Episode description

The introduction of balancing settlement code modification P415 aims to open up wholesale markets to all types of flexibility, decreasing barriers to entry for independent aggregators by allowing participation beyond a consumer’s licensed electricity supplier.

Energy consumers that can be flexible with usage, do not currently see any value from their actions, except through their licensed electricity supplier, who not offer demand response services. The introduction of P415 will enable flexible consumers to appoint an independent aggregator, allowing participants of demand side response to enter into the wholesale energy markets and incentivize increased consumer participation.

In today’s episode, Paul Troughton - Senior Director of Regulatory Affairs at Enel X joins Ed to discuss the code change that he put forward. Over the conversation, they discuss:

• Introduction to P415 and the roles of independent aggregators and virtual trading parties.
• How demand response works, particularly for commercial and industrial users.
• Challenges of demand response, supplier compensation and the importance of accurate baselining.
• The potential impact of P415 and the accessibility it opens up to wholesale markets.
• The future of demand side response in Great Britain.

About our guest

Enel X is dedicated to helping some of the world’s largest energy consumers protect electricity grid stability in the transition to renewable energy. Their core offerings are built around maximising the commercial and environmental rewards available from energy flexibility programme participation.

By optimising how and when energy is consumed, Enel X enables commercial and industrial scale energy users to extract value from the energy markets by leveraging their flexible energy assets in ways that support a greener, more stable and resilient electricity grid. For more information on what Enel X do, head to their website.

About Modo Energy

Modo Energy provides forecasts, benchmarking, data, and insights for new energy assets - all in one place. Built for analysts, Modo helps the owners, operators, builders, and financiers of battery energy storage solutions understand the market - and make the most out of their assets.

All of our podcasts are available to watch or listen to on the Modo Energy site. To keep up with all of our latest updates, research, analysis, videos, podcasts, data visualizations, live events, and more, follow us on LinkedIn or Twitter. Check out The Energy Academy, our video series of bite-sized chunks explaining how different battery energy storage systems work. For more information on how P415 works and other market updates, check out our written research.