Distributed Generation Guide

March 2024

ENA Introduction

Distributed
Generation
Connection Guide:
G98 & G99
March 2024 │Version 1.0

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DOCUMENT CONTROL

Authorities

Version Issue Date Authorisation Comments

Draft 06/11/23 First Draft issued for Consultation

Consultation comments addressed

Draft 11/01/2024
and circulated.

Additional comments provided and

Draft 12/03/2024
response too.

Change history
Change
Version Description
reference

Distribution

Reference 2

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TABLE OF CONTENTS

About ENA ...................................................................................................... 16

Our members and associates ......................................................................... 16
ENA members .............................................................................................................................................. 16
ENA associates ............................................................................................................................................ 16

An Introduction to the Distributed Generation Guides ..................................... 17

Who is this Guide for? ................................................................................................................................ 17
What is the aim of the Guide? .................................................................................................................... 17
What is not covered in the Guide? ............................................................................................................ 17
The format of the guide............................................................................................................................... 18
Governance of the guide ............................................................................................................................ 18
Governance of related codes and documents ......................................................................................... 18
Section: ........................................................................................................................................................ 20
Contents: ...................................................................................................................................................... 20
Applicable Project Types: .......................................................................................................................... 20
Additional information ................................................................................................................................ 24
Engineering Recommendation G98 ........................................................................................................... 24
Engineering Recommendation G99 ........................................................................................................... 24
Micro-generator ........................................................................................................................................... 24
Close Geographic Region .......................................................................................................................... 25
Inverters ....................................................................................................................................................... 25
Type tested equipment ............................................................................................................................... 25
Cyber Security ............................................................................................................................................. 25
Equipment Certification .............................................................................................................................. 26
Emerging Technology ................................................................................................................................. 26
Requirements for Generators (RfG) Types A to D ................................................................................... 26

Current Regulations ........................................................................................ 26

Requirements for Generators .................................................................................................................... 26
Drivers for the Requirements for Generators ........................................................................................... 27
Electricity Storage ....................................................................................................................................... 27
New Approach to Connections .................................................................................................................. 28

Key terms in EREC G98 and EREC G99 ........................................................ 28

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Section 1: A Guide to the GB Power Sector 30

Introduction ..................................................................................................... 30
The Commercial Structure of the Power Sector .............................................. 30
The Physical Infrastructure of the Power Sector .............................................. 30
Key Organisations ........................................................................................... 32
Distribution Network Operator (DNO) ....................................................................................................... 32
Independent Distribution Network Operators (IDNOs) ............................................................................ 32
Transmission Owner (TO) .......................................................................................................................... 32
Private Networks ......................................................................................................................................... 32
Suppliers ...................................................................................................................................................... 33
Aggregators ................................................................................................................................................. 33
Energy Service Company (ESCO) ............................................................................................................. 33
Generators ................................................................................................................................................... 33
To identify your DNO or IDNO: ................................................................................................................... 33
National Grid Electricity System Operator (NGESO) ............................................................................... 35
Balancing Settlement Code company ....................................................................................................... 35
Regulator ...................................................................................................................................................... 35
European organisations ............................................................................................................................. 35

Network Innovation and Industry Developments ............................................. 36

Innovation Funding ..................................................................................................................................... 36
Electricity Network Innovation Strategy ................................................................................................... 36
Transmission and Distribution Interfaces ................................................................................................ 36

ENA Open Networks ....................................................................................... 36

Network Operation ...................................................................................................................................... 37
Market Development ................................................................................................................................... 37
Planning and Network Development ......................................................................................................... 37

New technologies ............................................................................................ 37

Where to Find More Information ...................................................................... 38

Section 2: The Role of Distributed Generation ................................................ 39

Introduction ..................................................................................................... 39
What is driving Distributed Generation? .......................................................... 39
Environmental Concerns ............................................................................................................................ 39

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Technological Innovation ........................................................................................................................... 39

Government Policy ...................................................................................................................................... 39
Security of Supply ....................................................................................................................................... 40

Benefits of Distributed Generation................................................................... 40

Impacts of Distributed Generation ................................................................... 41
Where to Find More Information ...................................................................... 41

Section 3: Distribution Generation Connection Process .................................. 43

Section 3.1: G98 Single Premises, An Overview of Getting Connected .......... 43

Introduction ..................................................................................................... 43
Getting Connected – Main Tasks .................................................................... 44
Finding an Installer...................................................................................................................................... 44
Installation and Commissioning ................................................................................................................ 44
Informing the DNO ....................................................................................................................................... 44
Ongoing Responsibilities ........................................................................................................................... 44

Getting Connected – IDNO’s Networks ........................................................... 45

Section 3.2: G98 Multiple Premises, An Overview of Getting Connected ........ 46

Introduction ..................................................................................................... 46
Getting Connected – Main Tasks .................................................................... 47
Finding an Installer...................................................................................................................................... 47
Discussions with the DNO .......................................................................................................................... 47
Submitting an Application Form ................................................................................................................ 47
Application Acceptance .............................................................................................................................. 47
Installation and Commissioning ................................................................................................................ 48
Informing the DNO ....................................................................................................................................... 48
Ongoing responsibilities ............................................................................................................................ 48

Getting Connected – IDNO’s Networks ........................................................... 48

Customer Service and Provision of Information............................................... 49
Price Control Proposals (RIIO-ED2) .......................................................................................................... 49
Guaranteed Standards of Performance .................................................................................................... 49

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DER Technical Forum ................................................................................................................................. 49

Improvements made to DNO Services ...................................................................................................... 49

Section 3.3: G99 Type A & Type B-D Power Generating Modules .................. 51
This section provides: ..................................................................................... 51
Types of Power Generating Module ................................................................ 51
Power Park Modules and Synchronous Power Generating Modules .................................................... 51

New and Existing Generation .......................................................................... 53

Power Park Modules ................................................................................................................................... 53
Synchronous Power Generating Modules ................................................................................................ 53
All Power Generating Modules .................................................................................................................. 53
The Connection Point and Interface Protection ....................................................................................... 53

Customer Service and Provision of Information............................................... 53

Price Control Proposals (RIIO-ED2) .......................................................................................................... 53
Guaranteed Standards of Performance .................................................................................................... 53
DER Technical Forum ................................................................................................................................. 54
Improvements made to DNO Services ...................................................................................................... 54
The Distribution Code ................................................................................................................................. 54

Section 3.4: G99 Type A, An Overview of Getting Connected ......................... 55

Introduction ..................................................................................................... 55
Getting Connected – Main Tasks .................................................................... 57
Finding an Installer...................................................................................................................................... 57
Discussions with the DNO .......................................................................................................................... 57
Alternative Connections ............................................................................................................................. 57
Make Contact with the DNO ....................................................................................................................... 57
Feasibility Studies (Optional) ..................................................................................................................... 57
Decide who will Construct the Connection .............................................................................................. 57
Contestable and Non-contestable Work ................................................................................................... 58
Submitting an Application Form ................................................................................................................ 58
Application Acceptance .............................................................................................................................. 58
Enter into Agreements with the DNO ........................................................................................................ 58
Compliance .................................................................................................................................................. 59

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Manufacturers’ Information ........................................................................................................................ 59

Installation and Commissioning ................................................................................................................ 59
Informing the DNO ....................................................................................................................................... 59
Ensure the Commercial Arrangements are in Place ................................................................................ 60
Ongoing Responsibilities ........................................................................................................................... 60
Changes to your Power Generating Module ............................................................................................ 60
Management of DNO Connection Queues: ............................................................................................... 61

Getting Connected – IDNO’s Networks ........................................................... 61

Section 3.5: G99 Type B-D, An Overview of Getting Connected ..................... 62

Introduction ..................................................................................................... 62
Connection Process Overview ........................................................................ 62
Getting Connected – Project Planning Phase ................................................. 64
Identify your DNO (refer to Table 5)........................................................................................................... 64
Alternative Connections ............................................................................................................................. 64
Make contact with the DNO ........................................................................................................................ 64
Feasibility Studies (Optional) ..................................................................................................................... 64
Long Term Development Statement (LTDS) ............................................................................................. 64

Getting Connected - Information Phase .......................................................... 65

Initial Meeting and Communication with DNO ......................................................................................... 65
Decide who will Construct the Connection .............................................................................................. 65
Contestable and Non-contestable Work ................................................................................................... 65

Getting Connected – Design Phase ................................................................ 65

Submit a formal Connection Application .................................................................................................. 66
The Connection Offer .................................................................................................................................. 66
Dealing with Disputes ................................................................................................................................. 67
Formal Agreement ....................................................................................................................................... 67
Standard Licence Condition 15 (SLC15) ................................................................................................... 67
Section 16 of the Electricity Act ................................................................................................................. 67

Getting Connected – Construction Phase ....................................................... 69

Enter into Agreements with the DNO ........................................................................................................ 69
Submit a Draft PGMD .................................................................................................................................. 69
Management of DNO Connection Queues ................................................................................................ 69
Communicate with the DNO ....................................................................................................................... 69

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Obtain an EON and an ION ......................................................................................................................... 70

Focus on other Activities ........................................................................................................................... 70
Connection Agreements ............................................................................................................................. 70
Firm and Non-firm connections ................................................................................................................. 70

Getting Connected – Testing and Commissioning........................................... 71

Provide the DNO with Detailed Information .............................................................................................. 71
Careful Liaison with the DNO ..................................................................................................................... 71
Undertake Commissioning Tests .............................................................................................................. 71
Put Commercial Arrangements in Place ................................................................................................... 71

Getting Connected – Ongoing Responsibilities ............................................... 72

Adoption Agreements ................................................................................................................................. 72

Changes to your Power Generating Module .................................................... 72

Getting Connected – Medium and Large Stations ........................................... 73
Registered Capacity Definition .................................................................................................................. 74

Getting Connected – IDNO’s Networks ........................................................... 74

Section 3.6: G98 & G99, Additional Information .............................................. 76

This section provides: ..................................................................................... 76
Getting Connected – Electricity Storage .......................................................... 76
Electricity Storage Operation ..................................................................................................................... 76

Getting Connected – EREC G98 and EREC G99 Exceptions ......................... 77

EREC G98 Exceptions................................................................................................................................. 77

Getting Connected .......................................................................................... 77

Supply Issues .............................................................................................................................................. 77
Health and Safety Considerations ............................................................................................................. 77

Getting Connected – Vehicle to Grid ............................................................... 77

Where to Find More Information ...................................................................... 78

Section 4: The Connection Application Process .............................................. 80

Section 4.1: G98 Single Premises, The Connection Application Process ........ 80
Introduction ..................................................................................................... 80

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The Installation Document............................................................................... 80

Other Requirements ........................................................................................ 80

Section 4.2: G98 Multiple Premises, The Connection Application Process ..... 81
Introduction ..................................................................................................... 81
The Connection Application Form ................................................................... 81
Installation and Commissioning ....................................................................... 81
The Installation Document............................................................................... 81
Other Requirements ........................................................................................ 82

Section 4.3: G98 Single & Multiple Premises, Additional Information on

Compliance ................................................... 83
Getting Connected – Guidance on Compliance............................................... 83
ENA Type Test Register .............................................................................................................................. 83
Common Errors on EREC G98 Form C (Type Test Verification Report) ............................................... 83

Section 4.4: G99 Type A, The Connection Application Process ...................... 85

Introduction ..................................................................................................... 85
The Standard Application Form ....................................................................... 85
The Connection Offer ...................................................................................... 86
Flexible Connection Offers ......................................................................................................................... 86
Reactive Power Import / Export ................................................................................................................. 87

Compliance Forms .......................................................................................... 87

The Installation Document............................................................................... 87
Other Requirements ........................................................................................ 88

Section 4.5: G99 Type A, Additional Information ............................................. 89

Getting Connected – Guidance on Compliance............................................... 89
ENA Type Test Register .............................................................................................................................. 89
Common errors on forms ........................................................................................................................... 89

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Type Test Options ....................................................................................................................................... 90

Power Quality Assessments ...................................................................................................................... 91

Section 4.6: G99 Type B-D, The Connection Application Process .................. 92
Introduction ..................................................................................................... 92
The Connection Application Timeline .............................................................. 92
Notes on the Indicative Timeline: .............................................................................................................. 93

Initial Discussions with the DNO...................................................................... 94

Information about the Network ........................................................................ 94
The Standard Application Form ....................................................................... 94
Network Studies .............................................................................................. 95
How quickly must the DNO give me a Connection Offer? ...................................................................... 96

The Connection Offer ...................................................................................... 96

Wayleaves for New Connections..................................................................... 96
Connection Conditions .................................................................................... 97
Flexible Connection Offers ......................................................................................................................... 97
Reactive Power Import / Export ................................................................................................................. 97

Interactive Connection Applications ................................................................ 98

Accepting a Connection Offer ......................................................................... 98
For more information about Connection Offers and Interactive Applications ..................................... 98

EREC G99 Additional Forms ........................................................................... 98

Simulation Studies ...................................................................................................................................... 99
Site Compliance and Commissioning Tests ............................................................................................ 99
Installation and Commissioning Confirmation ........................................................................................ 99

EREC G99 Notifications .................................................................................. 99

Power Generating Module Types B and C .............................................................................................. 100
Power Generating Module Type D ........................................................................................................... 100

Section 4.7: G99 Type B-D, The Connection Application Process – Generation
Licensing ................................................. 101
Introduction ................................................................................................... 101

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Who Requires a Generation Licence? ........................................................... 101

Requirements for a Generation Licence ........................................................ 102
Applying for a Generation Licence ................................................................ 102
National Grid Electricity System Operator Interfaces ..................................... 102
Definition of a Large Power Stations ....................................................................................................... 103
More information about Transmission Charges .................................................................................... 104

Evaluation of Transmission Impact Assessment Process .............................. 104

Where to Find More Information .................................................................... 104
Getting Connected – Guidance on Compliance............................................. 104
PGMD Iterations ......................................................................................................................................... 104
Compliance Studies .................................................................................................................................. 105

Reactive Capability across Voltage Range .................................................... 106

Fault Ride Through and Fast Fault Current Capability .......................................................................... 107
Frequency Studies .................................................................................................................................... 108
Validation Studies ..................................................................................................................................... 109
Providing Simulation Models ................................................................................................................... 109

Section 5: Costs and Charges ................................................. 110

Section 5.1: G98 Single Premises, Costs and Charges................................. 110

Use of System Charges ................................................................................ 110
What are Use of System Charges? .......................................................................................................... 110
Categories of Use of System Charges .................................................................................................... 110
Non-Half Hourly Meters (NHH) ................................................................................................................. 111

Section 5.2: G98 Multiple Premises , Costs and Charges ............................. 112
Introduction ................................................................................................... 112
Connection Charges ..................................................................................... 112
Connection Charges – Other Elements ......................................................... 113
Elements of Charges ................................................................................................................................. 113
Indicative Costs and Examples ................................................................................................................ 113
Estimating Costs and Getting a Quotation ............................................................................................. 113

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Payment of Connection Charges ............................................................................................................. 113

Charging Futures Forum .......................................................................................................................... 114
What is a Budget Estimate? ..................................................................................................................... 114
Connection Offer expenses (Assessment and Design fees) ................................................................ 114

Use of System Charges ................................................................................ 114

What are Use of System Charges? .......................................................................................................... 114
Categories of Use of System Charges .................................................................................................... 115
Non-Half Hourly Meters (NHH) ................................................................................................................. 115

Section 5.3: G99 Type A, Costs and Charges ............................................... 116

Introduction ................................................................................................... 116
Connection Charges – Infrastructure ............................................................. 116
Connection Charges – Other Elements ......................................................... 117
Elements of Charges ................................................................................................................................. 117
Indicative Costs and Examples ................................................................................................................ 117
Estimating Costs and Getting a Quotation ............................................................................................. 118
Payment of Connection Charges ............................................................................................................. 118
Charging Futures Forum .......................................................................................................................... 118
What is a Budget Estimate? ..................................................................................................................... 119
Connection Offer expenses (Assessment and Design fees) ................................................................ 119

Use of System Charges ................................................................................ 119

Definitions of LV, HV and EHV: ................................................................................................................ 120

Metering Requirements, Parties and Charges ............................................... 120

Metering requirements .............................................................................................................................. 120
Charges ...................................................................................................................................................... 121
Half Hourly (HH) meters and Non-Half Hourly (NHH) meters ................................................................ 121

Section 5.4: G99 Type B-D, Costs and Charges ........................................... 122
Introduction ................................................................................................... 122
Connection Charges – Infrastructure ............................................................. 122
Connection Charges – Other Elements ......................................................... 123
Elements of Charges ................................................................................................................................. 123
Indicative Costs and Examples ................................................................................................................ 124

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Connection Offer expenses (Assessment and Design fees) ................................................................ 124

Estimating Costs and Getting a Quotation ............................................................................................. 125
Payment of Connection Charges ............................................................................................................. 125
What is a Budget Estimate? ..................................................................................................................... 125

Transmission Connection Charges ............................................................... 126

Fault Level .................................................................................................................................................. 126
Statement of Works Process .................................................................................................................... 126
Transmission Impact Assessment (TIA) ................................................................................................. 127
Financial liabilities associated with Transmission Works .................................................................... 127

Where to Find More Information .................................................................... 127

Ongoing Charges .......................................................................................... 128
Generation Distribution Use of System Charges ................................................................................... 128
Metering Requirements, Parties and Charges ....................................................................................... 129
Half Hourly (HH) meters and Non-Half Hourly (NHH) meters ................................................................ 129
Top-up and Standby Charges .................................................................................................................. 130
Charges Applied by NGESO ..................................................................................................................... 130

Section 5.5: G99 Type A & Type B-D, Costs and Charges ............................ 132
Changes to Use of System Charges ............................................................. 132
Ofgem Targeted Charging Review ........................................................................................................... 132
Embedded Benefits ................................................................................................................................... 134
Further Information ................................................................................................................................... 134

Section 6: Selling Electricity (Smart Export Guarantee)................................. 135

Section 6.1: G98 & G99, Selling Electricity (Smart Export Guarantee ) ......... 135
Introduction ................................................................................................... 135
Tariff Structure .............................................................................................. 135
FIT Scheme – Generation and Export Tariff ........................................................................................... 136
Metering Requirements............................................................................................................................. 136

Eligibility and Accreditation............................................................................ 136

Accreditation Steps:.................................................................................................................................. 136
Microgeneration Certification Scheme (MCS) ........................................................................................ 137

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Where to Find More Information .................................................................... 137

Section 6.2: G99, Contracts for Difference ................................................. 139

Introduction ................................................................................................... 139
Contracts for Difference (CFD) ...................................................................... 139
Introduction ................................................................................................................................................ 139
Parties Involved ......................................................................................................................................... 139
Eligibility ..................................................................................................................................................... 140
CFD Allocation ........................................................................................................................................... 140

Renewables Obligation ................................................................................. 140

Where to Find More Information .................................................................... 140

Section 7: G99 Type B-D, Technical and Commercial Interfaces .................. 141
Introduction ................................................................................................... 141
DNO Provided Connection ....................................................................................................................... 141
ICP Provided Connections ....................................................................................................................... 141
Competition in Connection (CiC) Code of Practice (CoP) ..................................................................... 141

Contestable and Non-contestable Work ........................................................ 142

National Electricity Registration Scheme ....................................................... 143
Practicalities of ICP Connections .................................................................. 143
Contracts and Agreements............................................................................ 144
Introduction ................................................................................................................................................ 144
Connection Agreement ............................................................................................................................. 144
Adoption Agreements ............................................................................................................................... 144
Agreements with Other Parties ................................................................................................................ 145
Agreements at a glance ............................................................................................................................ 145

Operational Issues ........................................................................................ 145

Introduction ................................................................................................................................................ 145
Distribution Operating Code .................................................................................................................... 146
DNO Control Schemes .............................................................................................................................. 147

Glossary of Terms ................................................. 149

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Appendix A ................................................. 151

Examples showing the process for inverter sizing and determining registered
capacity ......................................................................................................... 151
Example 1 ................................................................................................................................................... 151
Example 2: .................................................................................................................................................. 152
Example 3: .................................................................................................................................................. 153

Installer Guidance ......................................................................................... 153

² Classified as Confidential / Internal is optional to include in the footer. Just delete this part of the footer if you don’t need to classify the
document. Or you can update it as necessary.

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Energy Networks Association Introduction

About ENA
The Energy Networks Association (ENA) represents the companies which operate the electricity wires, gas
pipes and energy system in the UK and Ireland.
We help our members meet the challenge of delivering electricity and gas to communities across the UK and
Ireland safely, sustainably and reliably, as summarised below, by:
• Creating smart grids, ensuring our networks are prepared for more renewable generation than ever
before, decentralised sources of energy, more electric vehicles and heat pumps. Learn more about
our Open Networks programme.
• Creating the world's first zero-carbon gas grid, by speeding up the switch from natural gas to hydrogen.
Learn more about our Gas Goes Green programme.
• Innovating. We're supporting over £450m of innovation investment to support customers, connections
and more.
• Facilitating safety. We bring our industry together to improve safety and reduce workforce and public
injury.
• Helping member companies manage their networks. We support our members manage, create and
maintain a vast array of electricity codes, standards and regulations which supports the day-to-day
operation of our energy networks.
The energy networks are keeping your energy flowing, supporting our economy through jobs and investment
and preparing for a net zero future.

Our members and associates

Our members include every major electricity and gas network operator in the UK and Ireland, independent
operators, National Grid ESO which operates the electricity system in Great Britain and National Grid which
operates the gas system in Great Britain. Our affiliate membership also includes companies with an interest in
energy, including Heathrow Airport and Network Rail.

ENA members

ENA associates
• Chubu • Heathrow Airport • Network Rail
• EEA • Jersey Electricity • TEPCO
• Guernsey Electricity Ltd • Manx Electricity Authority

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An Introduction to the Distributed Generation Guides

Who is this Guide for?
This Guide is intended to help you, as a developer or prospective owner of Distributed Generation, to connect
your generation to a distribution system in Great Britain (GB). It may also be useful for installers or
manufacturers of Distributed Generation equipment.
The types of generation that most frequently connect to the distribution system include:
• renewable energy projects;
• waste to energy projects;
• energy storage projects (e.g. batteries); and
• on-site generation and Combined Heat and Power (CHP) projects.

What is the aim of the Guide?

The main aim of the Guide is to provide a ‘route map’ of the processes for getting generation connected to the
distribution system. The Guide provides an overview of the connection process, as well as details on the
application stage.
The connection process involves discussions and agreements between you and your Distribution Network
Operator (DNO). Note that the term ‘DNO’ as used in this guide refers to both DNO and IDNO companies. This
connection process is more likely to be successful if you and the DNO can communicate effectively and
understand each other’s concerns. So, in addition to its main aim of providing a ‘route map’ of the connection
process, the Guide has a number of other aims:
• to provide background information about the GB power sector and the role Distributed Generation has to
play;
• to describe the main factors affecting connection costs and ongoing charges;
• to highlight your options relating to your connection works, identify different contracts relating to your
connection and discuss some day-to-day operational issues; and
• to describe two key financial incentives for Distributed Generation: Smart Export Guarantee (SEG) and
Contracts for Difference (CFD).

What is not covered in the Guide?

In addition to arranging a connection to the network, you will also have other issues to address to get your
project up and running. These include:
• Designing, installing and operating the generation installation;
• Buying and selling electricity (beyond SEGs and CFDs);
• Planning the project;
• Financing the project; and
• Resolving local planning issues.
These issues are outside the scope of this Guide, but you will need to know about these issues and progress
them in parallel with the connection process.
This document covers the process for connecting generation to the distribution system in GB. Northern Ireland
has different connection arrangements, for example different versions of Engineering Recommendations G98
and G99 are in use there. For more information, refer to the Northern Ireland Electricity website:
https://www.nienetworks.co.uk/home

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The format of the guide

This Guide has been written and formatted with you, the reader, in mind. We think this Guide will be useful for
customers who already have generation, installers of generation equipment and developers of generation
projects. We have tried to make this Guide as clear and easy to read as we can, bearing in mind that some of
the issues discussed are technical and complex. In particular:
• Terms which may be unfamiliar are defined or explained in boxes around the main text;
• Key points and summaries are highlighted;
• Text is emboldened for emphasis;
• Where necessary the Guide distinguishes between the arrangements that apply in Scotland and those
which apply in England and Wales. This is indicated with a Scottish flag; and
• At the end of most sections there is a pointer on where to find more information.
Though this Guide is intended for the general public and it should not require the reader to have specific
technical knowledge or be familiar with the energy industry, please be aware that the topics covered here are
technical and complex. Where possible, terms that may be unfamiliar are explained.

Governance of the guide

This Guide is a Distribution Code Review Panel (DCRP) document. The DCRP will update the Guide using
similar processes it has for updating other distribution related documents.
There are many areas of regulation and legislation relating to Distributed Generation which are evolving and a
number of issues are under consultation. The Guide has tried to capture the most up to date position at the time
of writing. However, for the most up to date information you should refer to key documents and organisation
websites. Please see the reference section for more information.

Governance of related codes and documents

Many of the codes and other documents described in this guide are governed in such a way that any interested
and materially affected party can propose a change to them. This includes the connection and use of system
charging arrangements (for both distribution and transmission charges) which are set out in the DCUSA and
CUSC respectively and technical aspects that are set out in the Distribution Code and the Grid Code. There are
also groups with Distributed Generation community and DNO representation where issues can be raised and
discussed which may lead to changes being proposed.
A group that discusses commercial and procedural issues associated with connection is the Distributed Energy
Resource Technical Forum (DER Technical Forum). Any issues you have for this Forum should be raised
through trade associations who are represented. Please note that practices between DNOs may be different;
for example, where the connection requirements are location-specific or the connection risks and the network
characteristics are different.
The process of connecting Distributed Generation to the distribution system varies depending on the size of the
generation to be connected, and the specific technology to be used. In general, the larger the generation
capacity, the more complex the process.
The Engineering Recommendations that cover the connection of Distributed Generation to the distribution
system are: EREC G98 (for smaller generation capacities less than 16A per phase) and EREC G99 (for all
other projects). These are described further in the information boxes on the following pages.
Previously there were separate versions of the Guides. These separate versions have now been combined into
this single document which contains information applicable to all sizes of generation projects, including:
• EREC G98 compliant units in a single premises;
• EREC G98 compliant units in multiple premises within a close geographic region;
• EREC G99 Type A Power Generating Module projects; and

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• EREC G99 Type B-D Power Generating Module projects.

Table 1 of this Guide includes a ‘quick check’ to help you find the right sections of this guide for your project.
Where you are installing multiple asynchronous or inverter connected generating units, the application process
(as described in EREC G98 or EREC G99) is based on the total installed capacity of all the generating units.
Where you are installing synchronous Power Generating Modules, the application process (as described in
EREC G98 or EREC G99) is based on the capacity of each generating unit.
If you are adding new generating units to an existing installation, refer to the guidance on page 51: New and
Existing Generation.
Table 1 includes a summary of the criteria for different types of projects that sit under G98 or G99.
Table 2 and Table 3 provides a summary of the relevant section for EREC G98 and G99 users.
Table 1: Table summarising the criteria for different types of projects

Project Type Criteria

Installation of one or more

Connecting Distributed EREC G98 compliant Distributed Generation is compliant with
Generation that falls under Generating Units at a single EREC G98 if:
EREC G98 in a single premises with and combined • It meets the size definition of
premises Registered Capacity no higher Micro-generator.
than 16A per phase, i.e • It is installed in accordance with
11.04kW three phase or EREC G98. Your installer should
3.68kW single phase. be familiar with these
Installation of Generating requirements; and
Connecting Distributed
Generation that falls
Units at multiple premises, • It has been tested and approved
where each premises according to the relevant Type
under EREC G98 in includes one or more EREC
multiple premises Testing Annex in EREC G98.
G98 compliant Generating
Units with a combined
Registered Capacity no
higher than 16A per phase,
i.e 11.04kW three phase or
3.68kW single phase.

Installation of one or more Generating Units at a single premises where:

Connecting Type A
Power Generating • The registered capacity of each Power Generating Module is
Modules under EREC >16 A/phase, but less than 1 MW; and
G99 • The Connection Point is below 110 kV (in practice in GB this is at 66
kV or below).

Connecting Type B— Installation of one or more Generating Units at a single premises where
D Power Generating the registered capacity of each Power Generating Module is at or above 1
Modules under EREC MW, or for any generation connected at or above 110 kV (in practice in
G99 GB this is at 132 kV or above).

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Table 2: Table showing the section of this Guide relevant for projects of different sizes

Section in this Guide

Project 1 & 2: Power 3: Connection Process 4: The Connection 5: Cost of Charges 6: Selling 7: Technical
Type Network Application Process Electricity and
Background Commercial
Interfaces

G98
3.1 4.1 5.1
Single
4.3
G98
3.2 4.2 5.2
Multiple

G99 1&2 3.6 6.1

3.4 4.4 4.5 5.3
Type A
3.3
G99 5.5 6.2
Type B- 3.5 4.6 4.7 5.4 7
D

Table 3: Table showing the contents of each section of this Guide and the types of projects they are applicable to

Section: Contents: Applicable Project Types:

1 A Guide to the GB Power Sector All

2 The Role of Distributed Generation All

Section 3.1 – Introduction G98 Single Premises

An Overview of
Getting Connected – Main Tasks
Getting
Connected Getting Connected – IDNO’s Networks

Section 3.2 – Introduction G98 Multiple Premises

An Overview of
Getting Connected – Main Tasks
Getting
Connected Getting Connected – IDNO’s Networks

Customer Service and Provision of Information

Section 3.3 – Types of Power Generating Module G99 Type A & G99 Type B-D
An Overview of
New and Existing Generation
Getting
Connected Customer Service and Provision of Information

Section 3.4 – Introduction G99 Type A

An Overview of
Getting Connected – Main Tasks
Getting
Connected Getting Connected – IDNO’s Networks

Section 3.5 – Introduction G99 Type B-D

An Overview of
Connection Process Overview
Getting
Connected Getting Connected – Project Planning Phase

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Section: Contents: Applicable Project Types:

Getting Connected – Information Phase

Getting Connected – Design Phase

Getting Connected – Construction Phase

Getting Connected – Testing and

Commissioning

Getting Connected – Ongoing Responsibilities

Changes to your Power Generating Module

Getting Connected – Medium and Large Stations

Getting Connected – IDNO’s Networks

Section 3.6: Getting Connected – Energy Storage G98 and G99 Additional Information.
G98 and G99,
Getting Connected – EREC G98 and ERC G99
Additional
Exceptions
Information
Getting Connected – Vehicle to Grid

Where to Find More Information

Section 4.1: Introduction G98 Single Premises

G98 Single
The Installation Document
Premises, The
Connection Other Requirements
Application
Process
Section 4.2: Introduction G98 Multiple Premises
G98 Multiple
The Connection Application Form
Premises, The
Connection Installation and Commissioning
Application
Process The Installation Document

Other Requirements

Section 4.3: Getting Connected – Guidance on Compliance G98 Single & Multiple Premises
G98 Single &
Multiple
Premises,
Additional
Information on
Compliance
Section 4.4: Introduction G99 Type A
G99 Type A,
The Standard Application Form
The
Connection The Connection Offer

Connection Conditions

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Section: Contents: Applicable Project Types:

Application Compliance Forms
Process
The Installation Document

Other Requirements

Section 4.5: Getting Connected – Guidance on Compliance G99 Type A

G99 Type A,
Additional
Information
Section 4.6: Introduction G99 Types B-D
G99 Type B-D,
The Connection Application Timeline
The
Connection Initial Discussions with the DNO
Application
Process Information about the Network

The Standard Application Form

Network Studies

The Connection Offer

Wayleaves for New Connections

Connection Conditions

Interactive Connection Applications

Accepting a Connection Offer

EREC G99 Additional Forms

EREC G99 Notifications

Section 4.7: Introduction G99 Types B-D

G99 Type B-D
Who Requires a Generation Licence?
– Generation
Licensing Requirements for a Generation Licence

Applying for a Generation Licence

National Grid Interfaces

Statement of Works Process

Where to Find More Information

Getting Connected – Guidance on Compliance

Reactive Capability across Voltage Range

Section 5.1: Use of System Charges G98 Single Premises

G98 Single
Premises,
Costs and
Charges

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Section: Contents: Applicable Project Types:

Section 5.2: Introduction G98 Multiple Premises
G98 Multiple
Connection Charges
Premises,
Costs and Connection – Other Elements
Charges
Use of System Charges

Section 5.3: Introduction G99 Type A

G99 Type A,
Connection Charges - Infrastructure
Costs and
Charges Connection Charges – Other Elements

Use of System Charges

Metering Requirements, Parties and Charges

Section 5.4: Introduction G99 Types B-D

G99 Type B-D,
Connection Charges - Infrastructure
Costs and
Charges Connection Charges – Other Elements

Transmission Connection Charges

Where to Find More Information

Ongoing Charges - Introduction

Generation Distribution Use of System Charges

Metering Requirements, Parties and Charges

Top-up and Standby Charges

Charges Applied by NGESO

Section 5.5: Changes to Use of System Charges G99 Type A & G99 Type B-D
G99 Type A &
Type B-D,
Costs and
Charges
Section 6.1 Introduction All
Selling
Tariff Structure
Electricity
Eligibility and Accreditation

Where to Find More Information

Section 6.2: Introduction G99 Type A & G99 Types B-D

Contracts for
Contracts for Difference (CFD
Difference
Renewables Obligation

Where to Find More Information

Introduction G99 Types B-D

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Section: Contents: Applicable Project Types:

Section 7: Contestable and Non-contestable Work
Technical and
National Electricity Registration Scheme
commercial
Interfaces Practicalities of ICP Connections

Contracts and Agreements - Introduction

Connection Agreements

Adoption Agreements

Agreements with Other Parties

Agreements at a glance

Operational Issues - Introduction

Distribution Operating Code

DNO Control Scheme

Additional information
The following information boxes provide useful information to relating to the content in this document.

