Who can participate?
| |
Generation |
Demand |
| BMU |
yes |
yes |
| Non-BMU |
yes |
yes |
Service Description
Firm Frequency Response (FFR) is the firm provision of Dynamic or Non-Dynamic Response to changes in Frequency. Unlike Mandatory Frequency response, FFR is open to BMU and non-BMU providers, existing Mandatory Frequency Response providers and new providers alike. National Grid procure the services through a competitive tender process, where tenders can be for low frequency events, high frequency events or both.
Why is it needed?
FFR is designed to compliment other sources of Frequency Response and delivers firm availability. The tendered service of FFR is open to BMU and Non-BMU providers thereby increasing the number of potential response providers and improving liquidity. FFR also creates a route to market for providers whose services may otherwise be inaccessible. The FFR service gives both National Grid and service providers a degree of stability against price uncertainty under the Mandatory Service Arrangements.
Major Technical Requirements
A FFR provider must:
-
Have suitable operational metering
-
Pass the FFR Pre-Qualification Assessment
-
Deliver minimum 10MW Response Energy
-
Operate at their tendered level of demand/generation when instructed (in order to achieve the tendered Frequency Response capability)
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Have the capability to operate (when instructed) in a Frequency Sensitive Mode for dynamic response or change their MW level via automatic relay for non-dynamic response
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Communicate via an Automatic Logging Device
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Be able to instruct and receive via a single point of contact and control where a single FFR unit comprises of two or more sites located at the same premises.
Procurement Process
FFR is procured through a monthly tender. Once service providers succeed in the pre-qualification assessment and sign onto a framework agreement, they can participate in the tender process. They can tender in for a single month or multi-months. Having considered the quality, quantity and the nature of the services, National Grid will accept the most economical tender. A successful tender then becomes contractually binding.
Payment
Payment Structure: FFR has a four-part payment structure. However, providers do not have to tender in all these payments. Please see below for illustrative example.
Tendered Firm fees
Availability Fee (£/hr) – for the hours for which a provider has tendered to make the service available for.
Tendered Utilisation fees
Window Initiation Fee (£/window) – for each FFR nominated window that National Grid instructs within the Tendered Frames.
Nomination Fee (£/hr) – a holding fee for each hour utilised within FFR nominated windows.
Tendered Window Revision fee (£/hr) - National Grid notifies providers of window nominations in advance and, if the provider allows, this payment is payable if National Grid subsequently revises this nomination.
Response Energy Fee (£/MWh) – based upon the actual response energy provided in the nominated window
As per CUSC section 4.1.3.9A for BMU Providers
Tendered parameter for Non-BMU Providers.
BSAD: Not Applicable
ABSVD: Utilisation volumes will be determined in accordance with system frequency and the characteristic of the response service.
Summary of Further Information