Notification of Pass-Through Charges Change

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Commercial Electricity Contract Customers: Notification of Pass-Through Charges Change

Commercial Electricity Contract Customers: Notification of Pass-Through Charges Change

The unit price (i.e., the kilowatt hour (kWh) rate) SSE Airtricity charge you in your electricity supply contract includes both the SSE Airtricity energy charge and regulated pass-through charges. Our SSE Airtricity energy charge will follow the agreed contractual risk management strategy which means a fixed energy price, for the duration outlined in your contract. It also means pass-through cost will only change with approval by the Regulator, the Commission for Regulation of Utilities (“CRU”).

The pass-through charges charged by ESB Networks, Eirgrid and the Single Energy Market Operator (SEMO) for the 2021 - 2022 period have now been approved by the regulator, and the changes to your contract prices are detailed below.
The changes will be applied to your existing prices from 1 October 2021.
There will also be an increase in PSO levy for 2021/22 which has now been confirmed by the CRU. This will lead to an increase in charges for all customers. The new PSO levy rates can be found under the What are the PSO levy rates for business customers? section above.

What are Pass-Through charges?

Pass-through charges are the charges that all electricity suppliers must pay other organisations in the Integrated Single Electricity Market (ISEM) when supplying electricity to customers, like those that we receive for the use of the ESB Networks and Eirgrid’s systems. Usually, ESB Networks and Eirgrid set these charges, subject to regulatory approval (i.e., the CRU), on an annual basis.
Pass-through charges (which are described in the attached Glossary) include:
• Transmission Use of Systems (TUoS);
• Distribution Use of Systems (DUoS);
• Market operator charges;
• Imperfection charges;
• Supplier capacity charges;
• Electricity tax;
• MIC charges*;
• Standing Charge*: 
• Low Power Factor surcharge*;
• PSO levy*;
• VAT* and
• The Integrated Single Electricity Market (I-SEM)
* these are shown as separate charges to your kWh tariffs on your bill

How will the changes in pass-through charges impact my premises?

The level of pass-through charges applicable to your premises and the change in these charges from 1 October 2021 depends on the DUoS Group or “DG” number. All supply points connected to the electricity network have a DUoS Group. The DUoS Group is assigned by ESB Networks to the premises based on the network connection characteristics and metering configuration.
Dependent on the DUoS Group for the premise(s), the overall adjustment to your current rates from their current level can be seen in the table below. 
How do I Identify my “DG” number?
The DUoS Group your site belongs to can be located at the top right-hand corner of your bill.


This is identified by the code:

• DG1 & DG2
• DG3 & DG4
• DG 5
• DG 6
• DG 7
• DG8
• DG9
• TCon 


DG Number

Once you have this information you can see the relevant changes in the pass -through charges for your premises listed below.

DUoS Group (DG1 and DG2) 





DUoS Group 5 (DG5) 

Profile 5 - General Purpose (24H Metered)


The total net decrease in the 24Hr kWh rate for is 0.24 c/KWh and increase in night is 0.28 c/kWh

Profile 6 - General Purpose Nightsaver

The total net decrease in the kWh rate for day 0.35 c/kWh and increase in night is 0.28 c/kWh


Profile 29 - General Purpose Smart 

The total net increase in the kWh rate for day is 0.48 c/kWh, decrease in night is 3.95 c/kWh, and increase in peak is 0.48 c/kWh


 

DUoS Group 6 (DG6). MIC Less than 526kVA  

Low Voltage Max Demand (LVMD)

The total net decrease in the kWh rate for day for LVMD NQH is 0.14 c/kWh and increase in night is 0.31 c/kWh. LVMD QH -Day rate decrease is 0.04 c/kWh and increase for night is 0.40 c/kWh

DUoS Group 6 (DG6). MIC Greater than 526kVA

Low Voltage Max Demand (LVMD)

The total net increase in the kWh rate for LVMD NQH/ day is 0.02 c/kWh and increase in NQH night is 0.31 c/kWh. LVMD QH net increase day is 0.13 c/kWh and increase in QH night is 0.40 c/kWh

DUoS Group 7 (DG7). MIC Less than 526kVA

Medium Voltage

The total net increase in the kWh rate for day is 0.15 c/kWh and increase in night is 0.38 c/kWh

DUoS Group 7 (DG7). MIC Greater than 526kVA

Medium Voltage


The total net increase in the kWh rate for day is 0.26 c/kWh and increase for night is 0.38 c/kWh.

