1. Shipperless & Unregistered Workgroup Monday 1 st July 2013

2. Agenda  Introduction  Previous actions  Statistical Information  Overall industry volumes  End User Letter Trial Update  Letter Content  Programme Plan  Analysis of Findings so far  British Gas – Work Conducted on S&U Sites and Obstacles Faced  MPRN Creation – Unregistered Sites Root Cause Solution Measures  MPRNs Set to DE in Error – DN Update  A.O.B.

3. Previous actions Outstanding actions from previous meetings Ref.DescriptionActionStatus 127 All Distribution Network representatives to discuss possible future Xoserve end user letter exercises. Update 19 th September – DNs are in agreement that the resurrection of the EU Letter Process would be worth while. However, a firm detailed decision has not yet been made. All DNs to engage with Xoserve to finalise decision. Update 5 th December – Networks stated that they would favour further dektop investigations. However, they would engage with Xoserve to discuss the possibilities of reintroducing the End User Letter process. Update – superseded by decision to conduct EU Letter Trial All DNsClosed 142 DNs to consider what actions they could complete to meet the requirements following the Desktop Data Cleansing Exercise conducted by Xoserve. Update – superseded by decision to conduct EU Letter Trial All DNsClosed

4. Previous actions Actions from meeting held on 05/12/12 Ref.DescriptionActionStatus 143 Shippers to send further examples of MPRNs that they believe to have been set to DE in error to Xoserve who will sort and pass onto the relevant Network. Update – Further examples were provided by Shippers and issued to relevant Networks. All Shippers Closed 144 Xoserve to issue S&U Population Statistics in the agreed new format. Update – May 2013 Reports were published in the new format. XoserveClosed 145 Xoserve to identify a sample of 1000 MPRNs from the Orphaned with Meters pot of the Shipperless and Unregistered in preparation for the start of the trial. Update – 1000 MPRNs have been randomly selected from the Orphaned with Meters population and issued to Shippers and Networks. XoserveClosed 146 All shippers and Networks to compare the 1000 MPRNs to their respective portfolios to assist in data cleansing of the sample. Update – Requests from a number of shippers and Networks were submitted to remove MPRNs from the sample. All attending Shippers and Networks Closed

5. Statistical Information

6. Overall Industry Volumes Unregistered SitesNov-12Jan-13 May- 13 Description Shipper Activity292279271 These reports are sent out shipper specific and include sites where shippers have provided an activity which suggests intention to confirm i.e., Confirmation rejection, Meter asset update to the C&D store, Conquest raised to create the M Number, End User. They are for created sites > 12 months Orphaned TOTAL15,76716,07715,400 This report is sent out to the whole industry either following a shippers response to the shipper activity report, that they have no further interest in the M Number or that no response is received within the period of production of the next Bi monthly report. They also include sites where a service has been completed and in some instances a meter already installed. Include Uknown as With Meter in Count They are for created sites > 12 months With Meter 6735 (43.6%) 5855 (36.4%) 6526 (42.3%) Shipperle ss Sites - Shipper (PTS) GSR9751,0131,001 These contain sites which have previously been confirmed with meter removed. Information provided by the Networks suggests either the existing meter still on site or a new meter has been fitted GSS 113205100 GSR - Not Registered on UK Link Blank in LIVE SUPPLY POINT of PTS file? GSS - Registered on UK Link but without meter attached Yes in LIVE SUPPLY POINT of PTS file Shipperless Sites - Industry (SSP) 4,7814,8984,429 No Activity1,4331,5871,283 These contain meter points created on UK Link where no shipper activity has been recorded and that remain unconfirmed. Legitimately Unregistered 35,22436,92437,072 These contain sites which can represent one of the following reasons: Vacant sites No Gas meter but live service Service still in planning stage Meter Point created less than 12 months 29,84828,81631,011 These figures provide details of meter points that have a created date < than 12 months that remain unconfirmed - If not confirmed they will gradually feed into some of the above reports going out to industry TOTAL23,24823,85422,384 Not included in Total Figures

