive periods will, over time, see a reduction in renewal costs. This is because half-hourly prices for are based on historical usage patterns.
When is this happening?
Suppliers are obliged to be compliant with P272 by 1st April 2017. As such, from 1st May 2015, BPG will be treating renewals for all customers with AMR meters on profile classes 5-8 as half-hourly. By implementing this change from 1st May 2015, BPG will minimise the number of its customers that will require a mid-contract change to half-hourly invoicing prior to 1st April 2017.
How does this affect you?
If you have an AMR meter and your profile class is 5, 6, 7 or 8 then you will be affected. Profile classes 3 and 4 are not affected by P272, even if they have an AMR fitted. Your profile class can be found on your bill and makes up part of your supply number which is shown as follows:
In the example shown, the profile class is 3 and is highlighted in blue. Profile classes 5, 6, 7 and 8 would appear as 05, 06, 07 and 08 respectively.
At BPG Energy it is important to us that we help you to manage your energy as cost efficiently and effectively as possible for your business.
Do I need a new meter?
Most businesses now have an AMR meter installed, this will be converted remotely to a fully compliant Half Hourly (HH) meter through which we will obtain consumption readings every half hour directly. If you do not already have an AMR installed, or are unsure please;
call us on 0843 504 7799, Monday to Friday between 9am and 5:00pm
or email Customer.Services@bpgenergy.com
and if required, BPG Energy will arrange for the appropriate meter to be installed.
Will my bills be affected?
By measuring energy usage through half-hourly consumption data, rather than through a pre-determined industry-wide forecast, suppliers are able to gather precise data on your usage and provide you with a bill that better reflects the cost of your energy. There will be differences in how your bills will look and some of the lines that appear on them.
Half-hourly contracts are priced on customers’ actual historical half-hourly usage as this directly affects electricity, distribution and transmission costs. If over time you minimise consumption in the more expensive periods (i.e. early morning and late afternoon, particularly in winter months) this will be reflected in lower prices when your contract is renewed.
There are specific agent services which are a requirement for all half hourly customers - these include a Meter Operator Provider (MOP), a Data Aggregator (DA) and a Data Collector (DC), all of which are outlined in more detail below.
All MOPs, DAs and DCs must be approved by the regulatory industry bodies before they can provide you these services. This regulatory change means that the providers for your agent services must now be approved to operate in the Half Hourly market.
As your energy supplier, you must advise us of any agent services contracts you have in place (see Existing Agent Services for more detail). If you do not have agent services in place, we will appoint a MOP, DA and DC on your behalf.
As with your current contract, agent services will continue to be chargeable.
What if I already have existing agent services?
We are aware that some business customers have existing arrangements in place for specific agent services:
• If you have made separate arrangements it is important that you contact your agent service provider, so that they can confirm that they are accredited to operate in the Half Hourly market
• If they are accredited to operate in the Half Hourly market, and you wish that they continue to provide your metering services, please contact us so that we can ensure this is continued
Where you confirm to us that you have an existing contract in place, we also need you to clarify that the contract that you have with your service provider includes all agent service costs.