Dispute Resolution Board decision
Dear Market Participant,
Following a pricing event on 24 January 2019 when the Imbalance Settlement Price rose to levels above the strike price in a number of periods, a dispute was raised by a market participant under the SEM Trading and Settlement Code (TSC) and its Framework Agreement. The substantive issue of the dispute related to the fact that on 24 January 2019 the North-South tie-line was flagged as a binding constraint and was constrained in a south to north direction, with the effect that RoI plants were unable to solve marginal increases in system load in SEM. Accordingly difference charges applied in the market for non-delivery of capacity pursuant to the capacity market rules.
In considering this issue, the Dispute Resolution Board (DRB) found EirGrid and SONI had acted correctly under the terms of the Trading and Settlement Code. The DRB awarded a recovery of 1,696,000 million from the Socialisation Fund to the disputing market participant, an action to be completed within 30 days of Friday, 19 July 2019. It should be noted that this decision is now binding and will be implemented by the Market Operator. Pursuant to Section B.19.1.2 of the TSC, SEMO now informs market participants of this Dispute.
Head of Front Office