DUoS Group 8 (DG8) MIC Greater than 526kVA

38kV looped


The total net increase in the kWh rate for day is 0.29 c/kWh and increase for night is 0.39 c/kWh.

DUoS Group 9 (DG9) MIC Greater than 526kVA

38kV tailed

The total net increase in the kWh rate for day is 0.29 c/kWh and increase for night is 0.39 c/Kwh


110KV (TCon). MIC Greater than 526kVA

The total net increase in the kWh rate for day is 0.29 c/kWh and increase for night is 0.37 c/kWh

Unmetered

24hr Profile 10
Dusk to Dawn Profile 11
  
Dusk to Midnight
 
 
 

If you have any further queries on the impact of changes in pass-through charges on your tariffs from 1 October 2021 or, in relation to the services SSE Airtricity provide, please contact our Relationship Management Team on 0818 92 77 75. For Small, Medium & Enterprise Business customers you can contact us on 0818 81 21 44.

Glossary of Terms

Pass-through costs

Pass-through charges are the costs that all electricity suppliers must pay other entities in the Electricity Market when supplying electricity to customers such as those incurred for the use of the ESB Networks distribution and transmission systems. 

Transmission Use of System (TUoS)

These are the costs all electricity suppliers pay Eirgrid to transport electricity from the generating station through the transmission grid to the distribution system (or to the customer’s site for the small number of customers connected to the transmission system). The transmission system is the high voltage system for the bulk movement of electricity. The charge, which is set by Eirgrid, is called the Transmission Use of System (TUoS) tariff and is regulated by the 

Distribution Use of System (DUoS)

These are the costs all electricity suppliers pay ESB Networks to transport electricity through the distribution system to a customer’s site. The distribution system is the local part of the network that serves the customer. The charge which is set by ESB networks is called the Distribution Use of System (DUoS) tariff and is regulated by the CRU..

The Integrated Single Electricity Market (I-SEM)

The Integrated Single Electricity Market (I-SEM) is the wholesale market for Ireland and Northern Ireland. The previous market arrangements have been replaced since 1st October 2018 by multiple markets or auctions, each spanning different trading time frames, with separate (although related) clearing and settlement mechanisms, covering both energy and non-energy commodities.

System Market Operator (SMO) – Market Operator Charge

This covers the cost of the development and operation of the Integrated Single Electricity Market (I-SEM). The cost is shared across all electricity suppliers and generators on the island of Ireland. It is a flat charge per unit on loss adjusted consumption. The charge, which is set by SEMO, is called the Market Operator Charge and is regulated by both The Utility Regulator in Northern Ireland and the CRU in Republic of Ireland.

Imperfection Charge (IC)


Supplier Capacity Charge (SCC)

This charge covers the capacity cost of the generators in the I-SEM. It is published by SEM Committee and approved by both CRU and Utility Regulator (NI).

Other charges

Maximum Import Capacity (MIC) charge or Capacity Charge

MIC is measured in kiloVolt Amperes (kVA). It is the level of electrical capacity, which represents the maximum load you are contracted to import from the electricity network for use in your premises. Significant penalty charges normally apply if you exceed this level.

Standing Charge

Daily standing charges are a combination of the fixed charges associated with providing electricity and gas network services and a share of the supply costs in servicing your account. 

Electricity Tax

Government imposed tax on electricity supply.

Low Power Factor Surcharge

The low power factor surcharge applies to all ‘Wattless Energy ‘(kilovolt amperes hours (kVArh)) recorded in any billing period if the metered kVArh is more than one third of the metered kWh in any billing period. The charge is only applicable to the kVArh in excess of one third of the kWh.

 

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