Engineering Recommendation G98

EREC G98 is called “Requirements for the connection of Fully Type Tested Micro-generators (up to and
including 16 A per phase) in parallel with public Low Voltage Distribution Networks”. It sets out the requirements
you must meet before your Micro-generator can be connected to the network. The capacity threshold refers to
the aggregate generating capacity installed in a single premises. EREC G98 is available on the Distribution
Code website.
The document is aimed at the manufacturers and installers of your Micro-generator.

Engineering Recommendation G99

EREC G99 is called “Requirements for the connection of generation equipment in parallel with public
distribution systems”. The purpose of the document is to provide guidance to you and to DNOs on all aspects of
the connection process. It contains a glossary of items and diagrams of Power Generating Module types and
categorisation, which you may find helpful. EREC G99 is available on the Distribution Code website.

Micro-generator
A Micro-generator is defined in EREC G98 as “A source of electrical energy and all associated interface
equipment able to be connected to an electric circuit in a Low Voltage electrical installation and designed to
operate in parallel with a public Low Voltage Distribution Network with nominal currents up to and including 16A
per phase. For the avoidance of doubt this includes electricity storage devices”.
16 A per phase corresponds to 3.68 kW on a single-phase supply and 11.04 kW on a three-phase supply and
refers to the aggregate Micro-generator capacity installed in a single premises.

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Close Geographic Region

Close Geographic Region is defined in EREC G98. Typically, a Close Geographic Region is one which is fed by
the same part of the distribution system, from a single feeder or distribution transformer. Your DNO will be able
to advise you if your Micro-generators are within a close geographic region. A general rule of thumb is that if
your Micro-generators are within 500 metres of each other, or if the post codes are the same at least up until
the last two letters, then they are likely to be within a Close Geographic Region.

Inverters
An inverter is an electrical device that converts Direct Current (DC) to Alternating Current (AC). An inverter is
required if you want to connect a generating unit with a DC output (eg. A Photovoltaic array) to the distribution
system, which operates at AC. The term Micro-Inverter is used to describe inverters which are connected to
(one or more) small generating units, such as individual PV panels. This is often done so that if one PV panel is
impaired for any reason, then the output of the others is not affected.

Type tested equipment

Type tested equipment is defined in EREC G99 as “A product which has been tested to ensure that the design
meets the relevant requirements of this EREC G99, and for which the Manufacturer has declared that all similar
products supplied will be constructed to the same standards and will have the same performance”.
Examples of products which could be type tested include generating units, inverters and the interface
protection. Using type tested equipment simplifies the connection and commissioning process. Annexes in
EREC G98 and EREC G99 contain methodologies for testing equipment against a set of test conditions to
demonstrate compliance. If a manufacturer follows these methodologies they may produce a Type Test
Verification Report to demonstrate compliance. Where the whole Micro-generator or Power Generating Module
is Type Tested (rather than just part of it, it is considered to be Fully Type Tested. All Micro-generators
connecting under EREC G98 must be Fully Type Tested. The Fully Type Tested concept also applies in EREC
G99.
The ENA hosts an online Type Test Verification Report Register. This register is provided to allow anyone
access to the Type Test Verification reports for products relating to electricity generation that may be connected
to the distribution system in the UK. You can access the online register at: https://www.ena-eng.org/gen-
ttr/UserGuide/G98_G99_Guidance_Forms.pdf
The product manufacturer is responsible for uploading and maintaining data and documentation relating to their
products. The ENA reviews the data that is submitted and raising any queries with manufacturers. Further
information about the review can be found at:https://www.ena-eng.org/gen-
ttr/UserGuide/G98_G99_Guidance_Forms.pdf
It should be noted that it is the owner of generation equipment who is responsible for procuring and installing
compliant equipment.

Cyber Security
The design and operation of your generating unit, the Power Generating Facility and any associated equipment
should comply with current cyber security requirements. Documents that you should consider are detailed in
EREC G98 and EREC G99 as well as the Reference Section of this Guide.

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Equipment Certification
Potential Equipment Certificate providers and manufacturers are investigating formal equipment certification
arrangements. The ENA is supporting these developments as appropriate.

Emerging Technology
EREC G98 and EREC G99 have a relaxed set of requirements for generation that is classified as an Emerging
Technology. The Emerging Technology status only applies to Type A Power Generating Modules, which have a
generating capacity of 0.8 kW to 1 MW and are connected at less than 110 kV (in practice in GB that is at 66 kV
or below). The Emerging Technologies are:
• Baxi Ecogen’ generators (the specific products are the Baxi Ecogen 24/1.0, Baxi Ecogen 24/1.0 LPG and
Baxi Ecogen System);
• KD Navien stirling engine m-CHP (Hybrigen SE) (the specific products are the ‘NCM- 1130HH – 1 KWel’
and the ‘NCM-2030HH – 2 kWel’);
• Pellematic Smart_e; and
• Dachs Stirling SE Erdgas and Dachs Stilring SE Flussiggas

Requirements for Generators (RfG) Types A to D

The European Network Requirements for Generators (RfG) introduced the classification of Power Generating
Modules by Types. There are four types, A to D, and they relate to the registered capacity and connection
voltage of the Power Generating Module. In GB, the Types are:
• Type A: Registered capacity from 0.8 kW to < 1 MW and connected at < 110 kV;
• Type B: Registered capacity from 1 MW to < 10 MW and connected at < 110 kV;
• Type C: Registered capacity from 10 MW to < 50 MW and connected at < 110 kV; and
• Type D: Registered capacity ≥ 50 MW or connected at ≥ 110 kV.
Note that in different European countries, the capacity and voltage thresholds for the Types may differ.
The technical requirements in RfG are less onerous for smaller Power Generating Modules, and they increase
cumulatively for the larger Power Generating Modules, for example a Type B Power Generating Module must
meet the requirements for Type A and Type B. Some requirements are common across all European countries.
However, some requirements have country-specific parameters, which have been set by national network
operators. That means that some of the parameters in GB are different in Northern Ireland, and other European
countries. For more information on RfG, refer to the ‘Current Regulations’ section below.

Current Regulations
Requirements for Generators
The European Third Energy Package was adopted in July 2009 and has been law since March 2011. The Third
Energy Package refers to a suite of legislation for both Electricity and Gas. It had three key objectives:

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1. Enhancing sustainability and helping the European Union meet its decarbonisation obligations;
2. Ensuring security of supply in light of a changing generation mix; and
3. Creating a single European Market for Electricity.
The Third Energy Package required the development of European Network Codes. The Network Codes cover
three areas: grid connection codes; market codes and system operation codes. One of the grid connection
codes is called Requirements for Generators (RfG). The RfG sets out requirements which new generators need
to meet.
The RfG, which became a binding EU regulation in May 2016, is available on the EUR-Lex website. A number
of the European Network Codes, including the RfG fall under the category of retained EU law and thus remain
applicable to the UK following the UK’s withdrawal from the European Union.
A joint Distribution Code Review Panel (DCRP) and Grid Code Review Panel (GCRP) workgroup was charged
with implementing the Requirements for Generators code in GB. This included setting parameters that the RfG
leaves to national interpretation. The workgroup proposed changes to the Grid Code, Distribution Code and
supporting Engineering Recommendations. The revised documents were consulted upon with stakeholders by
the GCRP and the DCRP.

Drivers for the Requirements for Generators

The EU Network Codes aim to harmonise technical and market rules to help to minimise barriers to energy
trading. They also aim to prevent wide-scale technical events, and to help to recover the electricity system if
there is such an event in the future. There has been a huge increase in the amount of generation connected to
the distribution system in GB and across Europe. It has been recognised that Distributed Generation can and
needs to do more to provide support to the power system, so that Distributed Generation supports system
frequency, remains connected if possible and rides through faults – rather than tripping off and potentially
exacerbating any problems.
The Requirements for Generators contains technical requirements, which have been incorporated into EREC
G98 and EREC G99, so that generating units can provide such system support. For example, there are
requirements for:
• All Type B, C and D Power Generating Modules to stay connected to the distribution system when there is
a fault on the transmission system;
• Type B, C and D inverter connected Power Generating Modules (eg solar PV, battery storage, wind
turbines) to provide support in the event of a network fault, using a technique called Fast Fault Current
Injection (the design of synchronous machines means they inherently provide support during faults);
• All Power Generating Modules to provide support in the event of a high frequency event (Limited Frequency
Sensitive Mode – Over frequency); and
• Type C and D Power Generating Modules to provide support for low frequency events (Limited Frequency
Sensitive Mode – Underfrequency).
These requirements have been introduced so that generation of all sizes can help to provide system support.
The rules apply to all generation whether connected to the transmission system or the distribution system, not
just to Distributed Generation.

Electricity Storage
Electricity Storage is classed in GB law as being a form of generation. The technical and compliance
requirements for storage were revised in EREC G98 and EREC G99 to be in line with other types of generating
units and came into effect from September 2022. In the future, there is likely to be a new requirement for
Electricity Storage devices operating in import mode to switch to export mode if the grid frequency falls below a
defined threshold. The details surrounding these requirements are being considered by an industry working
group and are not yet mandatory.

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New Approach to Connections

In response to the need to improve and accelerate customer connections the ENA, through their Strategic
Connections Group, has announced an Action Plan describing the required changes needed to improve
connections to the distribution system.
The Action Plan contains six steps to improve grid connections for customers. These are as follows:
• Strengthen and tighten the application process;
• Release up to 90GW of capacity by cleaning up the queue and actively managing a “first ready, first-
connected” process;
• Accelerate up to 70GW of applications by allowing some applicants to connect faster, before network
reinforcements are completed;
• Release nearly 3GW of capacity by treating storage differently;
• Release 46GW of capacity by making network planning processes more coordinated and realistic; and
• Further improve coordination between transmission and distribution operators.
This comes following National Grid Electricity System Operator’s (NGESO) 5-point plan to improve connection
timelines into the transmission system and manage the queue.
More information on the ENA’s plan can be found in their Action Plan Report.
In addition to the above, the ENA has published their Connect Drive approach, a faster, more accurate, online
platform, designed to significantly reduce installation application time and provide an almost instant approval
mechanism. For more information on the change visit the ENA website.

Key terms in EREC G98 and EREC G99

The key terms are summarised on this page, and some are explained further in break out boxes throughout the
document or in the main text. Terms that are particularly relevant for EREC G98 are indicated with a *.
Table 4: Shows the key terms and their definitions.

Fully Type Tested* The whole Micro-generator / Power Generating Module is type tested, rather than just part of
the Micro-generator / Power Generating Module.

Micro-generator* A source of electrical energy and all associated interface equipment connected at Low
Voltage to the distribution system, with nominal currents up to and including 16 A per
phase.

Micro-generating An electrical installation with one or more Micro-generators with nominal currents in sum not
Plant* exceeding 16 A per phase.

Generating Unit Any apparatus that produces electricity.

Power Generating Either a Synchronous Power Generating Module (SPGM) or a Power Park Module (PPM) - see
Module (PGM) below.

Synchronous An indivisible set of Generating Units—ie one or more units which cannot operate
Power Generating independently of each other—which generate electrical energy in synchronism.
Module (SPGM)

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Power Park Generating Units that are connected to the network either through power electronics (eg solar
Module (PPM) PV or electricity storage devices connected through an inverter) or asynchronously (eg some
wind turbines are induction or asynchronous generation). They have a single Connection Point
to the distribution system.

Power Generating One or more Power Generating Modules connected to at one or more Connection Points. This
Facility (PGF) is a Power Station in EREC G59.

Registered The normal full load capacity of a Power Generating Module less the MW consumed when
Capacity producing the same (ie auxiliary load). For Power Generating Modules connected via an
Inverter, the Inverter rating is the Power Generating Module’s rating.

Type A / B / C / D Classifications of Power Generating Modules by size and connection voltage, to determine
technical and compliance requirements.

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Section 1: A Guide to the GB Power Sector

Section 1: A Guide to the GB Power Sector

This section provides:
• An overview of the commercial structure of the power sector;
• An introduction to the UK power sector and how it is changing;
• A discussion about the various types of organisations that you may come across while developing your
Distributed Generation project;
• A discussion on network innovation projects; and
• Guidance on where to find more information.
Tip: Read the information boxes for definitions or explanations of terms that may be new or unfamiliar.

Introduction
Understanding the UK power sector may be useful when discussing your Distributed Generation project. This
section gives some background explanation about the UK power sector and how it is changing to meet the
challenges of protecting the environment and changing Government policy.
There are many organisations involved in the UK power sector; these are introduced in this section.
Apart from the physical structure of the power sector, there is also a commercial structure, which is discussed in
this section.

The Commercial Structure of the Power Sector

The commercial structure of the electricity industry in GB provides a competitive market in electricity retailing.
This enables customers to contract with any one of a number of competing electricity suppliers. The sale of
energy is also a competitive market. Note, your Feed-In Tariff level is an indication of the minimum you can
expect to be paid for the electricity you generate.
Generators sell the electricity that they generate in the wholesale market or directly to suppliers. Suppliers sell
the electricity they purchase to customers. The majority of trading occurs in advance of the time of use. The
wholesale market is governed by British Electricity Trading Transmission Arrangements (BETTA), which was
introduced in 2005.
If you install Distributed Generation, you can use the electricity you produce on site to reduce the amount of
electricity that you need to buy thus lowering your electricity bills.
You can also sell electricity to customers, suppliers or, depending on the size of the generation, on the
wholesale market. You can read more about power trade options in Section 6.1 Selling Electricity.

The Physical Infrastructure of the Power Sector

The GB power network in the 20th century was primarily based on centralised, fossil-fuel based electricity
generation. In the 21st century, there has been a shift towards decentralised, distributed and ‘greener’ energy
source-based generation. This is a shift primarily due to targets set out by the UK government, aiming to
achieve net-zero greenhouse gas emissions by 2050. This is because of the 2015 Paris climate change
agreement in which governments collectively agreed to take actions to reduce global temperature increases to
1.5°C above pre-industrial levels.
Figure 1 below illustrates the current physical infrastructure of the present-day GB power sector.

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Figure 1:The current physical infrastructure of the power sector.

Power Stations
A mix of energy sources, including
renewable and conventional
sources.

Other
Distribution
Transmission System
Systems
The direction of electricity
flow becomes more
dynamic and often less
predictable with the
increase of Distributed
Distribution System Generation. This will
require more active
control of the networks.

Load Distributed Generation

s
The distribution system has evolved to accommodate more advanced technologies and sources of generation.
Generation resources connecting to the distribution system are termed Distributed Generation as they are
embedded onto the network. These sources impact the traditional flow of power which used to be in one
direction and is now bi-directional. The kind of resources that are becoming increasingly connected to the
distribution network are:
• Rooftop Solar Photovoltaic (PV);
• Wind generating units; and
• Energy storage systems.

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Key Organisations
The transmission and distribution system is predominantly owned and operated by regulated monopoly
businesses. Such transmission and distribution businesses recover the costs of operating and maintaining their
systems by levying Use of System charges on electricity traded using their network.

Distribution Network Operator (DNO)

A DNO owns, operates and maintains the public electricity distribution system in one or more regions in GB.
They hold a Distribution Network Operator Licence. Under the terms of their licence, each DNO is allowed to
distribute electricity both inside and outside its legacy geographic area.
There are six DNOs in GB. The regions where they traditionally operate are shown on the map below.
To facilitate competition in supply, each DNO is required to allow any licensed supplier to use its distribution
system to transfer electricity from the transmission system (and from Distributed Generation) to customers.
DNOs charge suppliers for using the distribution system.
To develop the future electricity network DNOs are becoming Distribution System Operators (DSO). This will
enable them to actively manage their networks and actively engage with customers to realise the benefits that
flexible demand, generation and storage can have on the distribution system reducing the need for
reinforcement.
DNOs can form part of a group that undertakes other areas of business as well, eg. electricity supply. However,
those businesses have to be kept separate and you will have to interface with the network operator part of the
business.

Independent Distribution Network Operators (IDNOs)

An IDNO designs, builds, owns and operates a distribution system, which is an extension of an existing DNO
distribution system. They typically build network for new developments such as business parks and residential
areas. IDNOs differ from DNOs in that:
• they do not have service areas (they are not tied to a geographical location); and
• they are regulated like DNOs, though have fewer licence conditions to meet.
If you are connecting your Distributed Generation to an IDNO’s distribution system,, the process is almost
identical to that for connecting to a DNO’s network. There are a few exceptions to this, which are discussed in
Section 3 of this Guide.

Transmission Owner (TO)

A Transmission Owner owns and maintains the extra high voltage transmission system, known as the National
Electricity Transmission System, referred to in this Guide as the transmission system. Transmission Owners are
responsible for making sure that transmission services are available to the System Operator (see explanation
later in this section). The onshore Transmission Owners are as follows:
• National Grid Electricity Transmission (NGET) in England and Wales;
• SP Energy Networks (SP Transmission plc) in Central and Southern Scotland; and
• Scottish and Southern Electricity Networks (Scottish Hydro Electric Transmission plc) in Northern Scotland.

Private Networks
Private networks are extensions of an DNO distribution system which are not owned by the DNO itself. The
owners of private networks are distinct from an DNO because they do not need to be licenced and are
unregulated. For example, private networks can be owned by hospitals, airports, industrial sites, etc. This Guide
is not intended to address connections to private networks. If you are connected to a private network, you
should discuss your plans with the network owner as soon as possible.

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Suppliers
Supply is the retail of electricity. Suppliers buy electricity in bulk from generators, and then sell to consumers.
They are responsible for providing bills and customer services and arranging metering and meter reading.
Electricity supply is a competitive market so you can choose and change your electricity supplier.

Aggregators
Aggregators specialise in co-ordinating demand and generation (including storage) to provide demand
response and other market services. The Network Operators and Suppliers may buy demand response and
other grid balancing services from aggregators.

Energy Service Company (ESCO)

A Government paper defines ESCOs as “a company that provides a customer with energy solutions” rather
than simply being an electricity or gas supplier. ESCOs can enter into long-term contracts to provide
information, installation, finance, operation and maintenance. There are various models the ESCO can take.
ESCOs can work on a performance contract, where they guarantee energy savings and make charges based
on the extent to which these savings are achieved. This model is typically used by commercial and industrial
customers. ESCOs can also work for communities, servicing a group of customers in the same local area.
ESCOs may develop into a household model, to provide energy efficiency savings and small scale generation
for home owners, rather than just supplying electricity.

Generators
Generators own, operate and maintain Power Generating Facilities which generate electricity from various
energy sources, e.g. coal, gas, hydro and nuclear. Newer generation technologies include wind, solar, tidal and
wave. See the end of this section for links to more information on generating technologies.

To identify your DNO or IDNO:

If you already have a meter at your site, find the first two digits of your MPAN (Meter Point Administration
Number), which is shown on your electricity bill, and may be shown on your meter.
This corresponds to your DNO or IDNO, see Table 5 below.
If you do not have an electricity meter at your site, you can contact the DNO whose geographic area you
believe you are in and they will be able to confirm the network operator in your area.
Figure 2: showing an example of MPAN, with first two digits indicated

Example MPAN, with first two digits indicated

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Table 5: Table showing the relevant Distribution Business.

First 2 MPAN
digits Service Area Distribution Business

10 Eastern England UK Power Networks– Eastern England

11 East Midlands National Grid Electricity Distribution (NGED) – East Midlands
12 London UK Power Networks (UKPN) – London Power Networks (LPN)

13 Cheshire, SP Energy Networks – Cheshire, Merseyside and North Wales

Merseyside and
North Wales
14 West Midlands National Grid Electricity Distribution (NGED) – West Midlands
15 North Eastern Northern Powergrid (NPg)
England
16 North Western Electricity North West (ENW)
England
17 Northern Scotland SSE Power Distribution – Scottish Hydro Electric Power
Distribution
18 Southern Scotland SP Energy Networks
19 South Eastern UK Power Networks (UKPN) – South Eastern Power Networks
England (SPN)
20 Southern England SSE Power Distribution – Southern Electric Power Distribution
21 Southern Wales National Grid Electricity Distribution (NGED) – South Wales
22 South Western National Grid Electricity Distribution (NGED) – South West
England
23 Yorkshire Northern Powergrid (NPg)
24 No area—IDNO GTC (Independent Power Networks)
25 No area—IDNO ESP Electricity Limited
26 No area—IDNO Last Mile Electricity Limited
27 No area—IDNO GTC (The Electricity Network Company)
29 No area—IDNO Harlaxton Energy Networks Limited
30 No area—IDNO Leep Electricity Network Limited
31 No area—IDNO UK Power Distribution Limited
32 No area—IDNO Energy Assets Networks Limited
33 No area—IDNO Eclipse Power Limited
34 No area—IDNO Murphy Power Distribution Limited
35 No area—IDNO Fulcrum Electricity Assets Limited
36 No area—IDNO Vattenfall Network Limited
17/20 No area—IDNO Optimal Power Networks Limited
TBC No area—IDNO Utility Assets Limited

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Section 1: A Guide to the GB Power Sector

National Grid Electricity System Operator (NGESO)

Electricity cannot be stored at a large scale and so demand has to be balanced with generation on a second-
by-second basis by the Electricity System Operator. The NGESO makes requests of generators to increase or
decrease output from their generating units or may ask some large customers to control their demand. NGESO
is the System Operator in GB. Following a government consultation on greater separation between the System
Operator role performed by National Grid and the rest of the National Grid group, National Grid has established
a legally separate company to carry out the Electricity System Operator function within the National Grid Group,
which is called NGESO. This separation took place on 1st April 2019.

Balancing Settlement Code company

Elexon is the company that manages the balancing and settlement of electricity trading. They do this by
identifying where generators have not generated the amount of electricity they are contracted to produce, and
suppliers’ customers have not consumed the amount of electricity that was expected. Out of balance parties are
charged based on the additional cost to balance supply and demand (often by buying or selling electricity at
short notice).
The Balancing and Settlement Code (BSC) governs the operation of this balancing mechanism.

Regulator
The Office of Gas and Electricity Markets (Ofgem) is responsible for:
• regulating prices and performance in the monopoly elements of the electricity supply industry;
• resolving disputes between different parties when necessary; and
• granting licences for the following activities in the power sector:
• Generation;
• Transmission (and interconnection, a transmission link with another country);
• Distribution; and
• Supply.
Generation licence requirements for Distributed Generation are discussed in Section 4: The Connection
Application: Generation Licensing.

European organisations
The regulatory arrangements that apply across continental Europe are implemented by National Regulator
Authorities (NRA) in each member state of the European Union; Ofgem is the National Regulatory Authority for
GB. The regulations are required to comply with policy criteria determined by the European Parliament and
implemented through European Directives and Regulations. To assist with this process in relation to electricity
networks, a number of bodies have been set up that represent regulators and transmission system operators.
National Energy Regulators work with the Agency for the Cooperation of Energy Regulators (ACER) and the
Council of European Energy Regulators (CEER) on policy developments in different areas of electricity market
liberalisation.
ENTSO-E, the European Network of Transmission System Operators for Electricity, is a membership body for
Transmission System Operators (TSO). ENTSO-E promotes cooperation across Europe’s TSOs. One of
ENTSO-E’s roles is drafting the European Network Codes, which includes the Requirements for Generators
(RfG).
Following the UKs withdrawal for the European Union the UK is no longer a member of ENTSO-E. However, a
number of the European Network Codes, including the RfG, fall under the category of retained EU law and thus
remain applicable to the UK following the UK’s withdrawal from the European Union.

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Network Innovation and Industry Developments

Innovation Funding
New challenges and applications in energy networks have motivated many projects that aim to develop
innovative tools and products to improve the way networks operate and customers are connected.
Ofgem has a number of mechanisms that the DNOs and other organisations can use to fund electricity network
innovation. The two main mechanisms for network companies are called the Network Innovation Allowance
(NIA) and Strategic Innovation Fund (SIF), which apply to both electricity and gas distribution and transmission.
• NIA is an allowance each network company receives to fund smaller scale innovation projects which have
the potential to deliver benefits to network customers.
• SIF is a competitive arrangement, where network companies compete for funding for development and
demonstration of network innovations such as new technologies or novel operating and commercial
arrangements.
Learning from electricity-based projects funded by these arrangements is shared amongst all DNOs and TOs
for the benefit of the power sector as a whole. Incorporation of the learning into business-as-usual practices is
laid out in the business plans of the individual network companies.
For more information, and details about individual projects, refer to the Smarter Networks Portal, hosted by the
Energy Networks Association: https://smarter.energynetworks.org/

Electricity Network Innovation Strategy

Following a review of the NIA and SIF, Ofgem proposed a number of changes to the innovation funding
schemes. One of these was the requirement on network companies to collaboratively produce an industry wide
innovation strategy. The Electricity Network Innovation Strategy sets out a jointly agreed roadmap which
demonstrates how innovation can accommodate future whole-system requirements and lead to benefits. The
document was first published on 29th March 2018 and a new update on the innovation strategy can be found
on the ENA website. The next review will be in 2024. Further information is available on the ENA website.

Transmission and Distribution Interfaces

There has been a significant increase in the amount of connected Distributed Generation in the last few years.
This has meant that the DNOs, TOs and the NGESO have to change the way they work together, to maintain
an economic and secure network. In order to address these challenges, the Transmission Distribution Interface
(TDI) Steering Group was established by ENA and its members. Network companies recognise the need for
distribution and transmission companies to work together more closely in order to consider how they can tackle
the whole system impact of Distributed Generation including technologies such as storage.

ENA Open Networks

In January 2017 the Open Networks Project was launched by the ENA. The aim of the Open Networks Project
is to transform the way electricity networks operate and provide the first steps towards creating a smart grid.
One of the focuses of the Open Networks Project is the connection to the distribution system and management
of the connection queue, which involves improving the existing interactivity and queue management policy. The
Open Networks project consulted on Connection Queue Management in July 2019 and again in April 2020. A
Queue Management User Guide, which builds on the conclusions from the July 2019 and April 2020
consultations is available on the ENA Website. This lays out the previous processes being followed by the
network operators, including the interactions with projects that are planning to connect to the distribution
system. However, due to the need to accelerate connections to the network to meet key Net Zero targets, the
NGESO has published their 5-point plan to improve the connection timelines at transmission level, with a clear

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focus on adjusting the rules surrounding the ‘First Come, First Service’ approach. In addition, the ENA has
published their Action Plan to accelerate customer connections, focusing on six priority areas.
The areas of focus in 2023 were on increasing participation in the local flexibility market in line with actions from
the Department for Energy Security and Net Zero (DESNZ). The specific programme work areas were:
1. Network Operation;
2. Market Development; and
3. Planning and Network Development.

Network Operation
Efforts are underway to enhance operational planning processes across the transmission and distribution
system and promote the efficient coordination and utilisation of flexibility. These enhancements include:
• Establishing the rules to manage conflicts in flexibility services between the NGESO and Distribution
System Operators (DSOs), allowing providers to enhance their offerings while ensuring network security;
• Developing standards for DSO flexibility market platforms to enable an optimal end-to-end experience for
flexibility service providers, eliminating the need for multiple interfaces; and
• Facilitating real-time data sharing between the NGESO, DNOs and other stakeholders. This will enable
greater forecasting process and market operations.

Market Development
This area focuses on ensuring that networks deliver open, transparent, accessible, and efficient markets for
local flexibility service provision. This includes:
• Improving the Standard Agreement for procuring flexibility services across DSOs and the NGESO. This
will help reduce legal costs for flexibility service providers;
• Sign-up and pre-qualification processes for flexibility service procurement are being aligned to offer a
more user-friendly experience; and
• Aligning the definitions of DSO flexibility service products to simplify the identification of suitable
services for flexibility service providers. These efforts aim to streamline the market for local flexibility
services, benefiting both flexibility service providers and consumers.

Planning and Network Development

The electricity distribution sector is undergoing significant initiatives to improve and optimise network
forecasting and planning processes whilst ensuring the visibility of future flexibility service requirements. This
includes:
• Achieving common methods for carbon reporting to standardise measurements and reporting of carbon
emissions which provides customers with visibility of local flexibility service market carbon intensity
across GB;
• Reviewing and updating the Network Development Plan (NDP) and the Whole System Coordination
Register Form to provide stakeholders with insights into major network developments; and
• Streamlining the connection process for DERs and improving network visibility.
Further updates to industry initiatives for future Planning and Network Development will be made throughout
2024.

New technologies
From April 1 2023 the new approach to connections requires DNOs to consider offering Curtailable
Connections with interim non-firm access arrangements to enable generation or demand to be connected to the
distribution system more quickly. This builds on the use of Active Network Management (ANM) schemes, which

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were trialled in innovation projects and are being included as part of Business-as-Usual connection offers. ANM
uses control systems to manage Distributed Generation in constrained areas. Note that ANM connections may
only be available in selected parts of the network. Export limiting devices, installed by generation and demand
customers are also coming into use. These devices allow a limit to be set above which the generation will not
export / a demand customer will not be able to import. These devices may reduce the need for reinforcement. If
you want to explore the use of these devices, seek guidance from your DNO. ENA has published Engineering
Recommendation (EREC) G100, which provides technical guidance on the use of Customer Export Limiting
Schemes. This is available at: ENA G100 Requirements.
Energy storage is becoming increasingly prevalent in the distribution system. For more information on network
connected storage (eg. batteries), refer to Section 3: Getting Connected—Energy Storage.

