1. Incremental Entry Capacity Release Methodology Statement
Update to Transmission Workstream
1st May 2008

2. Licence Obligation
National Grid is required to submit its proposed IECR to the Authority for approval before 1st July in each formula year.
Following a review of the methodology; and
Following industry consultation.
Proposals are implemented upon approval or after 2 months if the Authority has not directed otherwise.

3. Approximate Timeline for Review of the IECR
20th June
Consultation report send to Ofgem.
Mid-Sept 08
QSEC auction commences
16th May
Consultation commences
13th June
Consultation ends
Early July Notice of QSEC charges
20th August Deadline for Ofgem veto
Industry comments to NG
Approximate Timeline

4. Key Changes. No fundamental changes proposed; but
Extensive updating to improve clarity and to ensure consistency with revised Licence terminology and incentives
References to Entry Capacity Substitution updated
Dependant upon the development of capacity substitution processes further revision to the IECR may be necessary
Role of the Authority
To update the Licence for new ASEP
In approval of National Grid’s proposals to release incremental obligated entry capacity