DECISION PAPER PROPOSED MODIFICATIONS TO MARKET SUPPORT SERVICES CODE 22 JANUARY 2015 ENERGY MARKET AUTHORITY 991G Alexandra Road #02-29 Singapore 119975 www.ema.gov.sg Please direct any enquiries by e-mail to: ema_mdsd@ema.gov.sg Disclaimer: The information contained in this document is subject to change and shall not be treated as constituting any advice to any person. It does not in any way bind the Energy Market Authority (‘EMA’) to grant any approval or official permission for any matter, including but not limited to the grant of any exemption nor to the terms of any exemption. EMA reserves the right to change its policies and/or to amend any information contained in this document without prior notice. Persons who may be in doubt about how the information in this document may affect them or their commercial activities are advised to seek independent legal advice or any other professional advice as they may deem appropriate. EMA shall not be responsible or liable for any consequences (financial or otherwise) or any damage or loss suffered, directly or indirectly, by any person resulting or arising from the use of or reliance on any information contained in this document. Background 1. The Market Support Services (“MSS”) Code sets out the minimum standards of performance for the provision of market support services by the Market Support Services Licensee (“MSSL”). The MSS Code also sets out the rights and obligations of a Retail Electricity Licensee, a Generation Licensee, the Transmission Licensee and a contestable consumer with respect to market support services. 2. When MSSL receives a service transaction request for a contestable consumer to change his electricity purchase arrangement (e.g. switch to buy from a New Retailer), MSSL is required to, under section 8.4 of the MSS Code, notify the Existing Retailer and wait three business days from the date of such notification (“Initial Waiting Period”) before effecting the service transaction request. The Existing Retailer may notify the MSSL of its objection to the service transaction request anytime during the Initial Waiting Period. Once an objection has been lodged by the Existing Retailer, MSSL will need to wait a further ten business days from the date of the objection notice (“Second Waiting Period”) before effecting the service transaction request provided MSSL does not receive a service transaction request from the Existing Retailer to terminate the initial change request. Proposed Modifications 3. It is proposed to shorten the Second Waiting Period from ten business days to three business days so that a contestable consumer can be transferred to his New Retailer faster. With the shorter Second Waiting Period, the Existing Retailer will still have a total of six business days (three business days each for the Initial Waiting Period and Second Waiting Period) to seek clarification from the consumer and to submit a service transaction request to terminate the initial request if justified. 4. Pursuant to Section 1.6 of the MSS Code, EMA conducted a public consultation on 27 Nov 2014 on the proposed modifications to the MSS Code to implement the above change. At the close of the consultation on 9 Jan 2015, there were no objections to the proposed modification set out in Appendix 1. EMA’s Decision 5. EMA has decided to modify the MSS Code as set out in Appendix 1. The Code modifications will take effect on 16 Mar 2015. * * * Appendix 1 Proposed Modifications to the Market Support Services Code Modification Ref. No. MSSC/2014/ 11 Clause Original text 8.4.3(b)(i) “If, during the initial waiting period, the existing Retail Electricity Licensee notifies the Market Support Services Licensee that it objects to the service transaction request, the Market Support Services Licensee shall wait a further ten business days (the “second waiting period”) from the date that the Market Support Services Licensee receives the objection notice from the Retail Electricity Licensee.” Modified text “If, during the initial waiting period, the existing Retail Electricity Licensee notifies the Market Support Services Licensee that it objects to the service transaction request, the Market Support Services Licensee shall wait a further ten three business days (the “second waiting period”) from the date that the Market Support Services Licensee receives the objection notice from the Retail Electricity Licensee.”
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