Where to Find More Information

There are some very good guides to the UK power sector available in the public domain. In particular, if you
want to read more on this subject, you may wish to read the following:
• A Guide: Sale of Power Opportunities for Distributed Generators;
• Guidance Note – The Electricity Trading Arrangements: A beginner’s guide; Elexon
https://www.elexon.co.uk/knowledgebase/about-the-bsc/
A good source of information on the organisations we have introduced are their own websites:
• Energy Networks Association —the industry body for UK energy transmission and distribution licence
holders and operators: www.energynetworks.org
• A list of IDNOs can be found on the Ofgem website: https://www.ofgem.gov.uk/publications/list-all-
electricity-licensees-including-suppliers
• Ofgem—The Regulator: https://www.ofgem.gov.uk/
• National Grid —The GB Electricity System Operator, and Transmission Owner in England and Wales:
https://www.nationalgrid.com/electricity-transmission/
• Elexon—The Balancing and Settlement Code Company: https://www.elexon.co.uk/
For more information on ESCOs, the following document is a useful reference:
• Making ESCOs Work: Guidance and Advice on Setting Up and Delivering an ESCO; London Energy
Partnership, which is on the London Energy Partnership website: https://khub.net/
The following website gives more information on generation technologies:
• Energy Saving Trust: https://energysavingtrust.org.uk/
The GB Distribution Code, Annex 1 and Annex 2 documents and the associated GB Distribution Code User
Guide can be found in the link below:
• DCode: https://dcode.org.uk/
The GB Grid Code and the associated Guide can be found in the link below:
• GCode: https://www.nationalgrideso.com/
Information about licence exceptions and private networks can be found:
• UK legislation: https://www.legislation.gov.uk/uksi/2001/3270/contents/made

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Section 2: The Role of Distributed Generation

Section 2: The Role of Distributed Generation

In this section provides:
• An introduction to the role of Distributed Generation;
• A discussion on the drivers for Distributed Generation;
• Some of the benefits and impacts of Distributed Generation; and
• References to some documents where you can find out more on these issues.

Introduction
Distributed Generation is generation that is connected to and operates in parallel with the distribution system
such as roof-top solar and battery storage systems. The increased expansion of Distributed Generation is
transforming the way electricity is generated, delivered, consumed, managed, and traded.
Distributed Generation poses challenges on the current distribution and transmission infrastructure which was
previously designed for traditional flow of power in one direction, however these challenges present many
opportunities for investments, planning and technological growth and development for all parties involved
including network operators, stakeholders, and customers.
The benefits of Distributed Generation are not only limited to the customer, but also to network operators by
providing ancillary services to help maintain grid stability and reliability.
With appropriate technological advancements, policies, and standardised regulations, Distributed Generation
can provide increased value to the power network and improve system reliability whilst reducing overall energy
costs.

What is driving Distributed Generation?

Environmental Concerns
Globally there has been increasing concern over greenhouse gas emissions and the impact that they may be
having on the environment. Most of the electricity in the UK has traditionally been generated by power stations
fuelled by fossil fuels, for example coal, gas and oil. The burning of these fuels makes a significant contribution
to greenhouse gas emissions. There is therefore a drive to change the mix of generation technologies we have,
to include more low-carbon options.

Technological Innovation
Technology is developing all the time, and due to drivers such as environmental concerns and government
policy, there are more generating technologies available now than there were when the National Grid was being
developed. For example, wind, wave, solar and biomass generation. Although the connection and integration of
these newer generating technologies may pose challenges, innovative technical solutions are being sought to
overcome these challenges.

Government Policy
The Department of Energy Security and Net Zero (DESNZ) oversees energy policy and climate change
mitigation policy. The UK energy supply is one of DESNZ’s key policy areas. DESNZ is developing policy to
ensure that in the UK energy supplies are secure, low carbon, and fuelled from a diverse mix of energy
supplies. However, DESNZ also has to ensure that energy prices are maintained at affordable levels. Relevant
pieces of legislation include:
• Climate Change Act 2008;

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• Energy Act 2008; and

• Energy Act 2023.
The Climate Change Act sets out legally binding targets for emissions reductions. As such, policy has been
developed, which introduces initiatives such as:
• Climate Change Agreement (Climate Change Levy); and
• Zero Carbon Homes.
As well as legislation from the UK Government, the EU also introduced relevant legislation and initiatives, such
as the EU Emissions Trading System and the European Third Package, which has resulted in set of European
Network Codes. A number of the European Network Codes, including the Requirements for Generators fall
under the category of retained EU law and thus remain applicable to the UK following the UKs withdrawal from
the European Union.

Security of Supply
The UK increasingly relies on importing fuel, in the form of gas, coal and oil. This introduces a great deal of
uncertainty as the cost and reliability of supply is outside of UK control. It is therefore an advantage to have a
diverse mix of energy sources, which would make the UK less vulnerable to a restriction in fuel availability or
rise in price.
In addition to the environmental concerns, fossil fuels will eventually run out as they are being used much faster
than they are being created. As they become scarcer, the prices will rise as the market becomes more
competitive. Therefore, to ensure the security of the energy supply into the future, alternative sources are being
encouraged.

Benefits of Distributed Generation

There are a number of benefits that increased penetration of Distributed Generation has for the UK and its
electricity system. These include:
• Increased energy mix —Distributed Generation is often a renewable source of energy, such as solar,
wind or biomass, or uses the energy in a more efficient way as in the case of Combined Heat and
Power (CHP) projects. Therefore, increased penetration of Distributed Generation results in a lower
carbon mix of energy sources in the electricity system;
• If Distributed Generation is connected close to the point of use, there is a reduced need for the
distribution and transmission infrastructure. In some cases, this can delay the need for
reinforcement, although the TO and the DNO also need to ensure that the network provides adequate
security of supply for its users;
• Where there is a balance between the electricity generation by Distributed Generation and local
demand transmission and distribution losses are reduced, when compared with the alternative of
the centralised power stations and bulk transmission of electricity; and
• The introduction of local generation in businesses and communities can lead to greater awareness of
energy issues.
There are a variety of commercial benefits to having Distributed Generation, which include:
• Self-Consumption, where you use the electricity that you generate to avoid importing from the grid,
therefore lowering your electricity bills;
• Selling electricity that you generate, including gaining Smart Export Guarantee (SEG) payments and
Contracts for Difference (CFD). This is discussed further in Section 6: Selling Electricity.;
• Climate Change Levy Exemption Certificates (LECs) are issued to generators of renewable energy
and good quality Combined Heat and Power (CHP). These can be sold to the supplier along with the
energy generated. Companies can use LECs to avoid paying the Climate Change Levy tax;

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• Embedded benefits of the generating unit being connected to the distribution rather than the
transmission network, e.g. charge avoidance of Transmission Network Use of System charges and
Balancing Services Use of System charges. Embedded benefits are changing, see Section 5.3, 5.4 and
5.5.;
• Generators whose equipment has a capacity greater than 3 MW (and/or the ability to deliver in excess
of +/- 15 MVAr of reactive power) can enter into agreements with NGESO to provide Ancillary
Services, for which they will be paid;
• Generation that is not receiving low carbon support (e.g. Feed-in Tariffs, Renewables Obligation) and
does not have a long-term contract to provide Short Term Operating Reserves (STOR) to the National
Grid Electricity System Operator could be eligible to enter the Capacity Market and receive payments
for delivering energy at times of system stress; and
• EU Emissions Trading System (ETS) - applies to approximately 10,000 energy intensive users in the
UK such as metal industry, paper factories and refineries. These large energy users have been
allocated green-house gas allowances for their operations. At the end of each year, they must ensure
they have enough allowances to cover their emissions: they can buy additional allowances or sell any
surplus allowances generated from reducing.

Impacts of Distributed Generation

As well as introducing benefits, the increased penetration of Distributed Generation connected to the
distribution system also poses challenges. These will depend on a variety of factors, such as the generation
technology, the voltage level the Distributed Generation is connected to, the size of the generating unit(s), the
level of export to the distribution system, and on the type of network (e.g. urban or rural).
Some examples of the challenges faced by DNOs by the increased penetration of Distributed Generation
include:
• Distributed Generation changes the current flows and shape of the load cycle where they are
connected. This could cause:
• Thermal ratings to be exceeded;
• Rise of system voltage beyond acceptable limits;
• Reverse power flows, i.e. power flows in the opposite direction to which the system has been
designed;
• Rise of fault level above the rating of network equipment.
• Adverse power quality impact, for example, voltage distortion, voltage disturbance and voltage
unbalance. Note: The technical terms used above are defined in the glossary.

Where to Find More Information

The amount of generation connected to the distribution system has increased significantly since 2010. Today
there is over 27,000 MW of Distributed Generation in the UK. The benefits and challenges of Distributed
Generation are complex, and the industry’s understanding of them is evolving as experience increases. For
more information on current initiatives in the distribution system, the following documents are useful:
• The Electricity Networks Innovation Strategy; Energy Networks Association; 2022
• The Open Networks project; Energy Networks Association
The following documents are useful if you want more information on Government policy:
• The Clean Growth Strategy; BEIS & DESNZ; 2017 – last updated 2018
• Transitioning to a net zero energy system; smart systems & flexibility plan; BEIS & DESNZ; 2021
For the most up to date information on relevant Government policy, refer to the DESNZ website:
• Department for Energy Security and Net Zero - GOV.UK (www.gov.uk)

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For more information on Embedded Benefits:

• Embedded Generation and Embedded Benefits; Elexon; March 2019
• For the latest developments on Embedded Benefits visit the Ofgem Targeted Charging Review (TCR)
webpage and the charging future’s forum website

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Section 3.1: G98 Single Premises, An Overview of Getting Connected

Section 3: Distribution Generation Connection Process

This section discusses the generation connection process for all Distributed Generation.
• Section 3.1 relates to G98 Single Premises;
• Section 3.2 relates to G98 Multiple Premises;
• Section 3.3 relates to G99 Type A & Type B-D;
• Section 3.4 relates to G99 Type A;
• Section 3.5 relates to G99 Type B-D;
• Section 3.6 relates to G98 & G99.

Section 3.1: G98 Single Premises, An Overview of Getting Connected

This section provides:
• An introduction to getting connected;
• A summary of the main tasks in the process of connecting one or more generation units within a single
customer’s installation; and
• Guidance on where to find more information.

Introduction
In most cases, the installation of small Micro-generator into a single premises will have very little effect on the
distribution system. Therefore, the connection process is relatively simple, and can be summarised as “fit and
inform”. The diagram below presents the key actions that you must complete to connect one or more small-
scale generation units in a single premises. These tasks are based on the requirements set out in EREC G98
and are described in more detail in this section.
Figure 3: The key actions to connect one or more small-scale Micro-generators in a single premises

FIND AN INSTALLER

INSTALLATION AND COMMISSIONING

INFORM THE DNO

The installer must submit the “Installation
Commissioning Confirmation” form within 28
days of commissioning

ONGOING RESPONSIBILITIES

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Note that this document covers the process for connecting generation to the distribution system in GB. Northern
Ireland has different connection arrangements, for example different versions of EREC G98 and EREC G99 are
in use. See www.nie.co.uk.

Getting Connected – Main Tasks

Finding an Installer
The first task is to find a competent installer, who will install Fully Type Tested equipment. Installation must be
carried out by installers who are competent and have sufficient skills and training to install a Micro-generator in
compliance with EREC G98. This includes having recognised and approved qualifications relating to the
primary energy source and general electrical installations. There are companies who design, install and
commission domestic generation. They can fully certify and sign off installations. Certified generation products
and installers can be found on the following website: https://mcscertified.com/
The Microgeneration Certification Scheme is operated by the MCS Service Company. Your installer must be
certified for you to claim Smart Export Guarantees. There is more information about this in Section 6: Selling
Electricity - Smart Export Guarantee.
All Micro-generators connecting under EREC G98 must be Fully Type Tested. This is where the whole Micro-
generator is type tested, rather than just part of the Micro-generator.

Installation and Commissioning

Your installer should be aware of the requirements to ensure that installation and commissioning is in line with
EREC G98. This includes ensuring that the installation complies with the wiring regulations (BS 7671) and is
correctly earthed. Your installer must also ensure, among other things, that:
• No modifications is made to the equipment;
• Appropriate safety labelling is provided;
• The generating unit will disconnect from the distribution system if your mains power is interrupted; and
• The generating unit is installed in accordance with the manufacturer’s instructions.
During the commissioning, your installer will check that your equipment is working as it should.

Informing the DNO

Once your installation and commissioning is complete, the DNO needs to be made aware of your Micro-
generator(s). This is so that the DNO can take this into account when operating and designing the network.
Your installer must notify the DNO within 28 days of commissioning the generating unit and provide them with
information on the installation. This is a legal requirement.
The required information should be captured on an “Installation Document”, which is Form B in Appendix 3 of
EREC G98. These forms are available on the Energy Networks Association website.
Note: DNOs may have their own version of the Installation Document forms on their websites — a web search
should help you locate the forms you need or try telephoning your DNO.

Ongoing Responsibilities
Although the focus of this Guide is to inform you about the process of connecting your generation to the
distribution system, you should be aware that once it is connected you have some responsibilities. These
responsibilities require you to:
• Keep it maintained by someone who is competent to do so;
• Notify your DNO of any operational incidents or failures that affect your compliance with EREC G98;
and

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• Inform your DNO if you remove or replace you generating unit.

Getting Connected – IDNO’s Networks

The process for connecting your Distributed Generation to an IDNO’s network follows EREC G98 or G99 and is
therefore similar to connecting to a DNO’s network. IDNOs are licensed entities and are bound by some of the
same licence conditions as DNOs, including certain performance standards such as timescales for responding
to requests for quotes. The majority of the guidance in this Guide applies to both DNO and IDNO connections.
However, there are a few key differences for a Distributed Generation connection to an IDNO network. The
most significant of these is that the IDNO has a relationship with their DNO. This relationship will not involve
you directly but may restrict what the IDNO can readily allow to connect to their network. This is not likely to
affect a generation project that is compliant with EREC G98.
To determine whether you are connected to a DNO or IDNO distribution system, refer to Table 5.

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Section 3.2: G98 Multiple Premises, An Overview of Getting Connected

Section 3.2: G98 Multiple Premises, An Overview of Getting Connected

This section provides:
• An introduction to getting connected;
• A summary of the main tasks in the process of connecting one or more generation units within a single
customer’s installation;
• Customer service and provision of information; and
• Guidance on where to find more information.

Introduction
While the process for connecting Micro-generators in a single premises is relatively simple, the process for
connecting small-scale generation in multiple premises is more involved. Projects involving multiple installations
could be, for example, a housing refurbishment programme in the same road or street or a new housing
development.
Figure 4: Key actions to connect multiple Micro-generators within different customers’ premises in a close geographic
region.

FIND INSTALLER
Installers must be competent

DISCUSS WITH THE DNO

Exchange information about your project.

SUBMIT APPLICATION FORM

Your installer submits the form to the DNO.

APPLICATION ACCEPTANCE
Once you have accepted the DNO’s connection offer, construction can
begin.

INSTALLATION AND COMMISIONING

INFORM THE DNO

Submit the “Installation Commissioning Confirmation” form for each
installation.

ONGOING RESPONSIBILITIES

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Section 3.2: G98 Multiple Premises, An Overview of Getting Connected

There is a key difference between connecting units at one customer premises and multiple units within different
customers’ premises within a close geographic region: for multiple sites you need to get approval from the
Distribution Network Operator (DNO) before you can connect your Micro-generators.
Figure 4 above presents the key actions that you have to complete to connect multiple of small-scale
generation units within different customers’ premises which are in a close geographic region. These tasks are
based on the requirements set out in EREC G98 and are described further in this section.
Note that this document covers the process for connecting generation to the distribution system in GB. Northern
Ireland has different connection arrangements, for example different versions of EREC G98 and EREC G99 are
in use. See www.nie.co.uk.

Getting Connected – Main Tasks

Finding an Installer
The first task is to find a competent installer, who is using Fully Type Tested. Installation must be carried out by
installers who are competent and have sufficient skills and training to install a Micro-generator in compliance
with EREC G98. This includes having recognised and approved qualifications relating to the primary energy
source and general electrical installations. There are companies who design, install and commission domestic
generation. They can fully certify and sign off installations. Certified generation products and installers can be
found on the following website: https://mcscertified.com/
The Microgeneration Certification Scheme is operated by the MCS Service Company. Your installer must be
certified in order for you to claim Smart Export Guarantees. There is more information about this in Section 6:
Selling Electricity - Smart Export Guarantee.
All Micro-generators connecting under EREC G98 must be Fully Type Tested. This is where the whole Micro-
generator is type tested, rather than just part of the Micro-generator.

Discussions with the DNO

You must discuss your plans with the DNO before starting work. You should do this as soon as possible in your
planning, as the DNO’s response may have a big impact on how you plan your project. You may discuss the
feasibility of your connection, and if there will be any charges for connection (charges are discussed further in
Section 5: Costs and Charges.
If your generation project is part of a larger project, eg. developing new housing, then your application needs to
be co-ordinated with the connection application for the import connections themselves. The DNO will need to
take into account the new generation in the design of the overall connection.
All DNOs provide information to support generation developers, such as capacity heat maps, on their websites.
These can be an important source of information. In addition, there may be dedicated generation ‘surgeries’ or
‘drop in’ sessions to discuss your project with the DNO.

Submitting an Application Form

Once you have planned the project and exchanged information about your plans with the DNO, you should
submit an application form. The format of the application form is given in Form A in Appendix 3 of EREC G98 ,
which is available at Energy Network Association’s website. Your installer should submit the application form on
your behalf.

Application Acceptance
When you submit your application form you need to include technical details of the equipment. The DNO needs
this information to assess the impact that your generating units may have on the distribution system.

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Once the DNO has conducted these assessments, they will produce a connection offer. This will specify the
conditions for your connection and inform you of any connection charge that you may be asked to pay (charges
are discussed further in Section 5: Costs and Charges). You should ensure that you fully understand this offer
before accepting it. You should discuss questions with your DNO if you are unsure.

Installation and Commissioning

Your installer should be aware of the requirements to ensure that installation and commissioning is in line with
EREC G98. This includes ensuring that the installation complies with the wiring regulations (BS 7671) and is
correctly earthed. Your installer must also ensure, among other things, that:
• No modifications is made to the equipment;
• Appropriate safety labelling is provided;
• The generating unit will disconnect from the distribution system if your mains power is interrupted; and
• The generating unit is installed in accordance with the manufacturer’s instructions.
During the commissioning, your installer will check that your equipment is working as it should.

Informing the DNO

Once your installation and commissioning are complete, the DNO needs to be made aware of your generating
unit(s). This is so that the DNO can take this into account when operating and designing the network.
Your installer must notify the DNO within 28 days of commissioning the generating units in each premise and
provide them with information on the installation — a web search should help you locate the forms you need or
try telephoning your DNO.

Ongoing responsibilities
Although the focus of this Guide is to inform you about the process of connecting your generation to the
distribution system, you (or the owner of the equipment if that is not you) should be aware that once it is
connected you have some responsibilities. These responsibilities require you to:
• Keep it maintained by someone who is competent to do so;
• Notify your DNO of any operational incidents or failures that affect your compliance with EREC G98;
and
• Inform your DNO if you remove or replace you generating unit.

Getting Connected – IDNO’s Networks

The process for connecting your Distributed Generation to an IDNO’s network follows EREC G98 or EREC
G99, and is therefore similar to connecting to a DNO’s network. IDNOs are licensed entities and are bound by
some of the same licence conditions as DNOs, including certain performance standards such as timescales for
responding to requests for quotes. The majority of the guidance included in this Guide applies to both DNO and
IDNO connections. However, there are a few key differences for a Distributed Generation connection to an
IDNO network:
• Provision of Information: IDNOs have a reduced set of licence conditions compared with DNOs, and
they are not obliged to provide the same documents for customers. IDNOs are not required to produce
Long Term Development Statements nor Connection Charging methodologies and statements;
• Interaction between the IDNO and the host network operator: When an IDNO receives an application
for connection for Distributed Generation, they design and build the network infrastructure and connect
to the host network, which could be operated by a DNO or another IDNO. If your generation project
would cause certain network parameters to exceed defined limits, such as voltage or export to the host
network, the IDNO and host DNO will explore options for accommodating your project. This discussion
will take place between the IDNO and the host DNO, and will not involve you directly. However, the

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IDNO may then discuss different options with you for the most appropriate generation project to be
connected.
To determine whether you are connected to a DNO or IDNO network, refer to Table 5.

Customer Service and Provision of Information

There are a number of drivers for DNOs to provide a good level of service to customers, including:
• The current price control proposals;
• Standards of Performance; and
• Discussions at Ofgem DER forums.

Price Control Proposals (RIIO-ED2)

Ofgem administers a price control regime which allows DNOs to earn a fair rate of return while limiting costs
passed on to customers. The current price control period is called RIIO-ED2, which runs until 2028. The RIIO-
ED2 rules include a number of mechanisms to incentivise DNOs to provide a good service to Distributed
Generation customers. The latest information is provided on Ofgem’s website.
The Incentive on Connections Engagement (ICE) has been replaced in ED2 by Major Connections Satisfaction
Survey (MCCSS) and the Major Connections Annual Report (MCAR).

Guaranteed Standards of Performance

The guaranteed standards of Performance are set out in Standard Licence Condition 15A of the DNOs
Distribution Licence. They include, for example, maximum timescales in which DNOs must provide you with a
quotation (Connection Offer). Ofgem has guidance documents about these Standards on their website.

DER Technical Forum

The DER Technical Forum, hosted by the ENA on behalf of DNOs, is a forum used to explore issues and
concerns around Distributed Generation connections, including barriers to the connection of Distributed
Generation and connection process issues. They are open to anyone and are generally attended by DNOs and
developers. Further details can be found on the ENA Events website.

Improvements made to DNO Services

In recent years, there have been a number of improvements to DNO services as a response to these drivers
and feedback, including:
• Increased internal resources;
• Improved provision of information, including more detailed breakdown of costs, web portals, decision
support tools/application hotline, and capacity “heat maps”, indicating areas that can more readily
facilitate connections;
• Holding stakeholder and customer events; and
• Exploring the possibility for discussions prior to formal application (“connection optioneering”). This
process is being carried out in different ways by different DNOs. Refer to your DNO for more
information.
DNOs have promised to make continuous improvements to their services, including:
• Shortening connection timescales;
• Enhancing the publicly available network capacity information, eg. contracted capacity reports;
• Publishing case studies; and
• Enhancing the connection application and the wayleaves/consents processes.

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DNOs publish Distributed Generation 'Work Plans' that outline progress against improvement initiatives. Check
your DNO’s Distributed Generation web pages. The DNOs have been working with Ofgem and the ENA to
improve grid connection timelines. Further information can be found on the Action Plan.

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Section 3.3: G99 Type A & Type B-D Power Generating Modules

Section 3.3: G99 Type A & Type B-D Power Generating Modules
This section provides:
• An explanation of the terms Power Park Modules and Synchronous Power Generating Modules;
• Guidance on adding new generation to an existing installation; and
• Information about recent developments in the provision of information and customer service standards.

Types of Power Generating Module

Power Park Modules and Synchronous Power Generating Modules
Power Generating Modules are classified in EREC G99 as being either Power Park Modules (PPM) or
Synchronous Power Generating Modules (SPGM). Both comprise one or more generating units, which is any
apparatus that produces electricity.
Power Park Modules (PPM) are connected to the network either through power electronics (e.g. solar PV or
electricity storage devices connected through an inverter) or asynchronously (e.g. some wind turbines are
induction or asynchronous generation). They have a single Connection Point to the distribution system.
Synchronous Power Generating Modules (SPGM) are defined in EREC G99 as “an indivisible set of
Generating Units (i.e. one or more units which cannot operate independently of each other) which can generate
electrical energy such that the frequency of the generated voltage, the generator speed and the frequency of
network voltage are in a constant ratio and thus in synchronism.” Where the generating units cannot run
independently from each other – e.g. if they have a common shaft – they form a Synchronous Power
Generating Module.
In terms of classifying your Power Generating Module as Type A to D – for a Power Park Module, this is based
on the total capacity of all generating units in the Power Generating Facility (all behind a single Connection
Point). For Synchronous Power Generating Modules, this is based on the capacity of each Synchronous Power
Generating Module, even if there are multiple modules in a Power Generating Facility. This is illustrated in the
diagrams below.

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Power Park Module - the classification of Type A to D is based on the capacity of the Power Generating
Module (PGM), which is the total capacity of all generating units (GU) in the Power Park Module (PPM):

Synchronous Power Generating Module – the classification of Type A to D is based on the capacity of each
Synchronous Power Generating Module (SPGM) in the Power Generating Facility (PFG):

Where generating units are connected via inverters, the inverter rating is deemed to be the generating unit
rating.
For example: A Power Generating Facility comprises three 400 kW Synchronous Power Generating Modules
(SPGM). Although the capacity of the Power Generating Facility is 1.2 MW, the threshold for requirements is
based on the capacity of each Synchronous Power Generating Module. As each is 400 kW, each SPGM must
meet the Type A requirements in EREC G99.
Another Power Generating Facility comprises three 400 kW generating units (e.g. Wind turbines), which form a
Power Park Module (PPM). The capacity of the Power Park Module is the total capacity of all of the generating

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units, i.e. 1.2 MW. The Power Park Module must meet the Type B requirements in EREC G99. There are
further examples in Section 4 of EREC G99.

New and Existing Generation

Power Park Modules
If you are adding new (i.e. connecting under EREC G99) generating units to an existing (i.e. connected under
EREC G59) installation, the new generating units will be treated as a separate Power Park Module. Only the
capacity of the new generating units should be taken into account when determining the Type A to D category
of the new Power Park Module (even though all units are behind a single Connection Point).
However, this is not the case if you are adding new generating units to an existing Power Park Module
installation, where the existing Power Park Module was also installed under EREC G99. In this case, the total
capacity of all (i.e. the existing and new) generating units in the Power Park Module will determine the Type
category.
This is the same irrespective of the technology – e.g. if there are wind turbines and solar panels behind the
same Connection Point, it is the total capacity of all units that determines the compliance requirements.

Synchronous Power Generating Modules

If you are adding new (i.e. connected under EREC G99) Synchronous Power Generating Modules (SPGM) to
an existing (i.e. connected under EREC G59) installation, the Type category and hence the compliance
requirements for the new SPGMs are determined by the capacity of each new SPGM.

All Power Generating Modules

In all cases, if because of adding generation to an existing installation, the total capacity of all Power
Generating Modules (existing and new) exceeds the threshold for Embedded Medium or Large as defined in
the Grid Code, then the Power Generating Facility will need to comply with relevant parts of the Grid Code.
There are further examples in Section 4 of EREC G99.

The Connection Point and Interface Protection

If you are installing new Power Generating Modules at an existing site (where the existing Power Generating
Modules were connected under EREC G59), and where the interface protection is located at the Connection
Point, you will need to consider the design of the connection including the location of the interface protection to
ensure that all the generation on the site complies with all applicable requirements.

Customer Service and Provision of Information

There are a number of drivers for DNOs to provide a good level of service to customers.

Price Control Proposals (RIIO-ED2)

Ofgem administers a price control regime which allows DNOs to earn a fair rate of return while limiting costs
passed on to customers. The current price control period is called RIIO-ED2, which runs until 2028. The RIIO-
ED2 rules include a number of mechanisms to incentivise DNOs to provide a good service to Distributed
Generation customers. The latest information is provided on Ofgem’s website.
The Incentive on Connections Engagement (ICE) has been replaced in ED2 by Major Connections Satisfaction
Survey (MCCSS) and the Major Connections Annual Report (MCAR).

Guaranteed Standards of Performance

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The guaranteed standards of Performance are set out in Standard Licence Condition 15A. They include, for
example, maximum timescales in which DNOs must provide you with a quotation (Connection Offer). Ofgem
has guidance documents about these standards on their website.

DER Technical Forum

The DER Technical Forum, hosted by the ENA on behalf of DNOs, is a forum used to explore issues and
concerns around Distributed Generation connections, including barriers to Distributed Generation and process
issues. They are open to anyone and are generally attended by DNOs and developers. Details can be found on
the ENA Events website.

Improvements made to DNO Services

In recent years, there have been a number of improvements to DNO services as a response to these drivers
and stakeholder feedback, including:
• Increased internal resources;
• Improved provision of information, including more detailed breakdown of costs, web portals, decision
support tools/application hotline, and capacity “heat maps”, indicating areas that can more readily
facilitate connections;
• Holding stakeholder and customer events; and
• Exploring the possibility for discussions prior to formal application (“connection optioneering”). This
process is being carried out in different ways by different DNOs. Refer to your DNO for more
information.
DNOs have committed to bring about continued improvements, including:
• Shortening connection timescales;
• Enhancing the publicly available network capacity information, e.g. Contracted capacity reports;
• Publishing case studies; and
• Enhancing the connection application and the wayleaves/consents processes.
DNOs publish Distributed Generation 'Work Plans' that outline progress against improvement initiatives. Check
your DNO’s Distributed Generation web pages. The DNOs have been working with Ofgem and the ENA to
improve grid connection timelines. Further information can be found on the Action Plan.

The Distribution Code

DNOs are obliged to maintain a Distribution Code under the terms of their licence conditions. The Distribution
Code contains technical considerations relating to the connection to and use of the distribution systems. Key
areas that are covered by the Distribution Code include, general conditions, planning and connection,
operation, and data registration. There are also guidance notes for information. EREC G99 is a Distribution
Code Annex 1 document and is therefore an integral part of the Distribution Code. The Distribution Code and
hence EREC G99 and will be enacted by the Connection Agreement. For more information on the Distribution
Code, refer to the Distribution Code website: https://dcode.org.uk/. The Distribution Code is under open
governance so proposals to make a change to it can be initiated by interested parties. This is done through the
Distribution Code Review Panel which includes generator representatives. A list of current representatives can
be found on the Distribution Code website at distribution code review panel.

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Section 3.4: G99 Type A, An Overview of Getting Connected

Section 3.4: G99 Type A, An Overview of Getting Connected

This section provides:
• An introduction;
• A summary of the main tasks in the process of connecting Type A Power Generating Modules under
EREC G99; and
• A discussion on connecting to an IDNO network.

Introduction
This section describes the process for connecting Type A Power Generating Modules under EREC G99.
The technical and compliance requirements are less onerous for Type A Power Generating Modules, compared
with Types B to D Power Generating Modules. A Type A Power Generating Module has a capacity between 0.8
kW and 1 MW, and is connected to a distribution system operating at below 110 kV. This EREC G99 section of
this Guide only applies to Type A Power Generating Modules > 16 A per phase at LV. If you are installing a
Power Generating Module that is ≤ 16 A per phase at LV, you should refer to the G98 section of this Guide.
Figure 6 shows the key steps in the connection process. These tasks are based on the requirements set out in
EREC G99.

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Figure 5: Key actions to connect G99 Type A units to the distribution network.

FIND AN INSTALLER
Installers must be competent.

DISCUSS WITH THE DNO

Exchange information about your project.

SUBMIT APPLICATION FORM

Your installer submits the form to the DNO.

APPLICATIONACCEPTANCE
Once you have accepted the DNO’s connection
offer, construction can begin.

COMPLIANCE
Submit relevant compliance forms

INSTALLATION & COMMISSIONING

INFORM THE DNO

Submit the “Installation Commissioning
Confirmation” form.

ONGOING RESPONSIBILITIES

Note that this document covers the process for connecting generation to the distribution system in GB. Northern
Ireland has different connection arrangements, for example different versions of EREC G98 and EREC G99 are
in use. See www.nie.co.uk.

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Section 3.4: G99 Type A, An Overview of Getting Connected

Getting Connected – Main Tasks

Finding an Installer
The first task is to find a competent installer. There are companies who design, install and commission
domestic generation. They can fully certify and sign off installations. For installations up to 50 kW, certified
generation products and installers can be found on the following website: https://mcscertified.com/
The Microgeneration Certification Scheme is operated by the MCS Service Company.

Discussions with the DNO

You must discuss your plans with the DNO before starting work. You should do this as soon as possible in your
planning, as the DNO’s response may have a big impact on how you plan your project. You may discuss the
feasibility of your connection, and if there will be any charges for connection (charges are discussed further in
Section 5: Costs and Charges).
All DNOs provide information to support generation developers, such as capacity heat maps, on their websites.
These can be an important source of information. In addition, there may be dedicated generation ‘surgeries’ or
‘drop in’ sessions to discuss your project with the DNO.

