Haven explains how Electricity Market Reform costs will appear on bills

Haven explains how Electricity Market Reform costs will appear on bills


Antony Badger
EMR or electricity market reform is a government programme which is going to encourage low
carbon generation for electricity. It’s going to help make sure
lights stay on at times of peak demand and it’s going to make sure the programmes are affordable for consumers. There
are a number of components to EMR, two of the most important and those that will affect the customers directly
are contracts for difference or CFD’s and the capacity market or CM. Contracts for difference or CFD’s provide
stable revenue streams for low carbon generators. They’ve been introduced to replace to governments current
renewables obligation scheme which will be phased out for new participants from March 2017. The capacity
market has been part of the governments EMR programme. It’s designed to make sure there’s enough capacity available
to meet our peak electricity demand. Both generators and large customers can participate either to provide
generation capacity or to reduce their demand at times of peak system stress. In return for either generating when
required, or reducing their demand if needed, the generator or the large customer will receive a payment. Caroline Miller
Operating at Haven Power are responsible for the day to day care of our customers. With
everything from time meeting, invoicing to collecting their cash
and dealing with any queries. Customers for half hourly contracts will see four new lines on their invoices,
these will be at the bottom of their invoices under the taxes, levies and other statutory obligations section. They
appear as follows. CFD operation levy, CFD interim rate levy, CM settlement costs levy, CM levy. Antony Badger
For our non-half-hourly customers, we’re looking to simplify the EMR charges into one
straightforward line. We’re going to call this EMR levy. It will
comprise the two administrative fees. One for CFD and one for CM. And also supplier obligations and cost of those
schemes as well. For CFD that will be the top up payment and for CM it will be the cost of providing the capacity.
Caroline Miller: For non-half-hourly customers they will see
an additional one new line on their bill. This will be at the bottom of their invoices under the taxes, levies
and other statutory obligations section. And this will be labelled EMR levy. Felicity Talbot
EMR legislation affects all customers therefore, Haven Power have developed a new product called
Haven Complete. This product fully fixes the energy and non
energy costs of your contract and is available on 12, 24 and 36 month terms. Customers who choose Haven Complete
will also see no additional charges on their bills.

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