Decision Paper Proposed Modifications to Market Support

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.”