Alternative Connections
Each DNO’s current approach to offering alternative connection offers, such as those involving Active Network
Management, may be found on their website, noted in any connection offer or determined by discussion with
the DNO.

Make Contact with the DNO

Extra information can be obtained by making early contact with the DNO to discuss your project. This may be
within dedicated generation ‘surgeries’ or ‘drop in’ sessions arranged by the DNO. Discussions might include:
• How close your proposed generation site is to the existing network;
• Whether there are any other planned Distributed Generation projects in the same area; and
• Whether there is any “spare” capacity in the network.

Feasibility Studies (Optional)

At this stage, you could have feasibility studies carried out to assess possible connection layouts and indicative
costs. These studies can be conducted by the DNO or an external contractor, for a fee. If you do opt for
feasibility studies, they should take into account the standard of security required for the connection between
your generating equipment and the DNO’s network.

Decide who will Construct the Connection

A key decision you have to take is whether to:
• Appoint an Independent Connections Provider (ICP) to do the Contestable work and the DNO to do the
Non-contestable work; or
• Appoint the DNO to carry out all of the work required to provide the connection.
Using an ICP to undertake the contestable work allows the work to be competitively bid for, meaning that it
could bring some cost advantages. At the same time, using an ICP results in an additional relationship between
the DNO and ICP which will need to be managed. If you are considering contracting an ICP to undertake the
Contestable work, you may wish to invite quotations from a number of ICPs, as well as the DNO for
comparison.

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Contestable and Non-contestable Work

There are certain tasks that DNOs do themselves, so that they can maintain co-ordination and control of their
networks. These tasks are called Non-contestable work, as they are not open to competition. Conversely, when
work is open to competition it is called Contestable work. Contestable work can be conducted by Independent
Connections Providers (ICPs). Often, tasks that involve reinforcing existing distribution systems are Non-
contestable. Tasks which include the construction of new infrastructure or extensions to the network tend to be
contestable.
For more on this, see the Section 7: Technical and Commercial Interfaces: Competition in Connections.

Submitting an Application Form

Once you have planned the project and exchanged information about your plans with the DNO, you should
submit an application form. If your Power Generating Module is less than 50 kW three-phase or 17 kW single-
phase, then you can use a simplified application form. The format of the simplified application form is given in
Annex A.1 of EREC G99, which is available from the Energy Network Association’s website. EREC G99 is also
available via the DCode website. Your installer should submit the application form on your behalf. For larger
schemes, you should use the standard application form, which is available on the ENA’s website.
You should do your best to provide as much of the information required in the application form as possible, to
ensure your quote is as accurate as it can be. If you have difficulty filling out this form, you can discuss this with
your DNO or engage an adviser such as an engineering consultant to assist you.

Application Acceptance
When you submit your application form you need to include technical details of the equipment you are planning
to install. The DNO needs this information to assess the impact that your generating equipment may have on
the network.
Once the DNO has conducted these assessments, they will produce a connection offer. This will specify the
conditions for your connection and inform you of any connection charge that you may be asked to pay (charges
are discussed further in Section 5: Costs and Charges). You should ensure that you fully understand this offer
before accepting it. You should discuss questions with your DNO if you are unsure. Connection offers are time
limited. Your DNO will inform you how long the offer is valid for. If a connection offer expires, there is no
guarantee that the same offer will be made again, particularly if your development is in an area where there are
many Distributed Generation projects.
Once accepted, connection offers may be withdrawn if the DNO feels that your project is not progressing at a
reasonable rate. This is to prevent spare capacity being ‘reserved’ for projects that in practice are not actually
being built. The connection reforms published by the ENA, aims to speed up connection applications. Please
refer to the ENA Action Plan. This will enable the DNOs to proactively manage the queue on behalf of all
generation customers.

Enter into Agreements with the DNO

You will need to enter into a number of agreements with the DNO before your generating unit(s) can start
operating, such as:
• A Connection Agreement;
• An Adoption Agreement (only if you are using an ICP for your project); and
• An agreement covering the arrangements for operating equipment at the interface between the
distribution system and your generating equipment. This may be contained in a Schedule to the
Connection Agreement, or in a separate agreement such as a Site Responsibility Schedule or Joint
Operational Agreement.

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Some of these agreements will need to be in place before construction begins.

Compliance
Power Generating Modules can:
• Be Fully Type Tested, or
• Comprise some Type Tested equipment, and/or use Manufacturers’ Information to demonstrate
compliance, and/or also require additional on-site testing. See break out box below.
Note that there may be a need to demonstrate compliance with power quality standards even if other aspects of
the Power Generating Modules are type tested.
If your Power Generating Module is:
• Fully Type Tested, and
• registered with the Energy Networks Association Type Test Verification Report Register
then your application should include the Manufacturer’s reference number (the Product ID). In all other cases,
you need to provide the DNO with a Compliance Verification Report. The format of these reports is given in
Annex A.2 of EREC G99.
There are different forms for Synchronous Power Generating Modules and Power Park Modules.
These forms are completed by the manufacturer of your Power Generating Module. However, you (or your
installer on your behalf) should obtain these and submit them to the DNO as part of the connection process.

Manufacturers’ Information
Manufacturers’ information is a term used in EREC G99. Along with Type Testing and onsite tests, it is another
way of demonstrating compliance of a Power Generating Module with EREC G99 by providing information. The
information is supplied by the manufacturer to the customer, who should send it to the DNO. The suitability of
the information is agreed between the generator and the DNO. Once the DNO is satisfied that the
manufacturers’ information they have received accurately represents the performance of the generating unit, it
may be assigned a reference ID. If your generating unit already has manufacturers’ information available and a
reference ID, you can use this reference ID in your compliance forms.

Installation and Commissioning

You should maintain close contact with the DNO throughout construction. This is so that you are aware of the
timeline of any reinforcement works that they need to do, and you can plan your project with this in mind.
Commissioning can only take place once the construction is complete. EREC G99 details the commissioning
tests that you or your installer needs to perform. For generating units covered by EREC G99, it is your
obligation to undertake appropriate commissioning tests, which the DNO may choose to witness. For a Fully
Type Tested Power Generating Module connected at LV, your DNO will not normally need to witness the
commissioning testing. However, your DNO may choose to do so. If this is the case, they will state this in their
connection offer.
If your commissioning tests are to be witnessed by the DNO, you or your installer should discuss the scope of
the testing with the DNO from an early stage, and must submit the scope, time and date of the testing at least
15 days before commissioning takes place.

Informing the DNO

If the DNO decides not to witness the commissioning tests the DNO must be notified no later than 28 days of
these being completed and provide them with information on the installation and the full results of the
commissioning tests. This information is captured in two forms, both of which are available in EREC G99 and
on the ENA website:

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• The Installation Document (Form A.3)

• Site Compliance and Commissioning Test Form (Form A2.4), where required, e.g. if the interface
protection is not Type Tested and needs to be tested onsite.
If your commissioning is being witnessed by the DNO, then these forms can be filled out and handed to the
DNO representative witnessing the tests.
The forms include a declaration that the installer must sign. This states that the installation complies with EREC
G99.
Note: DNOs may have their own versions of these forms on their websites—a web search should help you
locate the forms you need or try contacting your DNO.

Ensure the Commercial Arrangements are in Place

If you have made arrangements with a supplier to buy electricity that you export, it is your responsibility to keep
them informed of the proposed commissioning programme. In particular they should know the date you expect
imports and exports across the connection to start.

Ongoing Responsibilities
Although the focus of this Guide is to inform you about the process of connecting your generation to the
distribution system, you should be aware that once it is connected you have some responsibilities. These
responsibilities include:
• Keeping your generation equipment maintained by someone who is competent to do so;
• Performing periodic tests that are required by the DNO. They will discuss these with you;
• Informing the DNO if there are changes to the installation that affect the generating characteristics;
• Complying with Health and Safety requirements;
• Inform the DNO if something happens that affects the compliance of your Power Generating Module
with EREC G99; and
• When you are decommissioning your generating unit(s), you need to send the DNO certain information.
This is detailed in EREC G99 Annex D.1.
Annex D.3 in EREC G99 is called “Main Statutory and other Obligations” and summarises the main obligations
of generators.

Changes to your Power Generating Module

If you need to replace a component of your Power Generating Module, or its protection system or interface
protection, you must notify the DNO before making changes. You and the DNO will need to reach agreement
on the significance of the change. If it is considered a small change, you will only need to confirm the
compliance of the affected component with EREC G99.
However, if it is a significant change (eg you increase the capacity of your Power Generating Module), you will
need to agree with the DNO the approach to be taken with the replacement equipment and in many cases
submit a new Standard Application Form for the new equipment.
If you have an installation that was connected under EREC G59 and you replace a major component you
should notify the DNO if the change alters the operating characteristics of the generating unit. If you replace all
or part of the interface protection you should notify the DNO as they will need confirmation that the new
protection complies with EREC G59 and may want to witness the commissioning of the new protection.
If you replace a generating unit or Power Generating Module that has been installed under EREC G59 you will
need to discuss with the DNO whether the new equipment needs to comply with EREC G59 or be upgraded to
be fully compliant with EREC G99.

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Management of DNO Connection Queues:

As discussed on page 27, the ENA has published their action plan to improve and accelerate connection
applications which aligns with NGESO’s 5-point plan to manage transmission connections. There are six
actions the ENA will undertake. Further information can be found on the ENA website.

Getting Connected – IDNO’s Networks

The process for connecting your Distributed Generation to an IDNO’s network follows EREC G99, and is
therefore similar to connecting to a DNO’s network. IDNOs are licensed entities and are bound by some of the
same licence conditions as DNOs, including certain performance standards such as timescales for responding
to requests for quotes. The majority of is the guidance included in this guide applies to both DNO and IDNO
connections. However, there are a few key differences for a Distributed Generation connection to an IDNO
network:
• Provision of Information: IDNOs have a reduced set of licence conditions compared with DNOs, and
they are not obliged to provide the same documents for customers. IDNOs are not required to produce
Long Term Development Statements nor Connection Charging methodologies and statements.
• Interaction between the IDNO and the host network operator: When an IDNO receives an application
for connection for Distributed Generation, they design and build the network infrastructure and connect
to the host network, which could be a DNO or another IDNO. If your generation project would cause
certain network parameters to exceed defined limits, such as voltage or export to the host DNO, the
IDNO and host DNO will explore options for accommodating your project. This discussion will take
place between the IDNO and the host DNO, and will not involve you directly. However, the IDNO may
then discuss different options with you for the most appropriate generation project to be connected.
To determine whether you are connected to a DNO or IDNO network, refer to Table 5.

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Section 3.5: G99 Type B-D, An Overview of Getting Connected

Section 3.5: G99 Type B-D, An Overview of Getting Connected

This section provides:
• An introduction;
• A summary of the main tasks in the process of getting connected for Type B, C or D Power Generating
Modules;
• A summary of what needs to happen after equipment has been commissioned;
• A description of the additional tasks if the Power Generating Facility is classified as being medium or
large;
• A discussion on connecting to an IDNO network; and
• Guidance on where to find more information.

Introduction
The tasks that you have to undertake to get connected vary depending on the capacity of the generating plant
you want to connect. In general, the bigger the Power Generating Module, the more complex the connection
requirements.
This section focuses on the information exchanges that take place between you, as the developer, and the
DNO. It also presents the key actions that you have to complete to connect your Power Generating Module(s).
These tasks are based on the requirements set out in EREC G99, which is described on in the introductory
chapter.
The key stages of the connection process are illustrated in the flow chart in Figure 6. They are discussed in
more detail in this section. Power Generating Modules are classified as Type A to D – refer to the note on RfG
Types A to D on page 26 and the Type classification defines the connection process and compliance
requirements. Power stations are also classified as being Small, Medium or Large, in the Distribution and Grid
Codes. Connecting larger Power Generating Modules to the distribution system involves more complexities
than for smaller units. This is due to the increased likelihood that the Power Generating Module will have an
impact on the distribution system and/or the transmission systems, and involvement with the electricity market.
There is a section that explains these complexities in more detail later in this Guide.
This Guide describes the process for connecting to meet the requirements of EREC G99.
Note that this document covers the process for connecting generation to the distribution system in GB. Northern
Ireland has different connection arrangements, for example different versions of EREC G98 and EREC G99 are
in use. For more information, refer to the Northern Ireland Electricity website:
https://www.nienetworks.co.uk/home

Connection Process Overview

Figure 6: Key actions to connect G99 Type B-D units to the distribution system.

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PROJECT PLANNING PHASE

You formulate your plans for the generation project, consulting published
information to identify opportunities for connecting to the network.
OTHER TASKS
There are other tasks
INFORMATION PHASE that you will need to
You and the DNO exchange information about the generation think about in parallel
project and the network and discusses the issues and costs with the connection
process, which
include:

DESIGN PHASE • Planning and

You submit a formal connection application. The DNO prepares the financing the
connection design and issues a Connection Offer which includes project.
detailed connection designs and costings.

• Designing,
installing, and
CONSTRUCTION PHASE operating the
You enter into a contract with the DNO. Either the DNO, an Independent generation
Connections Provider (ICP) or a combination of the two construct the installation.
connection infrastructure. You submit a draft Power Generating Modules
Document (PGMD). • Buying and
selling
PGMD continually updates

electricity
(beyond SEGs
ENERGISATION PLANNNING and CFDs).
Agree site energisation date and DNO
energises site (if applicable). Type D only –
• Resolving
you obtain an Energisation Operational
local planning
Notification (EON) and an Interim Operational
issues.
Notification (ION).

These issues are

outside the scope of
COMPLIANCE, TESTING & COMMISSIONING PHASE this Guide.
You and the DNO complete the necessary agreements. You test and
commission the Power Generation Facility and undertake performance Your installer should
tests—the DNO may wish to witness tests. You submit commissioning be able to assist with
forms and other relevant updated data, including a completed PGMD. much of this.
The DNO issues Final Operational Notification (FON)

ONGOING RESPONSIBILITIES
You keep the generation unit(s) in working order, perform regular tests
and maintain a relationship with the DNO.

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Getting Connected – Project Planning Phase

The key tasks in the project planning phase are to:
• Identify your DNO (or IDNO);
• Look at publicly available information;
• Make early contact with your DNO; and
• Decide whether to ask for feasibility studies.
Identify your DNO (refer to Table 5)
There are publicly available documents about the distribution system and transmission system which will enable
you to assess the potential to connect generation in the geographical area you’re interested in. These include:
• The DNO’s Long Term Development Statement (LTDS, see information box below).
• The NGESO’s Electricity Ten Year Statement.
Along with EREC G99, the Distribution Code also sets out some of the technical requirements for connecting to
the DNO’s network—it may be useful to consult it at this early stage. All DNOs provide additional information to
support generation developers, such as capacity heat maps, on their websites. These can be an important
source of information.

Alternative Connections
Each DNO’s current approach to offering alternative connection offers, such as those involving Active Network
Management, may be found on their website, noted in any connection offer or determined by discussion with
the DNO.

Make contact with the DNO

Extra information can be obtained by making early contact with the DNO to discuss your project. This may be
within dedicated generation ‘surgeries’ or ‘drop in’ sessions arranged by the DNO. Discussions might include:
• Whether there are any other planned Distributed Generation projects in the same area; and
• Whether there is any “spare” capacity in the network.

Feasibility Studies (Optional)

At this stage, you could have feasibility studies carried out to assess possible connection options and indicative
costs. These studies can be conducted by the DNO or an external contractor, for a fee.
Note: Many DNOs will provide a budget estimate free of charge.

Long Term Development Statement (LTDS)

DNOs prepare a Long Term Development Statement (LTDS) every year. The information should assist anyone
considering opportunities (eg. developing a Distributed Generation project) and help potential users to identify
constraints in the network. It covers areas such as:
• Development plans for the network;
• Identifying parts of the network that are likely to reach certain limits within five years; and
• Any plans the DNO has to relieve these stressed areas.
An introductory chapter is generally available on the DNO’s website. It will allow you to understand the scope of
information provided and assess whether it will be useful to you. DNOs will give access to the full document on
request. Links to the LTDSs are at the end of this section. The LTDS includes detailed information on parts of
the distribution system operating at 33kV and above, with generic information being provided on the 11kV
network.

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Getting Connected - Information Phase

The key tasks in the information phase are to:
• Discuss your plans with the DNO at an early stage;
• Maintain close communication with the DNO throughout the project; and
• Decide whether you will use an Independent Connections Provider (ICP) to do the Contestable work.

Initial Meeting and Communication with DNO

Seek initial meetings with the DNO at an early stage in the development programme to:
• Outline the proposed generation project to the DNO;
• Discuss the process that the DNO will wish to follow through the various stages of the connection
development; and
• Ask the DNO to clarify which work will be Contestable and which will be Non-contestable.
You may wish to ask the DNO to prepare an indicative connection design and a budget estimate (after the DNO
has undertaken any necessary studies), noting that some DNOs might charge for these.
It is important to maintain close communications with the DNO. This will make sure that the connection design
develops in a way that fully reflects the operating characteristics of the equipment.

Decide who will Construct the Connection

A key decision you have to take is whether to appoint:
• An Independent Connections Provider (ICP) to do the Contestable work and the DNO to do the Non-
contestable work (often called a SCL15 application, see definition of Contestable and Non-contestable
below and information box on page 65); or
• The DNO to carry out all of the work required to provide the connection. (often referred to as a Section
16 application, see information box on page 65).
This will affect the way the connection process proceeds, as outlined in the next section: Getting Connected –
Design Phase
Using an ICP to undertake the Contestable work allows the work to be competitively bid for, meaning that it
could bring some cost advantages. At the same time, using an ICP results in an additional relationship between
the DNO and ICP which will need to be managed. If you are considering contracting an ICP to undertake the
Contestable work, you may wish to invite quotations from a number of ICPs, as well as the DNO for
comparison.

Contestable and Non-contestable Work

There are certain tasks that DNOs do themselves, so that they can maintain co-ordination and control of their
networks. These tasks are called Non-contestable work, as they are not open to competition. Conversely, when
work is open to competition it is called Contestable work. Contestable work can be conducted by Independent
Connections Providers (ICPs). Often, tasks that involve reinforcing the existing distribution system are Non-
contestable. Tasks which include the construction of new infrastructure or extensions to the network tend to be
contestable.
For more on this, see the Section 7: Technical and Commercial Interfaces: Competition in Connections.

Getting Connected – Design Phase

The key tasks in the design phase are to:

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• Submit a formal connection application to the DNO with supporting technical information;
• Receive, review, discuss and agree on the Connection Offer from the DNO; and
• Enter into a formal agreement with the DNO, and the ICP as required.
The choice of who will be undertaking the Contestable work for your connection (DNO or ICP) will affect the
process you will follow. This is explained in this section and illustrated in the flow diagram on page 66.

Submit a formal Connection Application

The ENA standard application form includes the technical details of the equipment that the DNO needs to
design the connection.
You should do your best to provide as much of this information as possible, to ensure your quote is as accurate
as it can be. If you have difficulty filling out this form, you can discuss this with your DNO or engage an adviser
such as an engineering consultant to assist you.
The ENA standard application form is used by all DNOs and the DNO will tell you what supporting information
they need. An online application process may be available on your DNO’s website.
The process of submitting a connection application is covered in Section 4: The Connection Application. If the
DNO is doing all the work (i.e. the Contestable as well as the Non-contestable work), then the connection
application will be submitted by you (or your developer / installer).
If you contract an ICP they will generally liaise with the DNO and arrange for the DNO to provide them with a
quote for the Non-contestable work. This will enable the ICP to provide you with the total cost for the
Contestable and Non-contestable work.
Even if you contract an ICP, you will generally need to have a relationship with the DNO as well, and some
formal agreements between you and the DNO may still be required.

The Connection Offer

You, or an ICP acting on your behalf, will receive a Connection Offer from the DNO. This contains the technical
and commercial terms under which the DNO is prepared to carry out the Non-contestable work and, if
applicable, the Contestable work.
The DNO must provide the Connection Offer within certain timescales. These timescales are given in the
information boxes for SLC15 (when the DNO is providing only the Non-contestable work) and Section 16 (when
the DNO is providing both the Contestable and the Non-contestable work) applications.
The Connection Offer must be reviewed carefully—you may wish to hire an independent consultant to help you.
DNOs will be willing to discuss the offer with you before you reach a formal agreement.
If you are unhappy with the Connection Offer, DNOs have a complaints process on their websites. In the event
that you are still unable to reach an agreement with the DNO, the matter can be referred to the Energy
Ombudsman, and ultimately to Ofgem. See page 65 for a note on dealing with disputes.
When considering the connection design options, there may be options that trade off the need for reinforcement
(and hence reduce the capital costs and the timescales) against increased operational restrictions. This is
discussed further in Section 7: Technical and Commercial Interfaces: Operational Issues.
Connection Offers are time limited. Your DNO will inform you how long the offer is valid for. If a Connection
Offer has expired, there is no guarantee that the same offer will be made again, particularly if your development
is in an area where there are many Distributed Generation projects.
Once accepted, Connection Offers may be withdrawn if the DNO feels that your plant is not progressing at a
reasonable rate. This is to prevent spare capacity being ‘reserved’ for projects that in practice are not actually
being built. The User Guide to the Queue Management was published in July 2021 on the ENA website under

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“Customer information provision and connections”; it is called “ON21-WS2-P2 Updated Queue Management
User Guide (30 Jul 21)”. You may be asked to provide regular updates about the progress of your project. This
will enable the DNOs to proactively manage the queue on behalf of all generation customers.
There is more information about this in Section 4: Connection Application: Connection Application Process.

Dealing with Disputes

If you are not satisfied with a particular aspect of service during the process of connecting your generation, your
first port of call should be the party with whom the issue lies, e.g. The DNO, supplier, etc. DNOs have their
complaints process set out on their websites. If you still cannot resolve the issue you can contact the Energy
Ombudsman: https://www.ombudsman-services.org/
If you are still unable to resolve the matter, as a last resort it can be referred to Ofgem.

Formal Agreement
Once you have accepted the Connection Offer, you have entered into a formal agreement with the DNO. The
connection process that you will typically follow is illustrated on page 66, Figure 8.

Standard Licence Condition 15 (SLC15)

In order to maintain their licence to own, operate and maintain a distribution system, DNOs are required to
comply with a set of licence conditions, called Standard Licence Conditions (SLC). SLC15 is called “Standards
for the provision of Non-Contestable Connection Services”. It applies when you are requesting only Non-
contestable services from the DNO. SLC15 sets standards in terms of timescales for the DNO to perform
certain tasks such as provide quotes, respond to design submissions, and complete final works.
Under SLC15, the timescales for the DNO to provide a quotation for work are:
• 30 working days for Low Voltage (LV) generation connections;
• 50 working days for High Voltage (HV) generation connections; and
• 3 months for Extra High Voltage (EHV) generation connections.
For definitions of LV, HV and EHV please see Section 5: Costs and Charges: Ongoing Charges.

Section 16 of the Electricity Act

The Electricity Act (1989) is one of the primary pieces of legislation governing the power sector in the UK.
Section 16 of the Act is called “Duty to supply on request” and sets out the DNO’s obligation to provide
connections for electricity supply. This is the legislation that governs applications for generation connections
where the DNO is requested to undertake both the Contestable and the Non-contestable work.
The timescales for the DNO to provide a quotation for both Contestable and Non-Contestable work are:
• 45 working days for LV generation connections; and
• 65 working days for HV and EHV generation connections.
For definitions of LV, HV and EHV please see Section 5. Costs and Charges: Ongoing Charges.

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Figure 7: The connection process.

Do you want an ICP to

Yes carry out the No
Contestable element of
the connection works?
Select and invite ICPs for You submit a formal application to
competitive tender (see Section G. the DNO with supporting
Technical and Commercial information so that all the
Interfaces: Competition in connection works can be designed
Connections)

The DNO designs and prepares a

You, or the ICPs on your behalf,
quotation for all the connection
submit an application to the DNO to
works and submits this to you
establish Point of Connection
and enable Non-contestable design
work to be carried out
You review and discuss the DNO’s
quotation for all connection works
The DNO provides Point of
Connection information and
quotations for Non-contestable
work to you or the ICPs
Are you happy
No
with the DNO
The ICPs prepare quotations for connection
Contestable work quotation?

You review and discuss ICPs’

quotations for Contestable work Yes
and appoint ICP
You accept the DNO’s connection
offer
You,
You, or the
or the ICPICPon on your
your behalf,
behalf,
review and discuss the
review and discuss the DNO’s DNO’s
quotation
quotation for for Non-contestable
Non-contestable work No
work

You, or the ICP on your

behalf, accept the DNO’s Non
Yes -contestable work offer
Are you happy
with the overall
connection package?
You accept the ICP’s
Contestable work offer
Key

Action taken or question answered by:

You
The DNO
An ICP

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Getting Connected – Construction Phase

The key tasks in the construction phase are to:
• Enter into agreements with the DNO before the equipment starts operating;
• Submit a draft Power Generating Module Document (PGMD);
• Communicate with the DNO about reinforcements they may be making to the distribution system;
• For Type D Power Generating Modules only, obtain an Energisation Operational Notification (EON)
and an Interim Operational Notification (ION); and
• Focus on other activities such as making appropriate provisions for wayleaves and appointing a meter
operator.
Enter into Agreements with the DNO
You need to enter into a number of agreements with the DNO before your generating unit(s) can start
operating, such as:
• A Connection Agreement;
• An Adoption Agreement (only if you are using an ICP for your project); and
• An agreement covering the arrangements for operating the interface between the distribution system
and your generating equipment. This may be contained in a Schedule to the Connection Agreement, or
in a separate agreement such as a Site Responsibility Schedule or Joint Operational Agreement.
Some of these agreements will need to be in place before construction begins.

Submit a Draft PGMD

A Power Generating Module Document (PGMD) is a document that you submit to the DNO to confirm that your
Power Generating Module(s) comply with EREC G99. It includes a checklist of criteria to meet, and a pointer to
other documents that demonstrate compliance (e.g. reports of simulation studies, results of type testing,
manufacturers’ information, site tests). You should submit a draft version of the PGMD to the DNO at least 28
days before you want to synchronise your Power Generating Module for the first time.
You re-submit the PGMD once your Power Generating Module has been commissioned, to update it with final
data. An example of the PGMD is given in EREC G99 in:
• Annex B.2 for Type B Power Generating Modules; and
• Annex C.2 for Type C and Type D Power Generating Modules.
You must submit one PGMD for each Power Generating Module.

Management of DNO Connection Queues

As discussed on pages 27, the ENA has published their action plan to improve and accelerate connection
applications which aligns with the NGESO’s 5-point plan to manage transmission connections. One of the ENA
actions is to reform the distribution connection queue. Refer to the DNO’s and ENA’s website provide further
details of this action plan.
The PGMD has a common cover sheet for the whole Power Generating Facility, and then different sections,
depending on whether the Power Generating Module is Synchronous Power Generating Module or a Power
Park Module.

Communicate with the DNO

Clear communication lines should be established between you, the DNO and the ICP (where applicable). This
is to manage the interface between their work, work on your site and the DNO’s work to make sure that you
have a coordinated programme for completion of the work, and make sure that the work meets the required
standards.

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Obtain an EON and an ION

If you are installing a Type D Power Generating Module there are additional notifications you need to obtain.
Before energising your internal network for the first time, you need an Energisation Operational Notification
(EON). You obtain this from your DNO by:
• Providing a revised standard application form with the most up to date information, and
• Notifying the DNO that you are ready to energise your installation at least 28 days before you wish to
do so.
When you want to synchronise your Power Generating Module for the first time you need to obtain an Interim
Operational Notification (ION). You obtain an ION by submitting a draft PGMD (see above). The ION may
impose limitations on the maximum allowed output of your plant.

Focus on other Activities

During this phase you need to focus on a number of other tasks, which can be carried out in parallel with the
above tasks. These tasks include the following:
• Complete the construction of the generating unit(s), which should meet IET Wiring Regulations — make
sure you are using an approved contractor;
• Make appropriate provisions for wayleaves in any lease option required. Generally it is better to resolve
wayleave and land related issues as early in the project development as possible—see Section 4: The
Connection Application;
• Appoint a Meter Operator—more on this in the Section 5: Costs and Charges; and
• Finalise negotiations with a Supplier who will purchase your energy.

Connection Agreements
The Connection Agreement covers the conditions under which your generating equipment is allowed to be
physically connected to the DNO network and remain connected and energised while the network is operating
normally. For example, they set out technical and safety requirements. These agreements are likely to be
standard documents with project-specific annexes. They will probably be prepared by the DNO for you to
discuss, agree and sign.

Firm and Non-firm connections

When submitting a request to import or export onto the distribution system, the DNOs may be able to offer 2
types of connections:
• Firm connection; and
• Non-firm connection.
There are no universal definitions of these terms across all DNOs and they may be used to mean different
things in different DNOs. If these terms are used in your Connection Agreement it is important that you and the
DNO agree what they mean in the context of your Connection Offer. In general:
• A firm connection has allocated capacity to import or export when the distribution system operating
normally or in a first circuit outage condition as agreed in the Connection Agreement between the
connecting customer and the DNO.
• A non-firm connection has allocated capacity to import or export only when the distribution system
operating normally, which allows connecting customers to connect onto the network on the condition
that the DNO can restrict their capacity when the network is constrained.

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DNO’s may offer a curtailable connection to allow a quicker connection to the network. This will include an
agreement that your connection may be restricted at certain times until the required reinforcement of the
distribution system has been completed. The amount of curtailment in the interim period will be measured and
compared against a limit, established by an agreed methodology, above which the DNO will pay you
compensation. The curtailment will cease after an agreed end date by which time the necessary network
reinforcement should have been completed. See section 5.5 Connection Charges for more information.

Getting Connected – Testing and Commissioning

In summary, the key tasks in the testing and commissioning phase are to:
• Provide the DNO with detailed information about the test scope at least 28 days before the proposed
commissioning date;
• Make sure you have careful liaison with the DNO leading up to and during commissioning;
• Undertake commissioning tests and submit commissioning forms to the DNO; and
• Put commercial arrangements in place and keep the Supplier informed on the commissioning progress.
For generating units covered by EREC G99, it is your obligation to undertake appropriate commissioning tests,
which the DNO may choose to witness.

Provide the DNO with Detailed Information

According to EREC G99 you need to provide the DNO with detailed information about testing and
commissioning at least 28 days before the proposed commissioning date. This will give the DNO time to make
decisions about witnessing commissioning and inspecting the installation. Commissioning test requirements are
discussed in EREC G99, section 15.3 (for all generating units) and 15.4 (for non type-tested generating units).
The DNO will assess the proposed schedule of tests and confirm the commissioning date. More detailed
information on commissioning is provided in Sections 16 to 19 of EREC G99, depending on the Type
classification of your Power Generating Module.

Careful Liaison with the DNO

Careful liaison with the DNO will be required during the process of commissioning the connection and the
Power Generating Modules. In particular the DNO will want assurance on the state of readiness of your Power
Generating Modules(s). You may have auxiliary equipment that is supplied via the connection. If this is the
case, you will require the connection to be ready before the Power Generating Module(s) is ready to be
operated. This will require close coordination with the DNO. This is formalised as the requirement for an EON
(Energisation Operational Notification) for Type D Power Generating Modules.

Undertake Commissioning Tests

You need to record the results of the tests in the Installation and Commissioning Confirmation Form (Form B3
for Type B Power Generating Modules and Form C3 for Types C and D Power Generating Modules). If you are
not using Type Tested interface protection and / or you are demonstrating compliance with any other
requirements on site you also need to record the results of the tests in the Site Compliance and Commissioning
test requirements (Form B2-2 for Type B Power Generating Modules and Form C2-2 for Types C and D Power
Generating Modules).
You also need to submit final data required in the PGMD and standard application form e.g. if estimated data
was previously used or if information was not previously provided. When the DNO is satisfied that you have
demonstrated compliance with EREC G99 they will issue you with a Final Operational Notification (FON). This
will form part of your Connection Agreement.

