Commercial MVS Report
Assessment of Distributed Energy Assets with Low Levels of Flexibility
- Reports
- Commercial MVS Report March 2021
The Distributed Energy Resources (DERs) used in project TRANSITION will be provided by LEO partners, who have flexibility in the range of 4kW to 400kW. This Commercial MVS 001 was used to this s of the existing Pre-Qualification Questionnaire (PQQ) questions for organisations with DERs that have low levels of flexibility.
A survey was issued on 13-Jan-21 to six LEO partners (EDF Energy, Low Carbon Hub, Nuvve, Oxford City Council, Oxfordshire County Council and the University of Oxford). This survey sought feedback on all relevant TRANSITION PQQ questions and addressed the following areas:
- High-level Company Details (no. of employees and expected level of flexibility) ▪ General Information (name, address, contact details and VAT details)
- Pre-requisites (basic asset information and adherence to SSEN processes)
- Financials (liquidation and insurance,)
- Environment, Health, Safety and Quality (company procedures and past events)
- Management and Related Activities (companies’, policies and commitments)
The survey uses BaU language, terms and requirements to determine the responses from LEO partners who will be new entrants to the DSO-procured flexibility markets. Each question had a standardised response to simplify the process together with the ability to add a free text response. The return date for responses was 19-Jan-21, with responses being confidential and used only to inform the suitability of PQQ questions.
The analysis identified the PQQ process may be time consuming for LEO partners, particularly those that are not used to collating such information and / or providing it to a third party. Although the larger LEO partners have specialists who can advise on the requirements, smaller organisations may have an undue burden. Furthermore, DSO’s could consider providing explanatory information to accompany the PQQ questions to clarify the requirements and help organisations who are unused to providing such information. This could streamline the process and ensure a more positive experience for potential market participants.
The analysis and the key learnings from this MVS will be used to develop the TRANSITION PQQ. This will ensure that this process is fit for purpose and does not exclude assets with low levels of flexibility during, or after, the flexibility auctions that will be held later in 2021.