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MRA SPAA DCUSA. Rosie McGlynn EDF Energy. Contractual Framework. Each agreement has a corporate structure e.g. an Executive Committee/Panel and Board Members are elected onto these groups (mix of suppliers and distribution network operators)
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MRASPAADCUSA Rosie McGlynnEDF Energy
Contractual Framework • Each agreement has a corporate structure e.g. an Executive Committee/Panel and Board • Members are elected onto these groups (mix of suppliers and distribution network operators) • Members of these groups become Directors of the company e.g. MRASCO Ltd, SPAA Ltd and DCUSA Ltd • Members act in Director’s capacity in relation to the financial management of the company and its strategic direction
Services Agreements/Secretariat Contracts • Sets out the services the secretariat will deliver on behalf of the contracting parties • At contract expiry, negotiations take place between a sub group of the Executive Committee/Panel and the service provider • Primary aim is to get the most cost effective service either by extending with existing service provider or going out to tender • Sub group members consult with constituents prior to making recommendation to Executive Committee
Best Practice Already Shared Between Agreements • SPAA Change Process has been amended to introduce a more standard approach based on the MRA Change Process e.g. monthly change packs, decision boards etc. • SPAA Breach Process – the work carried under out under the MRA to streamline the Breach and Appeals process prompted a review of the SPAA approach to breach and appeals. The Constitution Group have developed a breach and appeals process which will shortly be published as a draft change. • DCUSA Issues Group – if approved by DCUSA Parties this group should lead to enhanced efficiencies and reduce the current relatively high workload associated with the DCUSA Change process.
Suggestions for Improved Communications with Smaller Parties Monthly updates could be provided on behalf of Executive Committees and Panels to smaller parties summarising the following: • Change Proposals agreed by change boards • Working Group Activities Updates • Executive Committee/Panel decisions This would be straightforward to implement and could be managed either as an enhancement to existing newsletters or as a link to a webpage. Smaller parties could attend working groups, change boards either as participants or observers either in person or via teleconference
Self Governance Operates Well • The MRA, SPAA and DCUSA operate effectively and have significantly reduced the volume of activity Ofgem have to undertake • More can be done to reduce Ofgem’s involvement by streamlining the SPAA and DCUSA change processes • Where is Ofgem involvement essential • Breach and Appeals process • Changes where there are knock on effects onto other industry agreements • Changes where there is a significant consumer impact and require an Ofgem lead (iGT issues, revenue protection issues)