Put Commercial Arrangements in Place

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If you have made arrangements with a supplier to buy electricity that you export, it is your responsibility to keep
them informed of the proposed commissioning programme. In particular they should know the date you expect
imports and exports across the connection to start. The supplier can advise you on making contact with the
relevant electricity market authorities (e.g. Elexon). Apart from Feed-in Tariffs and Contracts for Difference,
trading electricity is beyond the scope of this Guide. However, we have referenced some useful documents on
this topic at the end of this section. Commercial arrangements need to be in place for the purchasing and sale
of energy during the commissioning process. These arrangements include making sure the correct metering is
installed and working before you start importing and exporting electricity.

Getting Connected – Ongoing Responsibilities

EREC G99 sets out a number of ongoing requirements for you as a developer of Distributed Generation. These
are beyond the scope of this guide, but include:
• Periodically test the interface protection and generating equipment. The frequency of these tests should
be agreed in discussions with the DNO.
• Keep the Power Generating Module maintained by someone who is competent to do so.
• Inform the DNO if there are changes to the installation that affect the generating characteristics (see
below in ‘Changes to your Power Generating Module’).
• Inform the DNO if something happens that affects the compliance of your Power Generating Module
with EREC G99.
• When you are decommissioning your generating unit(s), you need to send the DNO certain information.
This is detailed in EREC G99 Annex D.1.
• Comply with Health and Safety requirements.
Annex D.3 in EREC G99 is called “Main Statutory and other Obligations” and summarises the main obligations
on generators.

Adoption Agreements
If an Independent Connections Provider (ICP) has constructed some of the connection infrastructure, an
Adoption Agreement is required to define the terms under which the DNO will take these connection assets into
their control and ownership. This is normally sent out with the formal Connection Offer. The Adoption
Agreement is held between the DNO and either you or your ICP, depending on your circumstances and the
DNO’s processes.

Changes to your Power Generating Module

If you need to replace a component of your Power Generating Module, or its protection system or interface
protection, you must notify the DNO before making changes. You and the DNO will need to reach agreement
on the significance of the change. If it is considered a small change, you will only need to confirm the
compliance of the affected component with EREC G99.
However, if it is a significant change eg you increase the capacity of your Power Generating Module, you will
need to agree with the DNO the approach to be taken with the replacement equipment and in many cases
submit a new standard application form for the new equipment.
If you have an installation that was connected under EREC G59 and you replace a major component you
should notify the DNO if the change alters the operating characteristics of the generating unit. If you replace all
or part of the interface protection you should notify the DNO as they will need confirmation that the new
protection complies with EREC G59 and may ask for EREC G99 settings to be applied. The DNO may want to
witness the commissioning of the new protection.

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Section 3.5: G99 Type B-D, An Overview of Getting Connected

If you replace a generating unit that has been installed under EREC G59 you will need to discuss with the DNO
whether the new equipment needs to comply with EREC G59 or be upgraded to be fully compliant with EREC
G99.
For the addition of new Power Generating Modules, see page 51.

Getting Connected – Medium and Large Stations

The Distribution Code defines Medium Power Stations (which is only relevant in England and Wales) and the
Grid Code defines Small Power Stations, Medium Power Stations and Large Power Stations. The definitions of
these categories are summarised in Table 6 below. Classification as small, medium or large is based on the
aggregate registered capacity of all Power Generating Modules in the Power Generating Facility (as distinct
from RfG Type A to D classification). See on page 72 the definition of Registered Capacity.
To connect a Medium Power Station or a Large Power Station, the connection process is the same as the one
described so far. However, there are more complexities with power stations of this size due to involvement with
the electricity market and the increased likelihood that the units will impact on the distribution system and
transmission systems. This means you are likely to be involved with a number of other aspects you need to
understand, which include:
• Application for a Generation licence. Power Stations with a Registered Capacity of 100MW and
above needs to be licenced and Power Stations with a Registered Capacity from 50MW to <100MW
may be exempt: For more information on Generation Licences, please see Section 4.7: G99 Type B-D,
The Connection Application Process – Generation Licensing
• Balancing and Settlement Code (BSC) participation: If you have a generation licence you are
required to become a party to the BSC. Otherwise, whether you participate in the BSC depends on how
you want to trade electricity. You need to consider this carefully.
• Connection and Use of System Code (CUSC): If you have a generation licence you will need to
become a party to the CUSC. Non-licensed generators can choose to sign the CUSC to benefit from
certain trading arrangements. You can see which sections, if any, of the CUSC apply to you in Section
1 of the CUSC, “Applicability of Sections and related Agreements Structure”.
• Compliance with the Grid Code: Medium Power Stations have to comply with some sections of the
Grid Code. The Distribution Code describes which sections apply. Large Power Stations have to
comply with all of the Grid Code.
• Agreements with National Grid Electricity System Operator (NGESO): For Medium Power Stations
and Large Power Stations there are various agreements you have to enter into or may choose to enter
into with NGESO. Developers of Small Power Stations may choose to enter into these agreements to
benefit from trading opportunities. These agreements are discussed in more detail in the Section 4.7:
G99 Type B-D, The Connection Application Process – Generation Licensing.
For more information on all of these issues, please see Section 4: The Connection Application Process and
websites of the following organisations:
• Elexon
• National Grid ESO

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Table 6: Table showing registered capacity categories.

Registered Capacity
Transmission Owner
Medium Power Station Large Power Station
(Region)

National Grid Electricity 50 to <100 MW 100 MW and above

Transmission (England and
Wales)

Scottish Power Transmission plc N/A 30 MW and above

(Southern Scotland)

Scottish Hydro Electric N/A 10 MW and above

Transmission plc (Northern
Scotland)

Registered Capacity Definition

The Registered Capacity is the Active Power (kW) of the Power Generating Module (or Power Generating
Facility). A technical capability of 0.95 power factor is generally required at the Connection Point, although for
Synchronous Power Generating Modules the relevant power factor is 0.92.
The specific definition of Registered Capacity can be found in EREC G98 and EREC G99.
There could be an active and reactive power loss between the Power Generating Module and the Connection
Point. The active power loss is small and usually ignored in practice.
The ENA standard application form asks for maximum active and reactive export power as well as the
Registered Capacity and notes that the Registered Capacity can apply to:
• A Power Generating Facility. This is the total maximum Active Power capacity of the Power Generating
Module(s) in the Power Generating Facility, minus the power consumed by the generation process. For
a Power Generating Facility with no other demand, you should take account of the requirement to
produce Reactive Power at the Connection Point which will mean considering other equipment such as
transformers and cables connecting the Generating Units to the Connection Point. For a Power
Generating Facility embedded in a private network with demand it is recommended that you discuss the
requirement to produce Reactive Power with the DNO. Hence the Registered Capacity (kW) will
generally be less than the Apparent Power (kVA).
• A Power Generating Module. This is the maximum Active Power capacity of the Generating Unit(s)
comprising the Power Generating Module, minus the power consumed by the generation process. It
needs to take account of the requirement to produce Reactive Power, and whether this is at the
Connection Point or at the Module terminals. Hence the Registered Capacity (kW) will generally be less
than the Apparent Power (kVA). Where a Power Generating Module comprises inverters, the maximum
Active Power capacity of the Generating Unit(s) is the lesser of the Inverter(s) rating or the rating of the
energy source.
Examples are included in Appendix A to show the process for inverter sizing and determining registered
capacity.

Getting Connected – IDNO’s Networks

The process for connecting your Distributed Generation to an IDNO’s network follows EREC G99 and is
therefore similar to connecting to a DNO’s network. IDNOs are licensed entities and are bound by some of the

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same licence conditions as DNOs, including certain performance standards such as timescales for responding
to requests for quotes. The majority of what is included in this guide applies to both DNO and IDNO
connections, including allowing the use of Independent Connections Providers (ICP) to construct network
extension.
However, there are a few key differences for a Distributed Generation connection to an IDNO network:
• Provision of Information: IDNOs have a reduced set of licence conditions compared with DNOs, and
they are not obliged to provide the same documents for customers. IDNOs are not required to produce
Long Term Development Statements nor Connection Charging methodologies and statements.
• Interaction between the IDNO and the Host Network: When an IDNO receives an application for
connection for Distributed Generation, they design and build the network infrastructure and connect to
the host network, which could be operated by a DNO or IDNO. If your generation project would cause
certain network parameters to exceed defined limits, such as voltage or export to the host network, the
IDNO and host DNO will explore options for accommodating your project. This discussion will take
place between the IDNO and the host DNO and will not involve you directly. However, the IDNO may
then discuss different options with you for the most appropriate generation project to be connected.
To determine whether you are connected to a DNO or IDNO network, refer to the guidance on Table 5

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Section 3.6: G98 & G99, Additional Information

Section 3.6: G98 & G99, Additional Information

This section provides:
• A summary of the additional tasks in the process of getting connected; and
• Guidance on where to find more information.

Getting Connected – Electricity Storage

Electricity storage devices are becoming more prevalent and can be incorporated within Distributed Generation
schemes to allow generated electricity to be stored within the premises rather than exported to the distribution
system. Electricity storage can also be used to provide ancillary services to network operators. When assessing
the technical impact on their distribution system DNOs treat electricity storage devices as demand when they
are importing from the distribution network and generation when they are exporting to the distribution network;
hence they need to be aware of electricity storage devices. More information can be found here. Electricity
storage needs to meet the relevant connection requirements set out in EREC G98 or G99, depending their
capacity.
If you are planning to use electricity storage devices in conjunction with PV (or other technologies) to offset
consumption, the total connected generation is likely to be above 16A / phase and hence EREC G99 applies.
However, DNOs have implemented a fast-track application process (last revised November 2022), for some
domestic scale electricity storage, depending on the total connected generation. This involves submitting the
G99 Form A1-2: Application for connection of Fully Type Tested Generation under the Small Generation
Installation Procedure and reduces the time for the DNO to provide confirmation that the connection is or is not
acceptable from 45 days to 10 days or less. If the storage is intended to be operated in island mode (during a
power outage) the fast-track process is not applicable and the standard EREC G99 process applies. Further
information can be found here.
As part of the ENA standard application form you will be asked to provide the following information:
• Information about electricity storage system installer / operator.
• Details about the storage type (storage only / combined with another technology), storage technology,
rating of storage, storage capacity and information regarding import and export capacities.
• Details of operating modes/ commercial service as well as additional operational details.
In addition to the above, the ENA has been working with Ofgem and the DNOs, as part of the ENA’s Action
Plan to develop number of ‘Tactical Solutions’ that can be implemented quickly by working within existing code
and licence requirements. These ‘Tactical Solutions’ are designed to get better use of the existing network
capacity and avoid triggering unnecessary reinforcements. The new solutions went live for connection
applications received on or after 30 September 2023. The ENA’s website provides further information on these
solutions - Battery Storage Connections - Tactical Solutions Guidance Notes – Energy Networks Association
(ENA).

Electricity Storage Operation

The DNO will undertake system design studies to assess the voltage step change based on the electricity
storage worst-case power swing considering Active Power and Reactive Power. As it is unlikely that both
parameters will change simultaneously an accurate representation of the storage operation should be provided
in the ENA standard application form to allow the DNO to undertake a representative assessment.
Before any change is made to the operating arrangements of the electricity storage a modification to the
Connection Agreement must be formally requested so that the DNO can assess the capacity of the distribution
system to accommodate the revised operating regime.

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Getting Connected – EREC G98 and EREC G99 Exceptions

EREC G98 Exceptions
If you are installing a generating unit under EREC G98 or G99 then the requirements apply in full in most
circumstances. However, if your generating unit is one of the following, some of the technical requirements in
EREC G98 and G99 do not apply:
• Classified as an Emerging Technology (see Emerging Technology box on page 25);
• An electricity storage device commissioned before 01 September 2022;
• Has a registered capacity of < 800 W; and
• Operated in infrequent short term parallel operation mode (i.e. operates in parallel with the distribution
system no more than 5 minutes in any month, and no more frequently than once per week).
The full details of the requirements that do not apply are described in EREC G98 and EREC G99.
If you are installing generating units that are connected via an inverter, the 800 W threshold applies to the
aggregate installed capacity of generation. So, for example, if you are installing 3 x 500 W solar PV inverters,
the aggregate installed capacity exceeds 800 W and EREC G98 applies in full. If a PV is connected via a single
inverter then the rating of the inverter or the aggregate rating of the generation units needs to be < 800W
otherwise G98 requirements apply.
It should be noted that, in the near future, there is likely to be a new requirement for electricity storage devices.
This would mean in the event of a system frequency event, if an electricity storage device is operating in import
mode it would need to switch to export mode.

Getting Connected
Supply Issues
Your DNO is obligated to maintain the power quality on their network within a set of defined limits. These
include maintaining voltage at the required levels. This is so that customer equipment is not damaged. If you
have a voltage complaint you should contact your DNO. Your DNO should respond to your complaint within 5
working days, or visit within 7 working days. If work is required to correct the issue, the DNO should complete
this within 6 months.

Health and Safety Considerations

Safety is very important in the design of generation connections. Some of the safety requirements for
Distributed Generation connections are set out in EREC G98 and EREC G99. This document references the
Regulation that informs these requirements, the Electricity Safety, Quality and Continuity Regulations (ESQCR)
2002, and lists the relevant British Standards.
You can find out more about Health and Safety aspects of Distributed Generation connections on the following
websites:
• The Electrical Safety First (ESF): https://www.electricalsafetyfirst.org.uk/
• The Energy Networks Association—Safety, health and environment:
https://www.energynetworks.org/keeping-you-safe/commitment-to-public-safety

Getting Connected – Vehicle to Grid

Vehicle to Grid (V2G) is in its infancy and trials are being undertaken to further understand and demonstrate its
benefits. For V2G the electric vehicle will be considered as being both a demand and a generator by DNOs.
The application you need to submit will depend on the power export capacity of the V2G unit and whether

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generation or electricity storage devices are already connected at the designated charging point. It is likely that
capacity of the V2G unit will be > 16 A per phase and therefore EREC G99, rather than EREC G98 will apply.
The current situation is that installers follow one of two generation application processes and sets of forms,
which are as follows:
• Where the total of all generation, fixed electricity storage and the power export capacity of the V2G unit
is < 50 kW 3-phase or 17 kW single-phase, the G99 simplified application form A1-1 can be used.
• Where the total of all generation, fixed electricity storage and the power export capacity of the V2G unit
is > 50 kW 3-phase, the connection application should be made using the standard application form.
In addition, your installer should complete forms associated with a standard Electric Vehicle (EV) charge point,
such as the ENA EV installation form located on the ENA website. The DNO may request further information,
such as a photograph of your electricity meter and the cut-out.
The ENA Low Carbon Technology Working Group has been looking at ways to simplify the connection
application process and associated forms for V2G applications, including considering a single process that
combines the aspects of EV as demand and generation.

Where to Find More Information

If you want to find out more on EREC G98 and EREC G99, these documents are particularly relevant:
• Engineering Recommendation G98: Requirements for the connection of Fully Type Tested Micro-
generators (up to and including 16 A per phase) in parallel with public Low Voltage Distribution
Networks on or after 27 April 2019. This can be downloaded free of charge via the DCode as well as
ENA website;
• Engineering Recommendation G99: Requirements for the connection of generation equipment in
parallel with the public distribution system on or after 27 April 2019 - available to download free of
charge via the DCode as well as ENA website;Electricity Safety, Quality and Continuity
Regulations (ESQCR) 2002, Section 22: Statutory Instrument Number 2665, available free of charge;
• Ofgem’s information about how to get an electricity connection for a new building or site.
• The Grid Code - available free of charge on National Grid’s website;
• The Distribution Code of Licenced Distribution Network Operators of Great Britain:- available free of
charge on the Distribution Code website;
• Engineering Recommendation G59, relating to the connection of generating units to the distribution
systems of licensed Distribution Network Operators - available to download free of charge via the
DCode as well as ENA website. This is not applicable to generation connecting after the 27th April
2019.
Other useful documents and links:
• Independent Connections Providers (ICPs): see the Lloyds Register website information on the
National Electricity Registration Scheme (NERS);
• National Grid Electricity Transmission Ten Year Statement - available National Grid’s website;
• Metering Codes of Practice
• Elexon publish Simple Guides to the BSC and Electricity Trading Arrangements: A Beginner’s Guide for
more information on trading electricity;
• The Connection and Use of System Code (CUSC) is available free of charge on National Grid’s
website;
• NGESO also has information on their website about Connections and Agreements;
• The Balancing and Settlement Code (BSC) is available free of charge on Elexon’s website;
• The IET Wiring Regulations (British Standard 7671) are available to buy on the IET website;
• Ofgem’s information about how to get an electricity connection for a new building or site; and
• Long Term Development Statements (LTDS) - see below.

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• Ofgem’s information about how to get an electricity connection for a new building or site.

Table 7 Table showing list of DNOs and links to their LTDS.

DNO Link to LTDS

Electricity North West Long Term Development Statement
Northern Powergrid Northern Powergrid LTDS
Scottish Power Energy Networks Long Term Development Statement - SP Energy Networks
Scottish & Southern Electricity Long term development statements (LTDS) - SSEN
Networks
UK Power Networks Long Term Development Statement and Network Development Plan
National Grid Electricity Long Term Development Plans
Distribution

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Section 4.1: G98 Single Premises, The Connection Application Process

Section 4: The Connection Application Process

This section discusses the connection application process for all Distributed Generation.

Section 4.1: G98 Single Premises, The Connection Application Process

This section provides:
• A summary of what the installer of your generating unit needs to do to notify the DNO that your
generation has been installed and commissioned in accordance with EREC G98; and
• Details of the information that you will need to provide to the DNO.

Introduction
Under the provisions of the Electricity Safety, Quality and Continuity regulations (ESQCR) you only need to
inform the DNO that you have installed your generating unit. You do not need to contact the DNO in advance if
the total capacity of all your generating units combined is 16 amps or less per phase at low voltage.
This section of the Guide summarises the information which you will need to provide to your DNO and gives
information about the forms that are used for providing the necessary technical details.

The Installation Document

You do not need to talk to your DNO before your generation equipment is commissioned. Your installer must
inform the DNO and provide information about the installation within 28 days of the date of commissioning.
This information is defined in an installation document, which is provided in Form B of EREC G98 Appendix 3.
This can be accessed at Energy Networks Association website.
Your installer should prepare all of the details requested in the installation document and submit all this with the
form to confirm that your equipment has been commissioned. The information required includes:
• Details about the site where you generating unit has been connecting your, including metering
information;
• Contact details for the owner of the generating unit;
• Technical information about the generating unit itself, including the generating capacity, type test
reference and primary energy source;
• Details of the installer of the generating unit, including the party’s accreditation and qualifications;
• Supporting information, eg. circuit diagrams; and
• A signed declaration as to the compliance of the generating unit with the requirements of EREC G98.

Other Requirements
The declaration that your installer signs on the installation document requires them to confirm that they have
installed your generating unit in accordance with EREC G98. It’s important that you use an installer who is
familiar with the requirements of EREC G98. If you appoint a competent installer (see Section 3: An Overview
of Getting Connected), they should know about EREC G98 and make sure that your installation meets with all
the relevant standards. You should check that your installer is aware of all these requirements.

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Section 4.2: G98 Multiple Premises, The Connection Application Process

Section 4.2: G98 Multiple Premises, The Connection Application Process

This section provides :
• A summary of how to apply to your DNO for connecting generating units in multiple premises;
• Details of the information that you will need to provide to the DNO and the design work they may need
to do to assess your connection; and
• A summary of how to notify the DNO that your generation unit(s) has been installed and commissioned
in accordance with EREC G98.

Introduction
This section of the Guide describes how to inform your DNO that you are planning to install a number of
generating units that fall under EREC G98 into different customer premises within a close geographic region.
This section also explains the notifications which the installer of your equipment will need to give to your DNO
once the units are commissioned.

The Connection Application Form

The connection application form included in EREC G98 should be completed by your installer if you are
planning to install generating units covered by EREC G98 in different customer premises within a close
geographic region. This should be submitted before any generation is installed, as the DNO needs to assess
the possible impact of the generating equipment on the distribution system. The format for the application is
shown in Form A of EREC G98 Appendix 3. This can be accessed at Energy Networks Association website.
The form requires the following:
• Details of the installer of the generating units, including their qualifications; and
• Information on the proposed generating equipment, including the address, meter number, capacity,
and type testing reference number.
When the application has been submitted to the DNO by your installer, the DNO will assess the impact of the
generation on their network. Where necessary, they will carry out design work, e.g. for network reinforcement. If
your generation project is part of a larger project, e.g. developing new housing, then your application needs to
be coordinated with the connection application for import supplies. Connection of the generation equipment will
only be allowed to proceed after the DNO has approved the application, and any facilitating works for the
connection have been completed.

Installation and Commissioning

If the DNO gives permission for the installation of the generation equipment to proceed, your installer will install
and commission the generating units. They must then notify the DNO that this has been done, in accordance
with the Electricity Safety, Quality and Continuity Regulations (ESQCR). The process and timescales for doing
this are described below.

The Installation Document

The installer of your generating units has to tell the DNO about each generation installation within 28 days of
the date of commissioning (including the commissioning day itself).
The installation document in EREC G98 captures all the information that the DNO needs once your installer has
commissioned each of your generating units. This can be found in Form B of EREC G98Appendix 3 of. This
can be accessed at Energy Networks Association website.
The information includes:

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• Details about the site where you are connecting your generating unit, including metering information;
• Contact details for the owner of the generating unit;
• Technical information about the generating unit itself, including the generating capacity, type test
reference and primary energy source;
• Details of the installer of the generating unit, including the party’s accreditation and qualifications;
• Supporting information, e.g. circuit diagrams; and
• A signed declaration as to the compliance of the generating unit with the requirements of EREC G98.
One installation document is required for each generating unit.

Other Requirements
The declaration that your installer signs on the installation document requires them to confirm that they have
installed your generating unit in accordance with EREC G98. It’s important that you use an installer who is
familiar with the requirements of EREC G98. If you appoint a competent installer (see Section 3. An Overview
of Getting Connected), they should know about EREC G98 and make sure that your installation meets with all
the relevant standards.

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Section 4.3: G98 Single & Multiple Premises, Additional Information on Compliance

Section 4.3: G98 Single & Multiple Premises, Additional Information on

Compliance

Getting Connected – Guidance on Compliance

ENA Type Test Register
In order for a generating unit to be registered in the ENA’s Test Type Register, the manufacturer will need to
complete a Type Test Verification Report, which demonstrates that the generating unit complies with EREC
G98 or EREC G99 requirements. Once complete, the Type Test Verification Report should be uploaded
and maintained on the ENA’s Type Test Register by the generating unit manufacturer. The ENA Type Test
Register gives assurance to DNOs and IDNOs that the generating unit connected to their network is fully
compliant with EREC G98 or EREC G99 technical requirements. The ENA Type Test Register also gives
assurance to customers and installers that equipment is suitable to be connected and operated in parallel with
the distribution system. When details on a new generating unit, or amendments to an existing generating unit,
are submitted to the ENA Type Test Register, it is assigned an ‘Awaiting Assessment’ compliance status. It can
take up to 4 weeks for the compliance status to be assessed. Once the ENA compliance assessment is
complete, one of the following compliance statuses will be assigned:
• Compliant: The generating unit has been reviewed against EREC G98 or EREC G99 requirements
and is deemed compliant. This is indicative only and the DNOs retain the right to review the suitability of
connecting the generating unit to their network.
• Minor Non-compliance or Document Error: The generating unit cannot be accepted as being
compliant due to documentation errors or the need for additional further information or assessment to
ensure compliance with EREC G98 or EREC G99. Once the documentation has been updated by the
manufacturer, it will be reviewed again.
• Non-compliant: The generating unit is deemed, based on the submitted evidence, or lack of it, to be
non-compliant and requires a revision and update of the information. Non-compliant generation must
not be connected in parallel with the network and manufacturers should update and resubmit their
evidence to the ENA.
The ENA provides compliance guidance on their Type Test Register website to support manufacturers:
• Provide the right information in their Type Test Verification Report; and
The ENA confirms compliance after completing their review of the evidence against EREC G98 or EREC G99
requirements.
Key information on the ENA Type Test Register website is summarised below:
• A PowerPoint webinar presented at a manufacturers’ workshop on 03 November 2020. This provides
an example walkthrough of the EREC G98 Form C (Type Test Verification Report) for a 3 kW Energy
Storage Device, with tips on how to record the right information in the form. The webinar slides contain
examples of compliance and non-compliance, including typical errors seen in Type Test Verification
Reports. The PowerPoint slides can be accessed via the ENA Type Test Register: https://www.ena-
eng.org/gen-ttr/;
• A user guide on the ENA Type Test Register https://www.ena-eng.org/gen-ttr/UserGuide/userguide.pdf;
and
• Further information on EREC G98/G99 guidance forms: https://www.ena-eng.org/gen-
ttr/UserGuide/G98_G99_Guidance_Forms.pdf.

Common Errors on EREC G98 Form C (Type Test Verification Report)

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• Incorrect declaration to EREC G98 (i.e the registered capacity exceeds the 16 A per phase threshold
for EREC G98);
• Confirmation of logic interface is missing;
• Issues with voltage fluctuations / flicker;
• Partially Weighted Harmonic Distortion (PWHD) / Total Harmonic Distortion (THD) values not provided;
• Missing 2nd and 3rd harmonic current values;
• Harmonic current calculation incorrect;
• Fault level contribution missing; and
• Limited Frequency Sensitive Mode— Overfrequency (LFSM-O) active power output does not reduce
with the required droop

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Section 4.4: G99 Type A, The Connection Application Process

Section 4.4: G99 Type A, The Connection Application Process

This section provides:
• A summary of how to apply to your DNO to install Power Generating Modules;
• Details of the connection offer that the DNO will produce for your connection; and
• A summary of how to notify the DNO that your Power Generating Modules have been installed and
commissioned in accordance with EREC G99.

Introduction
This section of the Guide describes the application process for the connection of your Power Generating
Module to the distribution system. This includes the application for connection form, and the connection offer
from the DNO.
This section also explains the forms that your installer will need to provide to the DNO, including:
• Compliance forms, and
• Notifications once the units are commissioned.
This section is written for installations where the Power Generation Module to be installed is categorised as
being Type A in EREC G99, and where the output is greater than 16A per phase. If this does not apply to your
installation, please refer to Table 1.
There is more information on the connection application process in the Section for EREC G99 Type B – D
Power Generating Modules, including:
• Wayleaves for new connections;
• Interactive connection applications; and
• The Statement of Works process and recent developments in this area.
These are unlikely to be relevant for connecting Type A Power Generating Modules, but if these do impact your
project, refer to the EREC G99 Types B to D section of this Guide for more detailed information on these topics.

The Standard Application Form

For Power Generating Modules with capacity less than 50 kW 3-phase or 17 kW single phase there is a
simplified connection application form in Annex A.1 of EREC G99, which is available from the ENA website.
This form is simpler than the form required for larger Power Generating Modules. It requires information about
the site, any existing generation on the site, and some simple details of the equipment you are intending to
install.
For larger Power Generating Modules there is a standard application form, which is available on the ENA
website and generally on DNO websites.
The standard application form contains a comprehensive list of data requirements to assist the DNO with
carrying out system studies to assess your connection. You should do your best to provide as much of this
information as possible as part of your connection application to ensure your quote is as accurate as it can be.
If you have difficulty with filling out this form, you can discuss this with your DNO or an adviser such as an
engineering consultant to assist you.
You or your installer should submit the application form to the DNO before any generation equipment is
installed, as the DNO needs to assess the possible impact of your generating equipment on the distribution
system.

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The standard application form is used as an iterative document, developed as the connection and commission
process develops. It is used to record information about your generating units that needs to be provided to the
DNO before commissioning, to comply with the requirements set out in the Distribution Code Distribution Data
Registration Code (DDRC).
When the application has been submitted to the DNO, they will assess the impact of the generation on their
network. Where necessary, they will carry out design work, e.g. for network reinforcement. This will be detailed
in your Connection Offer.

The Connection Offer

The Connection Offer that you will receive from your DNO should contain the following information:
• Details of the equipment and works needed to connect your generating units to the distribution system;
• Information about any works needed to extend or reinforce the DNO’s network as a result of connecting
your generating unit to the distribution system;
• Any technical and commercial terms which will apply for the DNO to construct the connection and
provide Use of System services;
• Any other useful information, such as whether the DNO will need to witness commissioning of your
generating units.
The offer will also contain details of the costs for the DNO to undertake any work. Further information about
these costs is given in Section 5: Costs and Charges. You will have a defined period specified in your
Connection Offer within which to accept the offer. This will typically be in the range 30- 90 days. Make sure you
are aware how long your acceptance period is, as this can vary across DNOs. There is no guarantee that once
a Connection Offer is lapsed that a similar offer can be made again.
Once accepted, Connection Offers may be withdrawn if the DNO feels that your project is not progressing at a
reasonable rate. This is to prevent spare capacity being ‘reserved’ for projects that in practice are not actually
being built. You may be asked to provide regular updates about the progress of your project. This will enable
the DNOs to proactively manage the queue on behalf of all generation customers. Ofgem’ announcements and
the ENA’s Action Plan, the ‘first come, first serve’ approach to managing connection applications will be
replaced by a ‘first ready, first connected’ approach.
It is possible that there will be other Distributed Generation in development in the same area of the network. If
this is the case, your application may affect, or be affected by, another connection application. In this case all
the relevant applications are referred to as “interactive”. The DNO will tell you in writing if your connection
application is interactive with one or more others. The Connection Offer will also specify that it is interactive with
other applications. Connection Conditions
The DNO may include certain conditions or restrictions in order for the connection to be provided. Your
Connection Offer will include details of these, and if you need to know more information then you can discuss
this with your DNO. You will have to agree to these conditions in order to accept the Connection Offer.

Flexible Connection Offers

The DNO will decide if a connection is viable by considering the worst-case credible scenario for the network. If
the connection of your generation would cause equipment ratings or statutory limits to be exceeded, then the
DNO would not allow the connection without addressing the issues identified. The DNO may decide that the
best thing to do is to reinforce the existing network so that it can accommodate the new power flows. However,
this could be prohibitively expensive for your project.
In these cases, or where the customer has requested, the DNO may offer a connection with certain restrictions,
such as setting a maximum level for export, or restricting generation export under certain network conditions.
This could involve entering into a specific commercial arrangement.

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For connection applications received by the DNO, the DNO may offer a curtailable connection to allow a quicker
connection to the network. This will include an agreement that your connection may be restricted at certain
times until the required reinforcement of the distribution system has been completed. The amount of curtailment
in the interim period will be measured and compared against a limit, established by an agreed methodology,
above which the DNO will pay you compensation. The curtailment will cease after an agreed end date by which
time the necessary network reinforcement should have been completed. See section 5.5 Connection Charges
for more information.
Even with a standard Connection Agreement, in rare operational scenarios it may be necessary for the DNO to
restrict the operation of a generator in order to, for example, maintain safety or power quality.
If NGESO is involved in your project (e.g. if your DNO has requested an Evaluation of Transmission Impact to
to identify any transmission system works required), then they can impose conditions on your connection. Your
DNO must ensure that NGESO conditions are met before they allow connection.

Reactive Power Import / Export

The apparent power at any point on the network is the product of the voltage and current at that point. The
apparent power is made up of two components, the active power and the reactive power. It is likely that active
power is the electrical power you are more familiar with. It is measured in watts (W) and is the useful power that
we import into our houses to run our electrical goods. However, there also needs to be a balance of reactive
power on the network. It is the DNO’s responsibility to ensure that the distribution system can cater for both real
and reactive power. Your generating unit will be capable of controlling the amount of reactive power that it
absorbs or produces. All PGMs need to comply with EREC G99 reactive power capabilities. It may be possible
to mitigate negative effects that your generator might have on the network (e.g., rise in system voltage) by
controlling the amount of reactive power you produce or absorb. This may allow you to connect a higher
capacity generator. You can discuss this option with your DNO.