7. End User Letter Trial

8. Scope Investigation of 1000 MPRNs (with meters) from the Orphaned population, using Xoserve systems and other available information sources. Objectives To test the effectiveness of an End User Letter Process To promote the confirmation of MPRNs as necessary To ensure that MPRNs are set to EX or DE as necessary

9. Letter Content Two Communications Communication 1 in “Pamphlet” style –Seen to be more user friendly Communication 2 more formal letter Network branding included on all communications –We believe end users would pay more attention if they recognise the organization issuing the communication

10. Plan of Action Actions to Date Xoserve selected a random sample of 1000 Orphaned Sites with Meters and provided to Shippers and Networks Shippers and Networks reviewed and advised if appropriate and advise if sites need to be removed as already under investigation Xoserve to conduct Desktop checks on the remaining sample Xoserve issue the results of desktop analysis to Networks Networks undertake additional investigations and respond to Xoserve Remaining pot have first letters issued

11. Analysis so far Removal ReasonNumber of Sites Percentage of Total Sample Duplicate Records272.70% DE, EX, CA60.60% Confirmed (No Action Taken)171.70% Plot Addresses343.40% Removed at the request of Shippers15815.80% Removed at the request of Networks30.30% Total24524.50% Removals from Original Sample

12. Analysis so far Removals from Original Sample Removal Requests Number of Sites Confirmed % Confirmed Set to DE % Set to DE Removed at the request of Shippers1584730.13%21.28% Removed at the request of Networks300.00%0 Total1614711.55%20.49%

13. Analysis so far Final Dataset DNNumber of SitesPercentage GT2668.74% GT3628.21% GT411715.50% GT5749.80% TGT43657.75% Total755100.00%

14. Plan of Action Future Actions Xoserve to collate and analyze response to first letters and pass information to Shippers and Networks as appropriate. Xoserve to issue second letter to sites where no response has been received Xoserve to analyze response to second letters and pass information to Shippers and Networks as appropriate. Xoserve to check Confirmation and Meter Point Status of entire sample

15. Shipperless and Unregistered Findings. Lee Wileman Date : 28/06/2013

16. Slide 16 Shipperless Team Investigation Process Map

17. Slide 17 Our findings so Far

18. Slide 18 Our findings so Far

19. MPRN Creation Root Cause Solution Measures

20. Background Stepped back from MPRN creation process changes due to the feedback from the UIPs and other industry parties Still dedicated to implementing a change in the process to ensure that newly created unregistered sites are kept to a minimum Presented a new package of measures which was well received by shippers and UIPs. This included reducing the number of MPRNs in the batches, customer communication materials, MAMCoP change etc.

21. MPRN Creation Root Cause Solution Measures Update Implemented the reduced batches to ensure that connection providers take more responsibility regarding the MPRNs that they assign A customer communication leaflet text has been drafted and is currently undergoing review within the DNs. –The plan is to issue this leaflet with each connection made and it sets out all that a customer needs to know in regards to getting a supply contract. The MAMCoP change has been raised and is due to be voted on in September and implemented in November. –This will ensure that MAMs only fit meters where there is a supply contract in place and so will minimise any offtaking of gas. We are also looking into a further MAMCoP change in regards to portfolio data but this has not been finalised as yet. Xoserve are also currently undertaking analysis around the Code 12 process (shipper created MPRNs) to evaluate whether this process could be improved to reduce duplicate MPRNs"

22. MPRNs Set to DE – DN Update Issue raised at previous workshops prompted actions on Shippers and Networks Action 143 - Shippers to send further examples of MPRNs that they believe to have been set to DE in error to Xoserve who will sort and pass onto the relevant Network. Further examples were provided by Shippers and issued to relevant Networks. Xoserve has received a number of updates from the Networks and the majority of the MPRNs were shown to have been correctly set to DE.

23. AOB  Any other business?  Thanks for your attendance your contribution & support  Have a safe journey home!