Compliance Forms
If your Power Generating Module is Fully Type Tested and registered with the ENA’s online Type Test Register,
it will have a manufacturer’s reference number (or Product ID on the ENA website). This means that the Power
Generating Module meets the requirements of EREC G99, and the manufacturer has submitted information to
the ENA that demonstrates this. You should include the reference number on your application form, and do not
need to submit anything further to demonstrate compliance.
Otherwise, your Power Generating Module may comprise a mixture of type tested components, components
where the compliance is demonstrated using manufacturers’ information, and components that will need to be
tested on site. In this case you (or your installer) need to submit information to indicate how you are intending to
demonstrate compliance with EREC G99. This is done by submitting a Compliance Verification Report for each
Power Generating Module. The format of this report is given in Appendix A.2 of EREC G99. There are several
options (Forms A.2-1, A.2-2, A.2-3), depending on the registered capacity of your Power Generating Module,
and the type (synchronous, asynchronous, inverter connected). These forms should be submitted prior to
arranging commissioning.
In some cases (e.g. where interface protection is not Type Tested) you will need to demonstrate elements of
compliance on site. You can do this at the time of commissioning (see below). In this case, there is a Form A.2-
4 in EREC G99 called “Site Compliance and Commissioning test requirements for Type A Power Generating
Modules”, which sets out the format of recording the relevant test results. Where the DNO witnesses
commissioning, this can be submitted to the DNO on the day. Otherwise, this should be submitted to the DNO
within 28 days of the date of commissioning (including the commissioning day itself.

The Installation Document

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Commissioning should take place once the installation and connection is complete (or in the case of a phased
installation, when each phase is complete). The tests and checks required for commissioning are described in
section 15 of EREC G99.
The results of the commissioning tests should be recorded on the Installation Document, which is included in
Annex A.3 in EREC G99, available on the ENA website.
You or your installer should fill out this form and sign the declaration at the bottom. The information required
includes:
• Details about the site where you are connecting your generating unit, including metering information;
• Contact details for the owner of the generating unit;
• Technical information about the Power Generating Module itself, including the generating capacity,
type test reference and technology type;
• Details of the installer of the Power Generating Module, including the party’s accreditation and
qualifications;
• Supporting information, eg. circuit diagrams; and
• A signed declaration as to the compliance of the power generating module with the requirements of
EREC G99; and
• A signed declaration as to the compliance with the site compliance and commissioning tests, if
applicable (Form A2.-4).
There are two parts to the Installation Document:
• Part 1 is required for the Power Generating Facility; and
• Part 2 is required for each Power Generating Module.
The Installation Document must be submitted within 28 days of the date of commissioning (including the
commissioning day itself). If the DNO witnesses the installation, then the form can be filled in on the day and
handed to the DNO representative.

Other Requirements
The declaration that your installer signs on the Installation Document requires them to confirm that they have
installed your generating unit in accordance with EREC G99. It’s important that you use an installer who is
familiar with the requirements of EREC G99. If you appoint a competent installer (see Section 3: An Overview
of Getting Connected), they should know about EREC G99 and make sure that your installation meets with all
the relevant standards. You should check that your installer is aware of all these requirements.

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Section 4.5: G99 Type A, Additional Information

Section 4.5: G99 Type A, Additional Information

Getting Connected – Guidance on Compliance

ENA Type Test Register
In order for a generating unit to be registered in the ENA’s Test Type Register, the manufacturer will need to
complete a Type Test Verification Report, which demonstrates that the generating unit complies with EREC
G99 requirements. Once complete, the Type Test Verification Report should be uploaded and
maintained on the ENA’s Type Test Register by the generating unit manufacturer. The ENA Type Test
Register gives assurance to DNOs and IDNOs that the generating unit connected to their network is fully
compliant with EREC G99 technical requirements. The ENA Type Test Register also gives assurance to
customers and installers that equipment is suitable to be connected and operated in parallel with a distribution
system. When details on a new generating unit, or amendments to an existing generating unit, are submitted to
the ENA Type Test Register, it is assigned an ‘Awaiting Assessment’ compliance status. It can take up to 4
weeks for the compliance status to be assessed. Once the ENA compliance assessment is complete, one of
the following compliance statuses will be assigned:
• Compliant: The generating unit has been reviewed against EREC G99 requirements and is deemed
compliant. This is indicative only and the DNOs retain the right to review the suitability of connecting the
generating unit to their network.
• Minor Non-compliance or Document Error: The generating unit cannot be accepted as being
compliant due to documentation errors or the need for additional further information or assessment to
ensure compliance with EREC G99. Once the documentation has been updated by the manufacturer, it
will be reviewed again.
• Non-compliant: The generating unit is deemed, based on the submitted evidence, or lack of it, to be
non-compliant and requires a revision and update of the information. Non-compliant generation must
not be connected in parallel with the network and manufacturers should update and resubmit their
evidence to the ENA.
The ENA provides compliance guidance on their Type Test Register website to support manufacturers:
• Provide the right information in their Type Test Verification Report; and
• Confirming compliance after the ENA’s review of the evidence against EREC G99 requirements.
Key information on the ENA Type Test Register website is summarised below:
• A PowerPoint webinar presented at a manufacturers’ workshop on 03 November 2020. This provides
an example walkthrough of the EREC G99 Form A2-3 (Verification Report for Type A Inverter
Connected Power Generating Modules) for a 18 kW 3-phase inverter, with tips on how to record the
right information in the form. The webinar slides contain examples of compliance and non-compliance,
including typical errors seen in Type Test Verification Reports. The PowerPoint slides can be accessed
via the ENA Type Test Register: https://www.ena-eng.org/gen-ttr/;
• A user guide on the ENA Type Test Register https://www.ena-eng.org/gen-ttr/UserGuide/userguide.pdf;
and
• Further information on EREC G98/G99 guidance forms: https://www.ena-eng.org/gen-
ttr/UserGuide/G98_G99_Guidance_Forms.pdf.
Common errors on forms
Examples of common errors in the EREC G99 Form A2-3 are as follows:
• Confirmation of logic interface is missing;

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• Issues with voltage fluctuations / flicker;

• Partially Weighted Harmonic Distortion (PWHD) / Total Harmonic Distortion (THD) values not provided;
• Missing 2nd and 3rd harmonic current values;
• Harmonic current calculation incorrect;
• Fault level contribution missing; and
• Limited Frequency Sensitive Mode— Overfrequency (LFSM-O) active power output does not reduce
with the required droop
The different compliance forms (EREC G99 forms A2-1, A2-2, A2-3), which are relevant to your Power
Generating Module are illustrated in the diagram below.

Figure 8: Diagram showing the different compliance forms.

Type Test Options

An extract of the EREC G99 A2-3 (Verification Report for Type A Inverter Connected Power Generating
Modules) form is provided below. This form is for inverter connected generation and is the most commonly used
of all the Type A Power Generating Module compliance forms. The form can be used to demonstrate
compliance of:
1. Fully type tested Power Generating Modules (≤ 50 kW); all tests should be complete;
2. A type tested product (part of a Power Generating Module such as a Generating Unit, Inverters and the
Interface Protection) with test results;
3. One-off Installation where the Manufacturer or Installer can confirm that the Power Generating Module has
been tested to satisfy all or part of the requirements in EREC G99
4. A Power Generating Module where elements are to be tested on site during the commissioning.
Columns 2 – 4 of the extract in Figure 9, should be used to indicate (e.g. with ticks) which tests are being
demonstrated in the form.

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Figure 9: Testing options on form A2-3.

Harmonic current calculations incorrect; Fault level contribution missing; and Limited Frequency Sensitive Mode
– Over frequency (LFSM-O) active power output does not reduce in the required droop range.

Power Quality Assessments

Power quality assessments are required, as per EREC G5 and EREC P28, in relation to harmonics and voltage
fluctuations. Generation equipment should not result in harmonics exceeding recommended limits or significant
variations in grid voltages outside the limits set out in EREC G5 and EREC P28 respectively. An assessment of
compliance with EREC G5 and EREC P28 is necessary for Fully Type Tested devices < 50 kW, however this
will generally allow the connection of a Fully Type Tested device with no need for mitigation (unless the fault
level is unusually low, e.g., in remote rural locations). Fully Type Tested status cannot be obtained for power
generating modules with a capacity > 50 kW, due to the need for site specific compliance assessments with
EREC G5 and EREC P28.

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Section 4.6: G99 Type B-D, The Connection Application Process

Section 4.6: G99 Type B-D, The Connection Application Process

This section provides:
• Details of the key stages in the process of making a connection application and receiving a response
from the DNO;
• Details of the information that you will need to provide to the DNO and the studies that they will need to
carry out to assess your application;
• Information about what a Connection Offer typically contains; and
• Information on additional forms and notifications required by EREC G99.

Introduction
This section of the Guide describes how to make a connection application to a DNO. It focuses on some
specific actions that you will need to take as part of the overall process of “Getting Connected”, which is
described in Section 3 of the Guide.
Details of the connection application itself are provided, with reference to the ENA’s standard application form.
The timescales involved in making a connection application are described, although these can vary significantly
from one project to another.
This section also includes details of the type of technical studies which DNOs need to carry out, and the likely
requirements they will have for data from you about the proposed generation project.

The Connection Application Timeline

The timeline shown on the next page is an indicative guide as to how long it might take you to have a
Connection Offer agreed with your DNO. The information box in Page 91 summarises the licence obligations of
the DNO to give you a Connection Offer within a particular time, once you have provided all the necessary data
supporting your application.
The times shown in the timeline could vary depending on, for example:
• How quickly you are able to do the background work;
• How complex your connection is; and
• Any technical or planning issues that the DNO identifies.

For more information about the information needed by DNOs at different stages in the connection process, see
the Distribution Data Registration Code in the Distribution Code. This is available from https://dcode.org.uk/the-
gb-distribution-code-review-panel.html

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Figure 10: Indicative connection application timeline.

Project Planning Phase: Consult published information to

Planning
Month 1 identify connection opportunities (see Section 3.5: G99 Type B-
D, An Overview of Getting Connected of this Guide for more
information)

Month 2-3 Hold Preliminary Discussions with the DNO: Hold preliminary
discussions with DNO to identify connection options and potential

Information
issues

Phase
Month 4-5 Request Information about the Network: Submit a request
for details of the circuit capacity, flows and loads in the
vicinity of your site (This stage is optional)

Month 6
Review this information and consider the size and configuration
of your project accordingly
Complete and submit the standard application form

Month 7
DNO prepares Months 7-9
Use of System offer DNO prepares Connections Offer

Design Phase
Month 10
Receive a Connection Offer and review, with external advice/
assistance if necessary, noting the elements for Contestable and
Non-contestable work. The DNO may charge Assessment &
Design fees. See Section 5.4: G99 Type B-D, Costs and Charges
for more information.

Month 10- Negotiate final connection terms with the DNO and appoint an
12 Independent Connections Provider if appropriate. You
commence discussions with the DNO about a Connection
Agreement, to be negotiated whilst the connection is under
construction.

Notes on the Indicative Timeline:

Some of the stages shown in the timeline are optional, for example, consulting the published information and
obtaining advice regarding preliminary connection designs. These activities can be useful as they provide extra
information earlier in the process, and they may uncover issues earlier than they would otherwise be known,
allowing them to be planned for. If you do not undertake these activities but are happy to lodge a formal
connection application after an initial discussion with your DNO, the time to complete this process will be
reduced.

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It is also possible to combine some of the stages of activity, so that for example you begin compiling the
information to support your connection application whilst in the early stages of discussions with the DNO. This
would reduce the elapsed time in the connection process from what is shown above.
If your generation project might have an impact on the transmission system, the above timescale could be
significantly extended, due to the need to obtain and Evaluation of Transmission Impact assessment form from
NGESO regarding any required transmission system modifications. You should discuss the likelihood of such
an assessment being required with your DNO at an early stage.

Initial Discussions with the DNO

To make applying for a connection as straightforward as possible, you are advised to contact your DNO at an
early stage in the connection process. You should explain to them in as much detail as you can the plans that
you have in mind, so that they can give you an early indication of the likely technical challenges and/or
significant cost items which may be required to make your connection possible. If you think you will have import
requirements (most generation projects have a least a small import requirement to cater for when the Power
Generating Facility is not running), these should be discussed with the DNO as well as your export capacity
requirements. It is likely that the DNO will invite you for an initial discussion, which is usually free of charge.
This is the chance for both parties to share information which will be helpful in putting the connection application
together. Before you have this discussion, though, it’s helpful if you have done some background work to
investigate the network in the area around your project, and to be able to provide technical information about
your generating equipment.

Information about the Network

To obtain more specific information, however, you can make a request to the DNO for an estimate of the
present and future circuit capacity, forecast power flows and loadings on the relevant parts of the distribution
system. You may be charged for some or all these services.
The information that the DNO will provide should be sufficient to enable you to identify and evaluate the
opportunities for connecting to and using the relevant parts of the DNO’s network. It may also, if you so request,
include a commentary on the DNO’s views regarding the suitability of the relevant part of the distribution system
to accommodate new connections and the export of power from the proposed Power Generating Module(s).
You may also wish to request the DNO or a third party (e.g.an engineering consultant) to carry out feasibility
studies to identify budgetary connection costs for your proposed project. The reliability of these estimates will
be significantly influenced by the quality of the information that you can provide at this time to enable a
reasonable assessment of the likely connection configuration and capacity to be carried out. Some DNOs will
charge for carrying out these budget estimate and others will not.
Requesting information: This stage is not compulsory—you can proceed with your application form without
carrying out this background work. It is up to each developer to decide whether requesting this sort of
information is going to be helpful to the overall development of their connection, or whether simply to proceed
with the formal application.

The Standard Application Form

You should use the standard application form (Connection of Power Generating Modules to DNO Distribution
Networks in accordance with EREC G99). This is available, and can be found on the Energy Networks
Association website.
The standard application form contains a comprehensive list of data requirements to assist the DNO with
carrying out system studies. You should do your best to provide as much of this information as possible to
ensure your quote is as accurate as it can be. If you have difficulty filling out this form, you can discuss this with
your DNO or an adviser such as an engineering consultant. The requirements in the application form are based

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on the requirements of the Distribution Data Registration Code (DDRC), which is part of the Distribution Code.
This splits the data requirements from Distributed Generation into three categories: Standard Planning Data,
Detailed Planning Data and Operational Data. The application form is split into five parts. Parts 1 to 3 ask for
Standard Planning data, and in some cases, this is sufficient for the DNO to complete the connection design
and make a Connection Offer. However, depending on the generation capacity and the location within the
network, you will need to complete Part 4 of the application form. If you do not complete this initially, the DNO
may ask you to do it later. Part 5 enables you to provide additional data that may be required by the DNO
before they issue a Final Operational Notification (FON). Your DNO will tell you if you need to provide this
information.
The standard application form is used as an iterative document, developed as the connection and commission
process develops, in conjunction with the PGMD. It is used to record information about your generating units
that needs to be provided to the DNO before commissioning, to comply with the requirements set out in the
Distribution Code DDRC.
When completed, your application form should be sent to your DNO. Your DNO’s contact details can be found
on the membership area of the ENA website. An online application process may be available on your DNO’s
website.
Standard Application Form
Part 1 is for information about the Owner/Operator of the generation unit(s) and their consultant’s details if
applicable, as well as details about the facility, including its location.
Part 2 is for information about export and import arrangements.
Part 3 requests some information specific to the generating units that you are planning to use.
Parts 4 and 5 request more detailed information that is specific to the generation technology and equipment
that you are planning to use. The information here is quite detailed, and, if your DNO asks you to provide this
information, you may require assistance from the proposed suppliers of your generation equipment to fill in all of
the details.

Network Studies
Once you have filled in and submitted the standard application form, the DNO will need to assess the impact of
your Power Generating Module(s) on the network. Your project may affect parts of the network that are distant
(both geographically and electrically) from it, including at higher voltage levels (e.g. an 11kV connection can
impact the 33kV network). It can take some time to identify the impact on the network at higher voltage levels.
The DNO will carry out studies which may include:
• Load flow studies, to work out where the power that you generate will flow on the distribution system
and to check that currents and voltages will stay within equipment ratings and statutory operating limits;
• Contingency analysis, to decide how to configure your connection so that you can continue to
generate if one network component is not in service for any reason (eg. maintenance or work on the
network, or a fault on a cable circuit);
• Fault level studies, to calculate how much current would flow out of your generating units in short
circuit conditions and to make sure that the system could safely interrupt the higher fault currents on the
network once your project is operational;
• Transient stability studies may be necessary to determine whether there are going to be specific
protection requirements associated with your project; and
• Studies of disturbances such as harmonics and voltage flicker - correcting problems such as this
could involve the connection of additional equipment and possibly increase connection costs.
The number and complexity of studies that have to be undertaken will vary depending on a number of factors.
These include the type and size of your generating units, the complexity and use of the network around your

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site, and the level of security you want for your connection. An indication of the charges for these studies can
often be found in DNO documentation, such as the Long-Term Development Statement, or the Statement of
Charging Methodology.

How quickly must the DNO give me a Connection Offer?

The Standard Conditions of the Electricity Distribution Licence require DNOs to offer terms for connection and
use of system “as soon as is reasonably practicable” after receiving a request. If you have only asked for Use of
System, the DNO must provide an offer within 28 days. If you have requested both Connection and Use of
System, the DNO must give you an offer within three months. These times only apply once the DNO has all the
information from you that it can reasonably ask for.

Estimated data: If actual data is not available at the time of completing an application form, you may provide a
reasonable estimate of the actual data. You should indicate if data is estimated. Where estimated data is
submitted to the DNO, and the final data is significantly different from the estimated data, this may affect the
validity of the Connection Offer. It is therefore important that the information you provide is as complete and
accurate as possible, and that you inform your DNO of any changes to the data as soon as you can.

The Connection Offer

The Connection Offer that you will receive from your DNO should include the following:
• Details of the equipment and works needed to connect your Power Generating Module(s) to the
distribution system;
• Information about any works needed to extend or reinforce the distribution system, and potentially the
transmission system, as a result of connecting your generating units to the network;
• Information about the metering which the DNO may want to install at your site to measure energy
exports for operational purposes; and
• Any special metering, communications or data processing equipment that may be needed at your site
to ensure that you and the DNO can comply with any requirements under the Balancing and Settlement
Code (which you’ll need to comply with if you have a Generation Licence. See Section 4. The
Connection Application: Generation Licensing for more information).
The Connection Offer will contain the technical and commercial terms which will apply for the DNO to construct
the connection and provide Use of System services. The Connection Offer will differentiate between
Contestable work and Non-contestable work, if you requested this information.
The Connection Offer will also contain details of the costs which will apply if the DNO undertakes the Non-
contestable and Contestable work. Further information about the way these costs are worked out is given in
Section 5: Costs and Charges.

Wayleaves for New Connections

Obtaining wayleaves, or the right of way for new lines and cables to connect your generating equipment to the
distribution system, can be time consuming. Wayleaves are generally obtained by the DNO, although they
could in some situations be obtained by an ICP.
To understand the wayleave requirements for your connection you should:
• Discuss at an early stage with your DNO whether there is a possibility that obtaining the necessary
wayleaves could be contentious;
• Consider asking the DNO to investigate this in any feasibility studies you may ask them to undertake

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• Ask the DNO to indicate in the Connection Offer whether your connection costs or timing could be
affected by wayleaving and/or planning consent issues, and to itemise the costs included in the
quotation for these components; and
• Ask the DNO to consider alternative routes for cables and/or overhead lines, if this could result in
simpler planning and wayleaving processes, and to indicate the different connection costs and
timescales that may result – for example, cabling along a public highway, whilst being potentially more
expensive than an overhead line, may have fewer wayleaving complications than an overhead line
option. Similarly, if the DNO can avoid routes with complex rail or motorway crossings then obtaining
wayleaves and developing the connection may be easier and less costly.

Connection Conditions
The DNO may include certain conditions or restrictions in order for the connection to be built. Your Connection
Offer will include details of these, and if you need to know more information then you can discuss this with your
DNO. You will have to agree to these conditions in order to accept the Connection Offer.

Flexible Connection Offers

The DNO will decide if a connection is viable by considering the worst case credible scenario for the network. If
the connection of your generation would cause equipment ratings or statutory limits to be exceeded, then the
DNO would not allow the connection without addressing the issues identified. The DNO may decide that the
best thing to do is to reinforce the existing network so that it can accommodate the new power flows. However,
this could be prohibitively expensive for your project.
In these cases, or where the customer has requested, the DNO may offer a connection with certain restrictions,
such as setting a maximum level for export, or restricting generation export under certain network conditions.
This could involve entering into a specific commercial arrangement.
For connection applications received by the DNO, the DNO may offer a curtailable connection to allow a quicker
connection to the network. This will include an agreement that your connection may be restricted at certain
times until the required reinforcement of the distribution system has been completed. The amount of curtailment
in the interim period will be measured and compared against a limit, established by an agreed methodology,
above which the DNO will pay you compensation. The curtailment will cease after an agreed end date by which
time the necessary network reinforcement should have been completed. See section 5.5 Connection Charges
for more information.
Even with a standard Connection Agreement, in rare operational scenarios it may be necessary for the DNO to
restrict the operation of a generator in order to, for example, maintain safety or power quality.
If NGESO is involved in your project (e.g. if your DNO has requested an Evaluation of Transmission Impact
from NGESO to identify any transmission system works required), then they can impose conditions on your
connection. Your DNO must ensure that NGESO conditions are met before they allow connection.

Reactive Power Import / Export

The apparent power at any point on the network is the product of the voltage and current at that point. The
apparent power is made up of two components, the active power and the reactive power. It is likely that active
power is the electrical power you are more familiar with. It is measured in watts (W) and is the useful power that
we import into our houses to run our electrical goods. However, there also needs to be a balance of reactive
power on the network. It is the DNO’s responsibility to ensure that the distribution system can cater for both real
and reactive power. Your generating unit will be capable of controlling the amount of reactive power that it
absorbs or produces. All PGMs need to comply with EREC G99 reactive power capabilities. It may be possible
to mitigate negative effects that your generator might have on the network (e.g. rise in system voltage) by
controlling the amount of reactive power you produce or absorb. This may allow you to connect a higher
capacity generator. You can discuss this option with your DNO.

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Interactive Connection Applications

Sometimes the DNO may be considering your Connection Application alongside others which would have an
impact on the same part of the distribution system. It may be the case where it is not possible to connect all of
these projects, due to network constraints such as capacity. In this case all the relevant applications are
referred to as “interactive” and are treated according to a common set of principles which have been adopted by
all the DNOs. These principles normally apply to generator applications above 1 MVA capacity connected at 11
kV and above. DNOs will, though, apply the same principles in other cases as required.
Connection Applications are defined as “interactive” if offers are made which: make use of the same part of the
current or planned future network; or
• Have an operational effect on that network; and
• Would affect the terms under which connection can be offered to one of the other parties.
The DNO will tell you in writing if your connection application is interactive, or becomes interactive, with one or
more others. Affected parties will receive a ‘Notice of Interactivity’, which includes:
• A notice that your Connection Offers/ POC Offers are interactive;
• Your respective position in the Interactive Queue, determined by the date on which your Connection
Application was received (assuming that the application form was complete with the information
required by the DNO). An Interactive Connection Offer is conditional on those higher up the interactive
queue not being accepted;
• The process for accepting Interactive Connection Offers; and
• The dates of the ‘Moratorium Period’ (usually 10 working days) after which you can accept the
Interactive Connection Offer.
When the DNO receives an Interactive Connection Offer acceptance, they notify all other affected parties that
their Connection Offers are withdrawn. You will then have the option to re-apply or choose to have your original
application to be re-considered. In this case the DNO will issue a new Connection Offer. Connection Offers are
still considered in the original order within the Interactive Queue.

Accepting a Connection Offer

You will have a defined period specified in your Connection Offer within which to accept the offer. This will
typically be in the range 30- 90 days but is likely to be nearer 30 days if your Connection Application was
defined as being “interactive”. Acceptance periods can vary across DNOs.
If yours was the first of a number of “interactive” applications, you will have priority over subsequent applicants
who may receive offers during this time, and this will be explained in your Connection Offer. If you were a later
applicant, your offer will indicate that for some of the validity period of the offer it is dependent on the decision of
the prior applicant(s) on whether to proceed with their connection(s). Connection Offers will also specify the
date on which they become unconditional (because the previous Connection Offer(s) have lapsed).
Connection Offers may also be withdrawn if the DNO feels that your project is not progressing at a reasonable
rate. This may be measured by progress against milestones set out in your Connection Offer. This is to prevent
spare capacity being ‘reserved’ for projects that in practice are not actually being built.

For more information about Connection Offers and Interactive Applications

All DNOs publish documents called their “Statement of Methodology and Basis of Charges for Connection” This
sets out in detail the way that each DNO handles Connection Applications and the arrangements DNOs make
for dealing with Interactive Applications. These documents are available from each of the DNOs’ websites.

EREC G99 Additional Forms

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There are a number of forms or reports that are required to be completed and submitted to your DNO
throughout the development of your connection. Some of these were- introduced in EREC G99, as required by
the European Network Code Requirements for Generators. These include:
• Power Generating Module Document (PGMD, as discussed in Section 3);
• Results of simulation studies; and
• Installation and commissioning confirmation form.
The submission and review of the PGMD is likely to be an iterative process so it is useful to engage early with
the DNO.

Simulation Studies
The requirement for simulation studies for Types B, C and D Power Generating Modules arises from the
Requirements for Generators Network Code. You need to submit a report detailing the outcome of studies to
demonstrate compliance with a number of technical requirements, such as fault ride through and fast fault
current injection. Some studies are generic whilst others relate to the Connection Point and require DNO
information. Refer to EREC G99 Annex B.4 for Type B Power Generating Modules and Annex C.7 for Type C
and D Power Generating Modules for more information.

Site Compliance and Commissioning Tests

You may need to demonstrate elements of compliance on site, which you can do at the time of commissioning.
There are forms in EREC G99 called “Site Compliance and Commissioning test requirements”, which set out
the format of recording the relevant test results. They are available in EREC G99 in:
• Annex B.2 Form B2-2 for Type B Power Generating Modules; and
• Annex C.2 Form C2-2 for Types C and D Power Generating Modules
These forms should be submitted to the DNO on the day of commissioning if the tests are witnessed by the
DNO. Otherwise, the DNO should receive the results within 28 days of commissioning.

Installation and Commissioning Confirmation

Commissioning should take place once the installation and connection is complete (or in the case of a phased
installation when each phase is complete). The tests and checks required for commissioning are described in
section 15 of EREC G99.
The results of the commissioning should be recorded on the Installation and Commissioning Confirmation
Form. This is included in EREC G99 in:
• Annex B.3 for Type B Power Generating Modules, and
• Annex C.3 for Types C and D Power Generating Modules
The forms are also available on the ENA website.
You or your installer should fill out this form and sign the declaration at the bottom.
There are two parts to the Installation and Commissioning Confirmation Form:
• Part 1 is required for the Power Generating Facility (ie all Power Generating Modules), and
• Part 2 is required for each Power Generating Module.
The forms should be submitted to the DNO on the day of commissioning if the tests are witnessed by the DNO.
Otherwise, the DNO shall receive the results within 28 days of commissioning.

EREC G99 Notifications

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The EU Network Code Requirement for Generators (RfG) introduces a requirement for formal notifications from
the DNO.

Power Generating Module Types B and C

For Type B and Type C Power Generating Modules the only notification you will receive is a Final Operational
Notification (FON). The DNO issues this, as part of the Connection Agreement, when they are satisfied that you
have demonstrated compliance with EREC G99. Type B and Type C sites do not have permanent rights to
operate until a FON is issued; however, the DNO may agree to the Power Generating Module operating in
parallel and exporting energy into the DNO’s network before all the commissioning tests have been completed
and the FON issued.

Power Generating Module Type D

If you are installing a Type D Power Generating Module there are additional notifications, you need to obtain.
Before energising your internal network for the first time, you need an Energisation Operational Notification
(EON). You obtain this from your DNO by:
• Providing updated information required in the standard application form (or the Distribution Code
Distribution Data Registration Code schedules), and
• Notifying the DNO that your plant is ready to connect, at least 28 days before you wish to do so.
When you want to synchronise your Power Generating Module for the first time you need to obtain an Interim
Operational Notification (ION). You obtain an ION by submitting a draft Power Generating Module Document
(PGMD). The ION may impose limitations on the maximum allowed output of your plant.
The ION will be valid for a fixed period of time to allow the compliance and commissioning tests to be
completed and any unresolved issues to be addressed. If necessary, the ION can be extended, but the
maximum length of time that an ION can be used is 24 months.
If the issues remain unresolved after 24 months it will be necessary to obtain a derogation from Ofgem.
On resolution of any unresolved issues and formal submission of the completed final PGMD and appropriate
installation and commissioning forms the DNO will issue a FON which will form part of the Connection
Agreement.
If, following issue of an FON, the generating plant is found to be non-compliant with EREC G99 you should
notify the DNO and where possible rectify the issue.
If the non-compliance is not resolved within 28 days then you should undertake an investigation in conjunction
with the DNO to determine the cause of the non-compliance and identify a solution. If after 56 days of
investigations the issue is not resolved then you will be issued with a Limited Operational Notification (LON).
You can continue to operate the Power Generating Module during this period, taking account of the operational
restrictions in the LON. The LON will also list the unresolved issues.
You may also be issued with a LON if you modify your plant in such a way as to result in a change of
performance. You will need to submit new data and a PGMD to demonstrate compliance with EREC G99.
The LON can last for up to 12 months. After 12 months you, in conjunction with the DNO, must apply to Ofgem
for a derogation in order to obtain a FON if you are unable to demonstrate full compliance with EREC G99.
If a derogation is not granted then you will not be able to continue to operate the Power Generating Module.

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Section 4.7: G99 Type B-D, The Connection Application Process –

Generation Licensing
This section provides:
• An introduction to generation licensing;
• A guide to licence requirements for generators;
• Information about how to apply for a licence;
• A guide to the interactions you may need to have with NGESO; and
• Contact details if you need more information.

Introduction
Depending on the size of your generating project, you may need to apply for a Generation Licence. This section
of the Guide explains how to determine whether your generating project requires a licence, and the process for
obtaining a licence if you need one.
There are a number of issues regarding generation licensing which affect the relationships that you will have
with other electricity sector organisations. In particular, if your Power Generating Facility exports more than 100
MW, and therefore automatically requires a licence, you will need to talk with Elexon and NGESO about the
implications of trading electricity in accordance with the Balancing and Settlement Code. This section of the
Guide explains more about the relationship between developers of Distributed Generation and NGESO and
highlights the different agreements that you could be required to enter into.
Full details are provided about the sources of further information that you will need to help you with the licence
application process.

Who Requires a Generation Licence?

Currently all generation projects with an export capacity of greater than 100 MW requires a Generation Licence.
Generation between 50 MW and 100 MW export capacity may be given an exemption from the requirement to
hold a licence, subject to applying to DESNZ for an exemption, and being granted one. You will not require a
Generation Licence if your power station:
• Does not export more than 10 MW;
• Does not export more than 50 MW, provided your generating units have a combined declared net
capacity of less than 100 MW (in simple terms declared net capacity is the maximum output of the
generating units less the capacity consumed by the site, unless your energy source is either wind,
solar, wave or tidal—see the information box below for further details); and
• Was connected to the network before 30th September 2000, and does not export more than 100 MW,
or has never been subject to central despatch.
You can check the details of whether your Generating project is exempt from the need for a Generation Licence
and find a full definition of declared net capacity by looking at the UK government document Statutory
Instrument 2001 No. 3270, The Electricity (Class Exemptions from the Requirement for a Licence) Order 2001.

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Requirements for a Generation Licence

The conditions which are included in a Generation Licence include a number of requirements affecting the
interaction of your generating equipment with the transmission system and distribution system, for example, if
you have a Generation Licence you will have to:
• Comply with the sections of the Grid Code that apply to you;
• Comply with the Distribution Code;
• Comply with the Balancing and Settlement Code (BSC) and become a party to the Balancing and
Settlement Code Framework Agreement;
• Offer terms for providing Ancillary Services to the System Operator, if asked to do so;
• Provide information to Ofgem as required;
• Avoid discriminating between potential buyers of the electricity you generate; and
• Advise the System Operator about the planned availability of your generating units in accordance with
the requirements of the Grid Code.

Applying for a Generation Licence

To apply for a Generation Licence, you should look up the UK government document, Statutory Instrument
2008 No. 2376, The Electricity (Applications for Licences, Modifications of an Area and Extensions and
Restrictions of Licences) Regulations 2008. This contains detailed information about how to make the
application, including information about the costs of a Generation Licence.
Your application should be sent to Ofgem and needs to include the following key items of information:
• The name, address and full contact details of the company making the application;
• The date from which the licence is required and;
• Company registration details, including names of directors.
This information should be provided in a form similar to that shown in the Statutory Instrument. In its current
form the Generation Licence application doesn’t require you to provide specific information about the generating
equipment itself. These details will be needed, however, at the point when you apply to become a party to the
Balancing and Settlement Code (BSC).
To summarise, it’s important early on in the connection application process to work out whether you will need a
Generation Licence or not. This depends on the size of, and level of export from, your generating units. The
licence application process is clearly defined in the legislative documents referenced at the end of this section.
If you need help filling in the application, you should consult a legal or technical adviser who is familiar with
generation project development.

National Grid Electricity System Operator Interfaces

If your Distributed Generation project involves developing a large power station, you will need to enter into an
agreement with NGESO, the System Operator of the GB transmission system. This is because large power
stations are likely to have an impact on the system at higher voltage levels than the distribution system. Power
exports from Large Powers Stations could affect flows on the transmission system; in addition, large power
stations can contribute to the balancing of the system as a whole. Because of this, if you’re developing a large
power station, you'll need to enter into a range of contracts with NGESO and other parties.
The difference between the licence exemption limits described earlier and the technical definitions of large
power stations gives rise to two different agreements which could apply to developers of Distributed
Generation.
These are:

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• the Bilateral Embedded Generation Agreement (BEGA) - an agreement between developers of

power stations with a capacity of greater than 100MW and NGESO. Generators are required under the
terms of the BEGA to comply with the Connection and Use of System Code (CUSC), the Grid Code and
the Balancing & Settlement Code. The BEGA gives the generator the right to export onto the GB
transmission system and to operate in the energy balancing market. Developers of Small and Medium
power stations have the option to enter into a BEGA if they wish to take part in the wholesale electricity
market; and
• the Bilateral Embedded Licence Exemptible Large Power Station Agreement (BELLA) applies to
large power stations which are exempt from having a Generation Licence. This agreement is only
available to large power stations in Scotland, which could be below the 100 MW threshold at which
holding a Generation Licence is mandatory. The BELLA sets out the provisions for generators to
comply with the CUSC and Grid Code. They cannot operate in the electricity balancing market,
however, and are not therefore required to comply with the Balancing and Settlement Code (BSC).
Medium Power Stations that are exempt from holding a Generation Licence are known as Embedded Medium
Power Stations in EREC G99, and are also sometimes known as ‘Licence Exemptible Embedded Medium
Power Stations’ (LEEMPS). Although they do not have explicit access to the transmission system, the DNO
may need to agree an updated Bilateral Connection Agreement with NGESO which may impose conditions
related to the generation. The DNO is likely to pass on any such obligations to the generator via the Connection
Agreement.
If you have a BEGA with NGESO, you are considered to be a user of the transmission system and are therefore
liable to pay Transmission Network Use of System Charges.
If you do not have a BEGA you are not considered to be a user of the transmission system and you are not
liable to pay Transmission Network Use of System Charges. However, you are not entitled to “use” the
transmission system. In some circumstances this could limit the operation of Distributed Generation where the
operator does not hold a BEGA.
You do not need to enter into an agreement with NGESO if:
• You are developing a power station that has a capacity less than that of a Large Power Station (see
below, and note the variation for England & Wales and Scotland); and
• You do not require access to the transmission system.
However, certain elements of the Grid Code will still apply to a medium power station. The sections that apply
are set out in the Distribution Code. The Guide to the Distribution Code contains figures that illustrate the Grid
Code and Distribution Code boundaries.
In summary, the interaction that you will have with NGESO depends on where your generating project is
located, its size and level of export. If you are developing a Large Power Station, even if it is connected to the
distribution system, you are considered to be a user of the transmission system and will need to discuss which
agreements you will require and possible network charges with NGESO. You may also be subject to charges
for reinforcement work required on the transmission system to accommodate your project, depending on the
outcome of studies undertaken by NGESO.

Definition of a Large Power Stations

The definition of a large power station varies between England & Wales and Scotland, due to the different
transmission voltage levels and system characteristics in these regions. The Grid Code defines a Large Power
Stations as having a registered capacity as follows:
• 100 MW or above in the National Grid Transmission system;
• 30 MW or above in the Scottish Power Transmission system; or
• 10 MW or above in the Scottish Hydroelectric Transmission system.

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More information about Transmission Charges

Full details of NGESO’s Transmission Network Use of System Charges are available on the NGESO website.

Evaluation of Transmission Impact Assessment Process

If you are not developing a Large Power Station, i.e. you do not have an agreement with NGESO (such as a
BEGA or BELLA), then the DNO may still need to submit a request to NGESO for an Evaluation of
Transmission Impact assessment. They will do this if they believe that your generating unit(s) may have an
impact on the transmission system. If you are developing a Large Power Station, then you will have discussions
directly with NGESO which will cover these issues.
The Evaluation of Transmission Impact Assessment process allows NGESO, and the relevant Transmission
Owner, to determine if any work is required on the transmission system to allow your connection to go ahead.
NGESO will inform your DNO of the resulting decision and give any details they need. Your Connection Offer
may include details of any transmission system works are required along with securities and liabilities that you
will need to provide for those works. You may also be required to comply with technical conditions relating to
the transmission system, either as specified in the Grid Code, or the DNO’s site specific Bilateral Connection
Agreement with NGESO.
NGESO gives more information about the Evaluation of Transmission Impact assessment on their website,
including a guidance document for small embedded generation.
Updates to NGESO Statement of Works process can be found here. In some cases, even relatively small
generation projects can trigger this process. This may be because the transmission system is already close to
its statutory limits or to the ratings of system equipment, and the addition of any generation, even if it is small,
may be enough to exceed these limits.
The Evaluation of Transmission Impact assessment process can lead to significant additional costs if
transmission work is required, and may impose timescale constraints on your project, which need to be
carefully considered. In some cases, the Statement of Works process can take more than 3 years. There is
more information on the Statement of Works process in Section 5: Costs and Charges: Connection Costs.

Where to Find More Information

The following UK Statutory Instruments are relevant:
• For full details on Generation Licence exemptions: Statutory Instrument 2001 No. 3270, The Electricity
(Class Exemptions from the Requirement for a Licence) Order 2001.
• To apply for a Generation Licence, you should look up the UK government document: Statutory
Instrument 2008 No. 2376, The Electricity (Applications for Licences, Modifications of an Area and
Extensions and Restrictions of Licences) Regulations 2008.
• We have referred to the following Codes in this section:
• The Grid Code and Connection and Use of System Code (CUSC) which are available on National Grid
ESO’s website;
• The Distribution Code is available on the Distribution Code website; and
• The Balancing and Settlement Code (BSC) is available on Elexon’s website.
NGESO publishes information for new embedded (distributed) generation connections at:
https://www.nationalgrid.com/electricity-transmission/connections

Getting Connected – Guidance on Compliance

PGMD Iterations

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The PGMD document contains a checklist of criteria which needs to be signed off by the DNO as part of the
process of demonstrating compliance with the EREC G99 requirements. The PGMD is likely to be an iterative
document developed between you and the DNO. Examples of the reasons for iterations and some issues to
avoid include:
• DNOs are not able to open files you sent;
• Details on charts or schematic network diagrams are not legible (e.g. writing is too small);
• EREC G5 and EREC P28 assessments are not compliant with the latest versions of EREC G5 and
EREC P28;
• Test results are not provided in accordance with EREC G99 requirements; and
• The equipment being modelled in the simulation studies is not the same as the one being installed.
Given the different nature of the requirements, and the fact that some requirements can be demonstrated early
in your project and others towards the end, it is likely that you will submit different iterations of the PGMD
documents at different times rather than a final PGMD at the end of the project. Once you send information to
the DNO and they review it, they may ask for more details or clarification of the information submitted. To try to
minimise the number of iterations of the PGMD between you and the DNO, some guidance is provided below
as to what study results the DNO will expect to see included with your PGMD documents.

Compliance Studies
You should submit data at the initial submission stage to demonstrate compliance with:
• Reactive power;
• Fault ride through; and
• Frequency response.
To do this you should provide a report of the power system analysis that has been undertaken for your power
generating facility. EREC G99 Annex B.4 and Annex C.7 detail the studies required. The study report should
enable the DNO to fully understand the system under study, the data used, the studies undertaken, the study
results and how the results of the studies demonstrate compliance with EREC G99. As a minimum DNOs would
expect the study report to contain:
• A single line diagram of the Power Generating Facility, including any equivalent networks that have
been used (for example to represent the demand of a facility);
• Confirmation that the Power Generating Module(s), transformer and storage data used in the Power
Generating Facility model is the same as the data you provided in the standard application form at the
application stage;
• A Power Generating Module or generating unit performance chart. This is a chart the manufacturer
should provide showing the active power capability of the Power Generating Module in both leading
and lagging reactive power modes for different power factors. A typical chart is shown below; and
• Representation othe distribution system beyond the point of connection – this should be set up to
represent the short circuit power MVA and X/R ratio of the distribution system (maximum or minimum
as applicable for the study). The DNO can provide this information.

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Figure 11: Typical chart provided by a manufacturer showing the active power capability of the Power Generating Module

Reactive Capability across Voltage Range

The Power Generating Module must be capable of providing reactive power at the Connection Point in
accordance with the requirements in EREC G99 for your Power Generating Module Type. A power system
study of the Power Generating Facility should be undertaken to demonstrate reactive capability compliance. As
a minimum the model should comprise the following items:
• The new Power Generating Module being connected (including the generating units that comprise the
Power Generating Module);
• Any existing Power Generating Module(s);
• The network between the Power Generating Module and the Connection Point;
• The network between generating units; and
• Representation of the remaining facility as necessary (for example demand or compensation equipment
that would affect the power factor);
A load flow study should be undertaken to demonstrate that the power factor range at the Connection Point is
within the requirements of EREC G99.
• For Type B PGMs, this is at nominal voltage;
• For Type C and D PGMs, this is at nominal voltage plus 5% and nominal voltage minus 5%; and
• Studies should be undertaken at both the Registered Capacity of the PGM and the lowest power output
that the PGM can stably operate at (minimum stable operating level).
In some cases, e.g. where a Power Generating Module is embedded within your installation and mainly meeting
your demand, you and the DNO may agree that reactive power compliance is only necessary at the Power
Generating Module terminals, rather than at the Connection Point. In this case:
• This may be recorded in your Connection Agreement; and

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• A generator performance capability diagram should be sufficient to demonstrate reactive capability.

A simplified example of the required studies for Types C and D Power Generating Modules is given in the
diagram below – refer to registered capacity examples in Appendix A.

Figure 12: Example of Type C and D PGM Reactive Capability Studies.

Fault Ride Through and Fast Fault Current Capability

In order to demonstrate compliance with Fault Ride Through requirements in EREC G99, simulation studies
should be carried out for the following conditions:
• Three phase faults;
• Phase to phase fault;
• Two phase to earth fault; and
• Single phase to earth fault.
In all cases, the simulations should demonstrate that:
• In the event of a fault on the transmission system the generating units will support the system during
the fault by increasing their reactive power injection to increase the system voltage; and
• After the fault has been cleared by the protection the voltage and active power will recover.
Time series simulation studies, where a fault is applied for 140 ms should be undertaken for the four study
conditions shown in Figure 13. As an example, for a Type B Power Generating Module, the simulated fault
should cause the voltage to fall by 70% for synchronous Power Generating Module or by 90% for Power Park
Modules. This is different for Type C and D for Power Park Modules depending on voltage at the Connection
Point and whether you are connecting a synchronous Power Generating Module or a Power Park Module. The
study should demonstrate that the recovery of the voltage at the Connection Point should be within the
acceptable envelope as detailed in EREC G99. A simplified example of the required studies for a Type B Power
Generating Module is given in the diagram below, Figure 13.
Fast fault current injection studies are also required for Power Park Modules. This is where a Power Park
Module supports the system for up to 140 ms if there is a fault on the transmission system by injecting reactive

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current. The study should demonstrate that the injection of reactive power at the Connection Point should be
within the acceptable range as detailed in EREC G99.

Figure 13: Example of Type B PGM Fault Ride Through and Fast Fault Current Injection Studies.

Frequency Studies
In order to demonstrate compliance with the frequency response requirements, simulation studies should be
carried out to demonstrate the over and under frequency response (as appliable to your Power Generating
Module). The studies can be undertaken by modelling the injection of a frequency signal (ramp or step) into the
governor or controller model. For Limited Frequency Sensitive Mode – Over frequency (LFSM-O) when the
frequency increases the Power Generating Module should respond by reducing active power. The response,
which will depend on the droop setting, should start when the frequency reaches 50.4 Hz unless you have
contracted with NGESO to operate in frequency sensitive mode. This requirement is applicable to Type B, Type
C and Type D Power Generating Modules. For Limited Frequency Sensitive Mode – Under frequency (LFSM-U)
when the frequency decreases the Power Generating Module should respond by increasing active power. This
requirement is applicable to Type C and Type D Power Generating Modules. The initial operating condition
should be that the Power Generating Module is generating at 80% of its capacity. The response, which will
depend on the droop setting, should start when the frequency reaches 49.5 Hz unless you have contracted with
NGESO to operate in frequency sensitive mode. The studies you submit as part of the PGMD should
demonstrate this response according to the Power Generating Module droop setting and in line with the EREC
G99 frequency requirements.

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Validation Studies
The generator, governor or frequency controller models and the excitation model should be validated against
physical test results. It is expected that this would be undertaken by the Power Generating Module
manufacturer, but this could be done after site tests, if required.

Providing Simulation Models

If your Power Generating Module is Type C or D, you will need to provide the DNO with the validated simulation
models used in your studies. The DNO will normally ask for this in a format that is compatible with the power
system analysis software that they use – check this with your DNO. Some manufacturers provide “blackbox”
models. This is where the model gives the correct outputs, but the internal workings of the model are not
transparent to the user. Manufacturers do this to protect their intellectual property. You can provide these to the
DNO or the manufacturer might provide this directly to the DNO, but be aware that the DNO will want
assurance from the manufacturer that the model correctly represents the equipment in power system studies
and what you are proposing to install. The DNO might ask for guidance on “black box” models, or study cases
and scenarios.

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Section 5: Costs and Charges

This section introduces the rules around connection costs and ongoing costs to facilitate and manage new
connections onto the distribution system.

Section 5.1: G98 Single Premises, Costs and Charges

Use of System Charges

Use of System charges are levied by the DNO to the supplier, so as a generator you will not be charged these
directly. However, this section is included for your information, as Use of System charges may appear as an
item on your bill.

What are Use of System Charges?

Use of System charges cover the development, operation, maintenance, and repair of the distribution system.
DNOs make Use of System charges to suppliers. Suppliers may reflect these charges to their customers as
either:
• A ‘pass-through’ item so that the customer can clearly see the Use of System element; or
• ‘Wrapped-up’ in a total electricity supply tariff where the customer may not be able to clearly see the
Use of System element.
DNOs are obliged to publish documents about their Use of System charges. These cover their Use of System
charging methodology and a statement of what the charges are for both generation and demand customers.
You can find these on DNOs’ websites.
All generators connected at Low Voltage are subject to Generation Distribution Use of System charges under
the Common Distribution Charging Methodology (CDCM). These charges may be negative (i.e. credits). You
can find out more about the Common Distribution Charging Methodology (CDCM) by looking at Distribution
Charging on the Ofgem website, Distribution Charges Overview on the Energy Networks Association website
and some DNOs’ websites.

Categories of Use of System Charges

UoS charges are categorised by:
• The voltage level your equipment is connected to and;
• The type of meter you have.
The boxes below define the voltage level that will apply to EREC G98 compliant equipment (Low Voltage) and
the metering arrangements that are likely to apply to this equipment (Non-Half Hourly meters). With the
Common Distribution Charging Methodology charges for LV generation customers with NHH meters are in the
form of unit rates (p/kWh).

LV (Low Voltage) 400/230 V in practice, less than 1 kV in general.

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Non-Half Hourly Meters (NHH)

NHH meters record total energy passing through the meter, but do not record the times the energy is
transferred. Typically, the recorded data would be collected a few times a year, eg. every quarter. Most
domestic and small commercial properties have NHH meters. You can contact your current electricity supplier
to discuss the provision of NHH meters, or other meter suppliers.
Domestic customers are being encouraged to have a smart meter installed. Smart meters record total energy
passing through the meter every HH. The introduction of smart meters should improve consumer awareness of
energy consumption and will allow for the introduction of time of use tariffs.

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Section 5.2: G98 Multiple Premises, Costs and Charges

Section 5.2: G98 Multiple Premises , Costs and Charges

This section provides:
• An introduction to connection costs;
• The basis of DNO connection charges for infrastructure;
• Information on other elements of connection charges and where to find indicative costs and examples;
and
• Information on Generation Distribution Use of System charges.

Introduction
There are two categories of charges made by the DNO:
• Connection charge: this is a one-off charge made by the DNO, which primarily covers the cost of work
and equipment associated with connecting your generating project to the distribution system. This may
include a portion of any reinforcement costs; and
• Use of System charges: these are ongoing charges, which primarily cover operation and maintenance
costs and include the costs of ongoing network development including general reinforcement.
DNOs are obliged to publish documents describing the basis of their connection charges and their charging
methodology. They also present the different elements of connection charges, and indicative costs for works
and equipment of significant cost. This will help you to understand the charges they quote you.
This information is contained in the DNOs Statement of Methodology and Charges for Connection to the
electricity distribution system. All DNOs’ statements follow the same format and are available on their websites.
These statements contain:
• The DNO’s connection charging methodology (i.e. how they calculate their charges);
• The DNO’s connection charging statement (i.e. what the charges are);
• An indication of the costs of providing a connection quotation / budget estimate; and
• Other relevant information for connecting customers.
The basis and elements of connection charges, as well as indicative costs and examples are discussed in this
section of the Guide.
Use of System charges are levied by the DNO on the supplier, so as a generator you will not be charged these
directly. However, this section is included for your information, as Use of System charges may appear as an
item on your bill.

Connection Charges
Depending on the location and size of your generating units, new equipment and reinforcement of the existing
network may be necessary to accommodate your generation. In the connection charge, you will be charged for
any extension to the network.
DNOs are obliged to publish a document describing the basis of their connection charges and their charging
methodology. You can refer to this document to see what costs you will be charged for. These are available on
DNO websites.

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Section 5.2: G98 Multiple Premises, Costs and Charges

Connection Charges – Other Elements

Elements of Charges
As well as charges for any network extension (if required), there are other elements that are covered in the
connection charge. These can include the following:
• System / feasibility / fault level studies;
• Provision of wayleaves;
• Additional meetings with the DNO or site visits; and
• Administration.
Note that not all DNOs apply charges for all of these items, and that not all of these items will be relevant for
your project.

Indicative Costs and Examples

Equipment costs and charges for services vary across DNOs; it could therefore be misleading to list indicative
costs in this Guide. If you want to get an idea for indicative costs, the best place to look is the DNO’s
Statement of Methodology and Charges for Connection. You can find this on the DNO’s website.
Aside from giving indicative costs for connection charges, these documents typically contain other useful
information, including guidance on the connection process and examples of various connections and their
associated cost breakdown. It is updated annually.
The connection charging methodology is governed by the Distribution Connection and Use of System
Agreement (DCUSA) and is subject to open governance so any party materially affected by it can propose a
change to it. The process for doing this is laid out within the DCUSA itself. See the DCUSA website for more
information: https://www.dcusa.co.uk/dcusa-document/
The Distribution Charging Methodologies Forum exists to enable parties to discuss ideas for improving the
methodology possibly prior to submitting a formal change proposal.

Estimating Costs and Getting a Quotation

As mentioned above, you can obtain indicative costs for works and equipment from DNO documents. To obtain
a more accurate picture of the connection costs for your project, you can:
• Ask the DNO for a budget estimate; or
• Obtain an estimate of connection costs from a specialist engineering consultant.
You should exercise care in interpreting budget estimates. DNOs use reasonable endeavours to identify remote
reinforcement costs associated with the proposed connection at this stage. However, it is possible that not all of
the reinforcement costs will be included at this time.

Payment of Connection Charges

Connection charges are paid either:
• In full at the time that the Connection Offer is accepted; or
• In staged or phased payments, as per a payment schedule.
Staged payments are typically used for generation projects which are greater than a certain size, eg. in project
value or duration. The staged payments are generally intended to cover committed expenditure by the DNO.
If your connection does not proceed, it is possible that some of the connection charge will be refundable
depending on whether the DNO has carried out any work. You should inform your DNO as soon as possible if
you decide not to go ahead with your project.

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Charging Futures Forum: The Charging Futures Forum is a programme that co-ordinates significant reform of
electricity network access and electricity network charging arrangements. Ofgem is the chair of the programme,
and members include generators, network operators, large customers, industry bodies and universities. The
programme holds a quarterly forum and teams, called Task Forces, are formed to review specific issues in
detail. For more information see the Charging Futures Forum website.
What is a Budget Estimate?
You may read about budget or indicative estimates and formal quotations. The differences between these
two terms are summarised in the following table.
Table 8: Difference between Budget or Indicative Estimates and Formal Quotations.

Budget or Indicative estimate Formal quotation

Requested in the early stage of a project, and Requested when electrical requirements have been
generally, only for larger capital schemes finalised

The DNO doesn’t require much information from you The DNO requires a lot of information from you
Based on a desktop study—the DNO is unlikely to Based on detailed design work, and may require
carry out detailed designs or studies other input such as site surveys

To give an indication of costs, and is therefore

Provides formal contract offer
subject to change

Not open for acceptance Open to acceptance, subject to conditions

Assuming that you ask the DNO to undertake all of the work involved in your connection, the timescale for the
DNO to provide a budget estimate is 10 working days.

Connection Offer expenses (Assessment and Design fees)

Following a government consultation, DESNZ is now allowing DNOs to charge Connection Offer expenses
(also known as Assessment and Design fees), regardless of whether or not the subsequent Connection Offer is
accepted. Connection Offer expenses are a charge by the DNO for the cost of producing Connection Offers,
and cover activities such as network modelling, connection design and site surveys. These changes came into
force in April 2018. For further information refer to the DESNZ website.
Note that DNOs apply these charges differently. For example, some are only applying them to projects with
certain connection voltages. Refer to your DNO website for details on how they are applying the charges.

Use of System Charges

Use of System charges are levied by the DNO to the supplier, so as a generator you will not be charged these
directly. However, this section is included for your information, as Use of System charges may appear as an
item on your bill.

What are Use of System Charges?

Use of System charges cover the development, operation, maintenance, and repair of the distribution system.
DNOs make Use of System charges to suppliers. Suppliers may reflect these charges to their customers as
either:
• A ‘pass-through’ item so that the customer can clearly see the Use of System element; or

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• ‘Wrapped-up’ in a total electricity supply tariff where the customer may not be able to clearly see the
Use of System element.
DNOs are obliged to publish documents about their Use of System charges. These cover their Use of System
charging methodology and a statement of what the charges are for both generation and demand customers.
You can find these on DNOs’ websites.
All generators connected at Low Voltage are subject to Generation Distribution Use of System charges under
the Common Distribution Charging Methodology (CDCM). These charges may be negative (i.e. credits). You
can find out more about the Common Distribution Charging Methodology (CDCM) by looking at Distribution
Charging on the Ofgem website, Distribution Charges Overview on the Energy Networks Association website
and some DNOs’ websites.

Categories of Use of System Charges

UoS charges are categorised by:
• The voltage level your equipment is connected to and;
• The type of meter you have.
The boxes below define the voltage level that will apply to EREC G98 compliant equipment (Low Voltage) and
the metering arrangements that are likely to apply to this equipment (Non-Half Hourly meters). With the
Common Distribution Charging Methodology charges for LV generation customers with NHH meters are in the
form of unit rates (p/kWh).

LV (Low Voltage) 400/230 V in practice, less than 1 kV in general.

Non-Half Hourly Meters (NHH)

NHH meters record total energy passing through the meter, but do not record the times the energy is
transferred. Typically, the recorded data would be collected a few times a year, eg. every quarter. Most
domestic and small commercial properties have NHH meters. You can contact your current electricity supplier
to discuss the provision of NHH meters, or other meter suppliers.
Domestic customers are being encouraged to have a smart meter installed. Smart meters record total energy
passing through the meter every HH. The introduction of smart meters should improve consumer awareness of
energy consumption and will allow for the introduction of time of use tariffs.

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Section 5.3: G99 Type A, Costs and Charges

Section 5.3: G99 Type A, Costs and Charges

Introduction
There are two categories of charges made by the DNO:
• Connection charge: this is a one-off charge made by the DNO, which primarily covers the cost of work
and equipment associated with connecting your generating project to the distribution system. This may
include a portion of any reinforcement costs.
• Use of System charges: these are ongoing charges, which primarily cover operation and maintenance
costs and include the costs of ongoing network development including general reinforcement.
DNOs are obliged to publish documents describing the basis of their connection charges and their charging
methodology. They also present the different elements of connection charges, and indicative costs for works
and equipment of significant cost. This will help you to understand the charges they quote you.
This information is contained in the DNOs Statement of Methodology and Charges for Connection to the
electricity distribution system. All DNOs’ statements follow the same format and are available on their websites.
These statements contain:
• The DNO’s connection charging methodology (i.e. how they calculate their charges);
• The DNO’s connection charging statement (i.e. what the charges are);
• An indication of the costs of providing a connection quotation / budget estimate; and
• Other relevant information for connecting customers.
The basis and elements of connection charges, as well as indicative costs and examples are discussed in this
section of the Guide.
Use of System charges are levied by the DNO on the supplier, so as a generator you will not be charged these
directly. However, this section is included for your information, as Use of System charges may appear as an
item on your bill.

Connection Charges – Infrastructure

The connection provides an electrical path between your generation installation and the distribution system.
Any work required to establish this connection will result in some initial costs, which will be charged to you
upfront as part of the connection charge.
The work required to provide this path can be broken down into two categories:
• New infrastructure (or extension assets) must be installed to provide an extension of the distribution
system. This is from the point of connection on the existing network up to the new point of supply; and
• Some reinforcement of the existing distribution system infrastructure may be required to accommodate
your planned generation capacity.
These two categories are illustrated in Figure 15 below and the Point of Connection is defined in the Glossary.
Reinforcement work may be required to increase the electrical capacity of the distribution system that is close to
your point of supply. However, some reinforcement work may not fit this description, for example:
• It may be necessary to replace existing or install new switchgear at a substation some distance from
your project site. This could be due to the increase in fault level caused by the connection of your
generating unit, or to create a new protection zone.
• Equipment such as reactors or static VAR compensators may be needed for times when the voltage
may rise, e.g. When your generating unit is exporting at times of light demand.
The asset costs that are included in the connection charge include:

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• Costs associated with any extension to the network; and

• A portion of any reinforcement costs.
DNOs are obliged to publish a Statement of Methodology and Charges for Connection to the electricity
distribution system a document which describing the basis of their connection charges and their charging
methodology. You can refer to this document to see what portion of reinforcement costs you will be charged for.
These are available on DNO websites.

Figure 14: Illustration showing network extension assets and reinforcement assets.

In some cases, Distributed Generation may have an affect on the transmission system In this case your DNO
may need to request a Evaluation of Transmission Impact assessment from NGESO.

Connection Charges – Other Elements

Elements of Charges
As well as charges for any network extension or system reinforcement (if required), there are other elements
that are covered in the connection charge. These can include the following:
• System / feasibility / fault level studies;
• Provision of wayleaves;
• Additional meetings with the DNO or site visits; and
• Administration.
Note that not all DNOs apply charges for all of these items, and that not all of these items may be relevant for
your project.

Indicative Costs and Examples

Equipment costs and charges for services vary across DNOs; it could therefore be misleading to list indicative
costs in this Guide. If you want to get an idea for indicative costs, the best place to look is the DNO’s
Statement of Methodology and Charges for Connection. You can find this on the DNO’s website.

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Aside from giving indicative costs for connection charges, these documents typically contain other useful
information, including guidance on the connection process and examples of various connections and their
associated cost breakdown. It is updated annually.
The connection charging methodology is governed by the Distribution Connection and Use of System
Agreement (DCUSA) and is subject to open governance so any party materially affected by it can propose a
change to it. The process for doing this is laid out within the DCUSA itself. See the DCUSA website for more
information: https://www.dcusa.co.uk/dcusa-document/
The Distribution Charging Methodologies Forum exists to enable parties to discuss ideas for improving the
methodology possibly prior to submitting a formal change proposal.

Estimating Costs and Getting a Quotation

As mentioned above, you can obtain indicative costs for works and equipment from DNO documents. To obtain
a more accurate picture of the connection costs for your project, you can:
• Ask the DNO for a budget estimate; or
• Obtain an estimate of connection costs from a specialist engineering consultant.
You should exercise care in interpreting budget estimates. DNOs use reasonable endeavours to identify remote
reinforcement costs associated with the proposed connection at this stage. However, it is possible that not all of
the reinforcement costs will be included at this time.

Payment of Connection Charges

Connection charges are paid either:
• In full at the time that the Connection Offer is accepted; or
• In staged or phased payments, as per a payment schedule.
Staged payments are typically used for generation projects which are greater than a certain size, eg. in project
value or duration. The staged payments are generally intended to cover committed expenditure by the DNO.
If your connection does not proceed, it is possible that some of the connection charge will be refundable
depending on whether the DNO has carried out any work. You should inform your DNO as soon as possible if
you decide not to go ahead with your project.
Charging Futures Forum: The Charging Futures Forum is a programme that co-ordinates significant reform of
electricity network access and electricity network charging arrangements. Ofgem is the chair of the programme,
and members include generators, network operators, large customers, industry bodies and universities. The
programme holds a quarterly forum and teams, called Task Forces, are formed to review specific issues in
detail. For more information see the Charging Futures Forum website.

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Section 5.3: G99 Type A, Costs and Charges

What is a Budget Estimate?

You may read about budget or indicative estimates and formal quotations. The differences between these
two terms are summarised in the following table.
Table 9: Difference between Budget or Indicative Estimates and Formal Quotations.

Budget or Indicative estimate Formal quotation

Requested in the early stage of a project, and Requested when electrical requirements have been
generally, only for larger capital schemes finalised

The DNO doesn’t require much information from you The DNO requires a lot of information from you
Based on a desktop study—the DNO is unlikely to Based on detailed design work, and may require
carry out detailed designs or studies other input such as site surveys

To give an indication of costs, and is therefore

Provides formal contract offer
subject to change

Not open for acceptance Open to acceptance, subject to conditions

Assuming that you ask the DNO to undertake all of the work involved in your connection, the timescale for the
DNO to provide a budget estimate is 10 working days.

Connection Offer expenses (Assessment and Design fees)

Following a government consultation, DESNZ is now allowing DNOs to charge Connection Offer expenses
(also known as Assessment and Design fees), regardless of whether or not the subsequent Connection Offer is
accepted. Connection Offer expenses are a charge by the DNO for the cost of producing Connection Offers,
and cover activities such as network modelling, connection design and site surveys. These changes came into
force in April 2018. For further information refer to the DESNZ website.
Note that DNOs apply these charges differently. For example, some are only applying them to projects with
certain connection voltages. Refer to your DNO website for details on how they are applying the charges.

Use of System Charges

Use of System (UoS) charges cover operation, repair and maintenance of network assets, and also any
reinforcement to the network that might be necessary that is not covered by the connection charge.
All generators with equipment connected at LV and HV are subject to UoS charges under the Common
Distribution Charging Methodology (CDCM). Generators with equipment connected at EHV are subject to UoS
charges under the EHV Distribution Charing Methodology (EDCM).
These charges can be negative for generation (i.e., credits). Please see the table below for definitions of the
terms LV, HV and EHV.
DNOs are obliged to publish documents about their UoS charges. These cover their UoS charging methodology
and a statement of what the charges are for both generation and demand customers. You can find these on
DNOs’ websites.

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You can find out more about the Common Distribution Charging Methodology (CDCM) and EHV Distribution
Charging Methodology (EDCM) from DNOs’ websites and Charging Arrangements section on Ofgem website.
Distribution Use of System charges have been subject to two of Ofgem’s Significant Code Reviews – the
Targeted Charging Review (TCR) and the Access and forward-looking charges review. For more information
see page 132.

Definitions of LV, HV and EHV:

Term Voltage level
LV (Low Voltage) In general: less than 1 kV. In practice, this means 400/230 V
HV (High Voltage) In general: 1 kV—22 kV. In practice, this means 6.6, 11 or 20 kV.
EHV (Extra High Voltage) In general, this covers connection to the distribution system at or above
22 kV. In practice this means 33 or 66 kV, (or 132 kV in England and
Wales only). Some DNOs may define this slightly differently. See the
definition of EHV for your local DNO.

Metering Requirements, Parties and Charges

Metering requirements
You may require separate meters for measuring your import and export. There are two categories of meters:
• Half Hourly (HH)
• Non-Half Hourly (NHH)
They are described in the information box in page 119.
The type of meter will affect:
• The meter charges you pay; and
• The category of UoS charges that apply.
Section L of the Balancing and Settlement Code (BSC) dictates the type of meter you will require. If you are
classed as a ‘Small Scale Third Party Generating Plant’ (currently defined as less than 30kW capacity), you can
choose to have a NHH meter. Otherwise, you have to have a HH meter, if the export is to be metered. HH
meters provide metering data for each half hour period, and so can be useful for understanding your electricity
import or export at different times of the day. However, they have significant costs associated with them.

Parties Involved
Provision of NHH meters is the responsibility of the supplier. They will appoint the following Supplier Agents:
• A Meter Operator who installs and maintains the meter;
• A Data Collector who retrieves the data recorded by the meter and calculates your actual or estimated
volume of energy consumption; and
• A Data Aggregator who sums up volumes of energy consumed for each supplier and sends the
information to a central system for balancing and settlement
You can choose to contact your supplier about the provision of meters, or contract directly with a Meter
Operator. If you use HH metering, it is your responsibility to appoint a Meter Operator. You will have to enter
into a Meter Operator contract with a meter supplier. The contracts normally last for five years, and the Meter
Operator will:

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• Provide, install and maintain your HH meter; and

• Collect data from your HH meter via a communications link such as a telephone line.
The provision of meters is open to competition. Details of Meter Operators and their contact details can be
found on the Association of Meter Operators website: https://meteroperators.org.uk/. There are Codes of
Practice which detail technical requirements for Metering Systems. These can be found on Elexon’s website.

Charges
The cost of Meter Operator agreements and the costs associated with the communication to collect data from
your meter can be in the order of several hundred pounds a year. You should consider obtaining quotations
from a number of Meter Operators.
Note: in practice suppliers may pay the owner of some smaller Distributed Generation a fixed amount (e.g.
£/year) instead of installing meters and making payments based on units exported, however this is not
permitted when the installed meter has the capability to record and import and export separately.

Half Hourly (HH) meters and Non-Half Hourly (NHH) meters

Meters record the flow of electricity. There are two main categories of meters; Half Hourly (HH) and Non-Half
Hourly (NHH). HH meters are for larger customers; if your generation peak power is greater than 30 kW you
have to use a HH meter, if metering export.
NHH meters record total energy passing through the meter, but do not record the times the energy is
transferred. Typically, the recorded data would be collected a few times a year, eg. every quarter. In contrast,
HH meters measure and record energy passing through the meter for each half hour period. The data they
record is typically collected remotely every day, for example by a telephone line.
Domestic customers are being encouraged to have a smart meter installed. Smart meters record total energy
passing through the meter.. The introduction of smart meters should improve consumer awareness of energy
consumption and will allow for the introduction of time of use tariffs.
Data from meters is used to determine charges and rewards. For example, to calculate:
• Imbalance charges for balancing and settlement;
• Distribution or Transmission UoS charges; and
• Renewables Obligations Certificate rewards.

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Section 5.4: G99 Type B-D, Costs and Charges

Section 5.4: G99 Type B-D, Costs and Charges

This section provides:
• An introduction to connection costs
• The basis of DNO connection charges for infrastructure
• A description of other elements of connection charges and where to find indicative costs and examples
• A summary of National Grid Electricity System Operator (NGESO) connection charges and the
Statement of Works process.

Introduction
There are two categories of charges made by the DNO:
• Connection charge: this is a one-off charge made by the DNO, which primarily covers the cost of work
and equipment associated with connecting your generating project to the distribution system. This
includes a portion of reinforcement costs; and
• Use of System charges: these are ongoing charges, which primarily cover operation and maintenance
costs and include an element to cover the costs of ongoing network development including general
reinforcement.

DNOs are obliged to publish documents describing the basis of their connection charges and their charging
methodology. They also present the different elements of connection charges, and indicative costs for works
and equipment of significant cost. This will help you to understand the charges they quote you.
This information is contained in the DNOs Statement of Methodology and Charges for Connection to the
electricity distribution system. All DNOs’ statements follow the same format and are available on their websites.
This document contains:
• The DNO’s connection charging methodology (i.e., how they calculate their charges);
• The DNO’s connection charging statement (i.e., what the charges are);
• An indication of the costs of providing a connection quotation / budget estimate; and
• Other relevant information for connecting customers.
The basis and elements of connection charges, as well as indicative costs and examples are discussed in this
section.

Connection Charges – Infrastructure

The connection provides an electrical path between your generation installation and the distribution system.
Any work required to establish this connection will result in some initial costs, which will be charged to you
upfront as part of the connection charge.
The work required to provide this path can be broken down into two categories:
• New infrastructure (or extension assets) must be installed to provide an extension of the existing
distribution system. This is from the point of connection on the existing network up to the new point of
supply; and
• Some reinforcement of the existing distribution system infrastructure may be required to accommodate
your planned generation capacity.
These two categories are illustrated in Figure 16 below and the Point of Connection is defined in the Glossary.

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Reinforcement work may be required to increase the electrical capacity of the distribution system that is close to
your point of supply. However, some reinforcement work may not fit this description, for example:
• It may be necessary to replace existing or install new switchgear at a substation some distance from
your project site. This could be due to the increase in fault level caused by the connection of your
generating unit, or to create a new protection zone.
• Equipment such as reactors or static VAR compensators may be needed for times when the voltage
may rise, e.g. When your generating unit is exporting at times of light demand.
The asset costs that are included in the connection charge include:
• Costs associated with any extension to the network; and
• A portion of any reinforcement costs.
DNOs are obliged to publish a Statement of Methodology and Charges for Connection to the electricity
distribution system a document which describing the basis of their connection charges and their charging
methodology. You can refer to this document to see what portion of reinforcement costs you will be charged for.
These are available on DNO websites.

Figure 15: Illustration showing network extension assets and reinforcement assets.

In some cases, Distributed Generation may have an affect on the transmission system. In this case your DNO
may need to request an Evaluation of Transmission Impact assessment from NGESO.

Connection Charges – Other Elements

Elements of Charges
As well as charges for any network extension or system reinforcement (if required), there are other elements
that are covered in the connection charge. These can include charges associated the following:
• System / feasibility / fault level studies;
• Where work has been undertaken by an ICP, design approval, inspection, and monitoring of work
• Witnessing tests;

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• Determining or providing information on point of connection;

• Additional meetings with the DNO or site visits;
• Administration, provision of wayleaves, NGESO fees e.g. application for Statement of Works; and
• Substation locks and notices
Note that not all DNOs apply charges for all of these items, and that not all of these items may be relevant for
your project.

Indicative Costs and Examples

Equipment costs and charges for services vary across DNOs; it could therefore be misleading to list indicative
costs in this Guide. If you want to get an idea for indicative costs, the best place to look is the DNO’s
Statement of Methodology and Charges for Connection. You can find this on the DNO’s website.
Aside from giving indicative costs for connection charges, these documents typically contain other useful
information, including guidance on the connection process and the breakdown of Contestable and Non-
contestable work. The Statement of Methodology and Charges for Connection document also gives examples
of various connections and their associated cost breakdown. It is updated annually.
The connection charging methodology is governed by the Distribution Connection and Use of System
Agreement (DCUSA) and is subject to open governance so any party materially affected by it can propose a
change to it. The process for doing this is laid out within the DCUSA itself. See the DCUSA website for more
information: https://www.dcusa.co.uk/dcusa-document/
The Distribution Charging Methodologies Forum exists to enable parties to discuss ideas for improving the
methodology possibly prior to submitting a formal change proposal.

Connection Offer expenses (Assessment and Design fees)

Following a government consultation, DESNZ is now allowing DNOs to charge Connection Offer expenses
(also known as Assessment and Design fees), regardless of whether or not the subsequent Connection Offer is
accepted. Connection Offer expenses are a charge by the DNO for the cost of producing Connection Offers,
and cover activities such as network modelling, connection design and site surveys. These changes came into
force in April 2018. For further information refer to the DESNZ website.
Note that DNOs apply these charges differently. For example, some are only applying them to projects with
certain connection voltages. Refer to your DNO website for details on how they apply the charges.

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Estimating Costs and Getting a Quotation

To obtain a more accurate picture of the connection costs for your project, you can:
• Ask the DNO for a budget estimate; or
• Obtain an estimate of connection costs from a specialist engineering consultant.
You should exercise care in interpreting budget estimates:
• Normally they only cover the cost of the infrastructure on the DNO’s side of the point of supply. There
can be significant costs associated with the infrastructure on your side of the point of supply.
• DNOs use reasonable endeavours to identify remote reinforcement costs associated with the proposed
connection at this stage. However, it is possible that not all of the reinforcement costs will be included at
this time.
For more information on budget estimates, see Table 10 below. You should consider the costs on both sides of
the point of supply when evaluating your connection options. For example, the DNO might indicate that the
connection costs would be lower if they were to provide a supply at 33 kV instead of 11 kV. But this option
might require you to install and operate a 33 kV/11 kV transformer, in which case you would have to consider
the cost of the transformer against the lower DNO costs.

Payment of Connection Charges

Connection charges are paid either:
• In full at the time that the Connection Offer is accepted; or
• In staged or phased payments, as per a payment schedule.
Staged payments are typically used for generation projects which are greater than a certain size, e.g. in project
value or duration. The staged payments are generally intended to cover committed expenditure by the DNO.
If your connection does not proceed, it is possible that some of the connection charge will be refundable
depending on if the DNO has carried out any work. You should inform your DNO as soon as possible if you
decide not to go ahead with your project.
Charging Futures Forum: The Charging Futures Forum is a programme that co-ordinates significant reform of
electricity network access and electricity network charging arrangements. Ofgem is the chair of the programme,
and members include generators, network operators, large customers, industry bodies and universities. The
programme holds a quarterly forum and teams, called Task Forces, are formed to review specific issues in
detail. For more information see the Charging Futures Forum website.

What is a Budget Estimate?

You may read about budget or indicative estimates and formal quotations. The differences between these
two terms are summarised in the following table.
Table 10: Difference between Budget or Indicative and Formal quotation.

Budget or Indicative estimate Formal quotation

Requested in the early stage of a project, and Requested when electrical requirements have been
generally, only for larger capital schemes finalised
The DNO doesn’t require much information from you The DNO requires a lot of information from you
Based on a desktop study—the DNO is unlikely to Based on detailed design work, and may require
carry out detailed designs or studies other input such as site surveys

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To give an indication of costs, and is therefore Provides formal contract offer

subject to change
Not open for acceptance Open to acceptance, subject to conditions
DNO may charge DNO may charge

The Distributed Generation performance standard, introduced by the Distributed Generation standards
directive, defines time periods within which DNOs should respond to a request for a budget estimate. This
applies to Section 16 Applications (i.e. if you are applying to the DNO to undertake both the Contestable and
Non-contestable elements of the connection work). The timescales for the DNO to provide a budget estimate
are:
• 10 working days for connections of less than 1 MVA; and
• 20 working days for connections of 1 MVA or more.
The timescales for formal quotations are given in the information boxes in Section 3.5: Design Phase.

Transmission Connection Charges

In some cases, Distributed Generation may have an effect on the transmission system. NGESO may need to
carry out studies to assess whether the impact of your project on the transmission system is significant. This is
more likely if the project is large.

Fault Level
Fault level is a measure of the current which would occur in the event of a solid 3-phase short circuit at a certain
point on an electricity network. Fault level is normally expressed in thousands of amps (kA) or the equivalent
apparent power (MVA). It is may be given as a range of values, as it can change over time. This can be due to
changes in the network configuration to allow routine maintenance or isolate faults. The rating of existing circuit
breakers and circuits place an upper limit on the range of fault levels that can be permitted in a particular part of
the network. Your generating units can contribute to fault current, so it increases the fault level on the network.
If connecting your generating unit increases the fault level above the capability of equipment on the distribution
system or transmission system, you may have to contribute to reinforcements.

Statement of Works Process

The Statement of Works process was the only means of establishing what, if any, work needed to be carried
out on the transmission system as a consequence of connection your Distributed Generation.
If a Statement of Works was requested by the DNO, the relevant Transmission Owner undertook initial studies
to assess the impact of your generation on the transmission system. If your project did not have a significant
impact, the process was complete.
There was an application fee for the request for Statement of Works, This fee depends on your geographical
location.
If your project had a significant impact, the relevant Transmission Owner may need to:
• Undertake works on the transmission system or at a grid supply point; and
• Set specific requirements at your connection site.
The Statement of Works process identified whether there was a need to carry out reinforcement works on the
transmission system as a result of anew Distributed Generation project (which includes electricity storage
projects). As a result of the Statement of Works, NGESO may impose conditions on the DNO regarding the
Distributed Generation connection. These conditions would have been captured in the Connection Agreement

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between you and the DNO, and in any bilateral agreement you may have with NGESO. Throughout this
process, you would not have had any direct contact with NGESO, unless you applied for a BEGA, and this
process was handled by your DNO. Timescales for this process are prescribed in the CUSC. These may
impose timescale constraints on your project.

Transmission Impact Assessment (TIA)

In recent years, the volume of applications for connection of both generation and storage has been putting
strain on the Statement of Works process and causing delays to customers. DNOs have been and are
continuing to work with NGESO to review and revise the process to reduce response times and costs, where
possible. CUSC Modification CMP298 was implemented earlier this year and a new Evaluation of Transmission
Impact assessment process. This new process retained the Statement of Works process and introduced a new
Transmission Impact Assessment (TIA) process.
In the new process NGESO in conjunction with Transmission Owners, will develop planning limits or materiality
headroom for Grid Supply Points (GSP) that will be available to DNOs. These limits indicate the available
capacity on the transmission system that can be offered for connections without the need for further
assessment. This Transmission Impact Assessment may also indicate any associated transmission works that
will be required to connect Distributed Generation, along with the timescales and costs associated with such
works. For the Distributed Generation customer, this means the DNO can make a Connection Offer without an
individual application to the NGESO in many cases. This gives applicants more and better information earlier in
the process, and greater certainty. Your offer will also detail any associated financial security and liability you
will be required to put in place with the DNO for any associated transmission works.
This process had been trialled at a number of GSPs, by a number of DNOs, and has been referred to as the
“Appendix G process” which had become fairly universally adopted. It is this process that was formally
introduced in CMP298. For connections to GSPs that have not been part of the trial, the existing Statement of
Works process still applies, although the Appendix G process is becoming universally adopted. For more
information, please refer to the NGESO website and Section 6.5 of the CUSC. NGESO gives more information
about this process in the ‘Small Embedded Generation’ section of their website.
For more information, please refer to the NGESO website and Section 6.5 of the CUSC. NGESO gives more
information about this process in the ‘Small Embedded Generation’ section of their website.

Financial liabilities associated with Transmission Works

The DNO may be required to secure financial sums payable to NGESO for transmission works that would not
be required if your generation project does not proceed (“final sums liabilities”). The DNO would pass these
liabilities on to you as the project developer. Under NGESO’s new scheme for connecting generation, the
Connect and Manage scheme, the way in which these liabilities are shared between network users changes
slightly. You should discuss this issue with your DNO.

Where to Find More Information

You can find out more information about your DNO’s connection charges from their websites:

DNO Link to Connection Charge Documents

Electricity North https://www.enwl.co.uk/about-us/regulatory-information/use-of-system-charges
West
Northern Powergrid https://www.northernpowergrid.com/use-of-system-charges

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SP Energy https://www.spenergynetworks.co.uk/pages/regulation_guidance_leaflets.aspx
Networks
https://www.spenergynetworks.co.uk/userfiles/file/SPEN_connection_methodology.pdf
SSE Connections - useful documents - SSEN
Charging statements and information - SSEN
UK Power Networks Distribution Network Operator | UK Power Networks
National Grid National Grid Costs and Charging
Electricity
Distribution

Ongoing Charges
This section provides:
• An introduction to ongoing charges;
• A summary of Generation Distribution Use of System charges—how they vary and what they cover;
• A summary of metering charges and the parties involved;
• A summary of top-up and stand-by charges; and
• A summary of charges for using the transmission system.
This section discusses Use of System charges, as well as other ongoing charges that may apply to you.
Ongoing charges are associated with some of the running costs of your generating equipment.
Depending on the nature of your project these can include:
• Generation Distribution Use of System (UoS) charges;
• Metering charges;
• Top-up and standby charges; and
• Charges for the use of the transmission system.
Use of System charges are levied by the DNO on the supplier, so as a generator you will not be charged these
directly. However, this section is included for your information, as Use of System charges may appear as an
item on your bill.

Generation Distribution Use of System Charges

Use of System (UoS) charges are ongoing charges, which primarily cover operation and maintenance costs
and include an element to cover the costs of ongoing distribution system development including general
reinforcement.
All generators with equipment connected at LV and HV are subject to UoS charges under the Common
Distribution Charging Methodology (CDCM). Generators with equipment connected at EHV are subject to UoS
charges under the EHV Distribution Charging Methodology (EDCM).
These charges can be negative for generation (i.e. credits). Please see the table below for definitions of the
terms LV, HV and EHV.
There are special arrangements in place for generators whose equipment was connected at EHV before April
2005. Refer to Ofgem decision documents about exemptions for pre-2005 generators for more information.
DNOs are obliged to publish documents about their UoS charges. These cover their UoS charging methodology
and a statement of what the charges are for both generation and demand customers. You can find these on
DNOs’ websites. You can find out more about the CDCM and the EDCM from DNOs’ websites and Charging

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Arrangements section on Ofgem’s website. The EDCM and CDCM charging methodology are governed by the
DCUSA and are subject to open governance.
Distribution Use of System charges have recently been the subject of Ofgem’s Significant Code Reviews – the
Targeted Charging Review (TCR) and the Access and forward-looking charges review. For more information
see page 132.

Metering Requirements, Parties and Charges

You may require separate meters for measuring your import and export. There are two categories of meter:
• Half Hourly (HH)
• Non-Half Hourly (NHH)
They are described in the information box in page 128.
The type of meter will affect:
• The meter charges you pay; and
• The category of UoS charges that apply.
Section L of the Balancing and Settlement Code (BSC) dictates the type of meter you will require. If you are
classed as a ‘Small Scale Third Party Generating Plant’ (currently defined as less than 30kW capacity), you can
choose to have a NHH meter. Otherwise, you have to have a HH meter, if the export is to be metered. HH
meters provide metering data for each half hour period, and so can be useful for understanding your electricity
import or export at different times of the day. However, they have significant costs associated with them.
Provision of NHH meters are the responsibility of the supplier. They will appoint the following Supplier Agents:
• A Meter Operator: installs and maintains the meter;
• A Data Collector who retrieves the data recorded by the meter and calculates your actual or estimated
volume of energy consumption; and
• A Data Aggregator who sums up volumes of energy consumed for each supplier and sends the
information to a central system for balancing and settlement
If you use HH metering, it is your responsibility to appoint a Meter Operator. You will have to enter into a Meter
Operator contract with a meter supplier. The contracts normally last for five years, and the Meter Operator will:
• Provide, Install and maintain your HH meter; and
• Collect data from your HH meter via a communications link such as a telephone line
The provision of meters is open to competition. Details of Meter Operators and their contact details can be
found on the Association of Meter Operators website: www.meteroperators.org.uk
There are Codes of Practice which detail technical requirements for Metering Systems. These can be found on
Elexon’s website.
The cost of Meter Operator agreements and the costs associated with the communication to collect data from
your meter can be in the order of several hundred pounds a year. You should consider obtaining quotations
from a number of Meter Operators.
Note: in practice suppliers may pay the owner of some smaller Distributed Generation a fixed amount (eg.
£/year) instead of installing meters and making payments based on units exported, however this is not
permitted when the installed meter has the capability to record import and export separately. This is something
you can discuss with your supplier.

Half Hourly (HH) meters and Non-Half Hourly (NHH) meters

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Meters record the flow of electricity. There are two main categories of meters; Half Hourly (HH) and Non-Half
Hourly (NHH). HH meters are for larger customers; if your generation peak power is greater than 30 kW you
have to use a HH meter, if metering export.
NHH meters record total energy passing through the meter, but do not record the times the energy is
transferred. Typically, the recorded data would be collected a few times a year, e.g. every quarter. In contrast,
HH meters measure and record energy passing through the meter for each half hour period. The data they
record is typically collected remotely every day, for example by a telephone line.
Domestic properties are being encouraged to have a smart meter installed. Smart meters record total energy
passing through the meter every half hour. The introduction of smart meters should improve consumer
awareness of energy consumption and will allow for the introduction of time of use tariffs.
Data from meters is used to determine charges and rewards. For example, to calculate
• Imbalance charges for balancing and settlement
• Distribution or Transmission UoS charges and
• Renewables Obligations Certificate rewards
Top-up and Standby Charges
You may require top-up and standby electricity supplies to supplement the output from your generating units:
• Top-up supplies cover any routine shortfall between the output of your generating units and the
demand on your site, and are generally used frequently (i.e. you import electricity supply on a regular
basis).
• Standby supplies cover your demand in exceptional circumstances, such as generation outages (i.e.
you import electricity supply on an intermittent basis). Even if you have no on-site demand or
customers, standby supplies are usually required to cover the load associated with auxiliary equipment
during start-up.
Top-up and standby supplies can be purchased from any electricity supplier, other generators, or directly
through market mechanisms such as a power exchange or the Balancing Mechanism.

Charges Applied by NGESO

This section covers transmission network use of system charges, balancing services use of system charges
and developments of BSUoS charges.
Similar to the distribution UoS charges applied by DNOs to generators and demand customers who use their
distribution system, NGESO makes Transmission Network Use of System (TNUoS) charges. NGESO publishes
a Statement of the Use of System Charging Methodology on their website. According to this statement, you will
be eligible for TNUoS charges if you are required to hold a generation license and you have a Bilateral
Embedded Generator Agreement (BEGA). Please see Section 4: The Connection Application: Generation
Licensing for more information on agreements with NGESO.
The TNUoS charges vary by geographic region. To see what the charges are in your area, refer to the
Statement of Use of System Charges on the NGESO website. Note that charges can be positive and negative,
and that small generators connected at 132 kV in Scotland are eligible for a reduction in TNUoS charges.
Transmission Use of System charges have been subject to two of Ofgem’s Significant Code Reviews – the
Targeted Charging Review (TCR) and the Access and forward-looking charges review. Refer to the section on
Changes to Use of System Charges on page 132 for more information.
NGESO is allowed to make charges for balancing service activities; for the role they play in operating the
transmission system and balancing the system in real-time. These charges are called Balancing Services Use
of System (BSUoS) charges.

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The Use of System Charging Methodology states that all CUSC (Connection and Use of System Code) parties
are liable for BSUoS charges. Please refer to the CUSC for more information. There are a number of
developments to BSUoS charges – refer to the box below.
There have been a number of recent developments to BSUoS charges, some of which are still ongoing.
Electricity storage customers are currently charged BSUoS charges as both a demand and a generation
customer. In 2021, Ofgem has recently approved modifications to the CUSC so that storage customers only
pay BSUoS charges on exports.
Through Ofgem’s Targeted Charging Review (TCR), Distributed Generation will no longer be able to receive
payments from suppliers (an embedded benefit) for avoided Balancing Services Charges (see page 130).
Distributed Generation with a capacity of less than 100 MW currently avoids paying BSUoS charges, which is
under review by a second Balancing Services Task Force. The second Balancing Services Task Force was
asked to consider two key questions: (1) Who should be liable for balancing services charges? And (2) How
should these charges be recovered? The Second Balancing Services Task Force consulted in summer 2020
and have published a report in September 2020.
The Task Force recommended that Balancing Services Charges should be levied on final demand customers
only. Levying BSUoS charges onto final demand only will mitigate the existing distortions between GB
transmission connected generators who are currently liable for BSUoS charges and interconnected and
Distributed Generation who are not. The first Task Force concluded that BSUoS should be a cost recovery
charge, the addition of BSUoS related risk surcharges and transaction costs into both wholesale and retail
prices is an inefficient method of cost recovery.
The Task Force recommended that Balancing Services Charges should be recovered through a charge which
is fixed ex ante. The Task Force recommend by majority that the charge should be volumetric (£/MWh). The
combination of fixed and notice period should be 14/15 months.
Table 11: Definitions of LV, HV and EHV

Term Voltage level

LV (Low Voltage) In general: less than 1 kV. In practice, this means
400/230 V
HV (High Voltage) In general: 1 kV—22 kV. In practice, this means 6.6,
11 or 20 kV.
EHV (Extra High Voltage) In general this covers connection to the distribution
system at or above 22 kV. In practice this means 33
or 66 kV, (or 132 kV in England and Wales only).
Some DNOs may define this slightly differently. See
the definition of EHV for your local DNO.

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Section 5.5: G99 Type A & Type B-D, Costs and Charges

Changes to Use of System Charges

Ofgem Targeted Charging Review
Ofgem has been reviewing certain elements of Transmission and Distribution Use of System charges in a
Targeted Charging Review (TCR) Significant Code Review (SCR). This is because they had concerns that the
current framework for charging may result in inefficient use of the networks and unfair outcomes for consumers.
The SCR was set up in response to changes in the nature of generation being connected, with an increasing
amount of smaller generation plants. More businesses and households are generating their own electricity
onsite, but still rely on the grid for part of their electricity supply.
Ofgem published their decision in December 2019, which resulted in changes to Use of System Charges.
The review considered two main elements of charges:
• Residual charges; and
• Non-locational embedded benefits.
Residual charges are designed to recover sufficient network costs, so that network companies can recover their
allowed revenue as determined in price controls with Ofgem. They were not intended as charges to send
signals for how the network should be used.
Residual charges currently make up around 50% of DUoS charges (although this varies between DNOs) and
10-15% of a typical electricity bill and are currently largely based on energy consumption from the network.
Under the old arrangement customers who reduced their demand from the network with onsite generation could
reduce (or avoid) paying these charges, despite still using the network, and these avoided costs were
recovered from other customers.
Ofgem’s decision is that the distribution residual charge required a change from one based on energy demand
to a fixed charge levied on all households and businesses. The charges apply to final demand users (i.e. not
including generation-only or storage-only connections). The fixed charges are applied in bands, according to
agreed capacity or energy demand and voltage level.
For the distribution residual charge, there is no longer a link to time of consumption through the application of
red / amber / green charging periods, although this will continue for the forward-looking element of DUoS
charges. This means that customers are no longer able to switch to behind-the-meter generation to reduce the
residual element of Use of System charges.
This change impacts on demand customers with onsite generation. This is because customers with onsite
generation consume less from the grid, thus reducing the energy-based charge under the old arrangements.
However, the impact on bills will depend on how suppliers pass on charges to their customers.
Ofgem Access and Forward-Looking Charges
Ofgem published their final decision on the Access and Forward-Looking Charges Significant Code Review
(Access SCR) in May 2022. The Access SCR was implemented to ensure that electricity networks are used
efficiently and flexibly, reflecting users’ needs and allowing consumers to benefit from low carbon technologies
while avoiding unnecessary costs on energy bills.
The changes introduced:
• Changes to the distribution connection charging boundary;

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• Enhanced choice of interim “access rights” a customer has to the network, pending completion of any
required reinforcement, and a new standardised definition for a Curtailable Connection; and
• A new methodology for determining if a connection application relates to a site that is a Speculative
Development. Where a site is determined to be a Speculative Development, the developer of such a
site pays for all applicable network reinforcement costs.

The Access SCR implements these new rules via the Distribution Connection and Use of System Agreement
(DCUSA). The characteristics of a Speculative Development are given in Schedule 22, paragraph 1.39 of the
DCUSA.

The distribution connection charging boundary determines the split between the amount paid by the connecting
generator and the wider energy consumer. The changes are designed to:
• Reduce the upfront costs paid by new generation connections when the network requires
reinforcement; and
• Retaining and strengthen existing protections for energy consumers.
Under the old arrangements generators who connected to the distribution system and triggered network
reinforcement had to pay a proportion of the costs at the connecting voltage level and one voltage level up. For
example, if a generator connected at LV and triggered reinforcement at 11kV they contributed towards the
reinforcement costs at both voltage levels. The new arrangement means there will be a reduction in the
contribution to reinforcement for generation connections as a ‘shallow-ish’ connecting charging boundary has
been introduced.
Generators will contribute to the reinforcement costs at the voltage level of the connection. Electricity storage
sites are treated in the same way as generation. The High-Cost Cap (HCC) has been retained, above which the
customer has to pay in full for the reinforcement costs. This is presently £200/kW for generation and £1720/kVA
for demand. If a site has both generation or electricity storage and demand, and the primary purpose of the site
relates to demand, it will be charged as a demand customer and make no contribution to reinforcement costs at
the voltage of the point of connection. This is summarised in the table below:
Table 12: Summary of reinforcement charging boundaries.

Charging Extension Reinforcement costs Reinforcement costs at

Boundary costs at connecting voltage connecting voltage +1
New arrangement for Fully Connecting Fully funded by DNO Fully funded by DNO
demand connection and shallow customer through DUoS through DUoS
mixed-use sites where pays 100%
generation (storage) and
demand are co-located
(provided the primary
purpose of the site relates
to demand)
New arrangement for Shallow-ish Connecting Connecting customer Fully funded by DNO
generation connection customers pays a proportion of the through DUoS
pays 100% reinforcement costs

If the connection of Distributed Generation triggers transmission system reinforcement the costs will continue to
be charged to the connecting customer. Ofgem are considering this arrangement in their ongoing use of system
work.

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The reforms to the connection charging boundary came into effect in 1 April 2023.
For connection applications received by the DNO on or after 1 April 2023 the DNO may offer a curtailable
connection to allow a quicker connection to the network. This will include an agreement that your connection
may be restricted at certain times until the required reinforcement of the distribution system has been
completed. The amount of curtailment in the interim period will be measured and compared against a limit,
established by an agreed methodology, above which the DNO will pay you compensation at a published set
price. The curtailment will cease after an agreed end date by which time the necessary network reinforcement
should have been completed. Curtailable connections will not be offered to domestic and small industrial and
commercial users who have whole current metering. Full details can be found at the following link:
https://www.ofgem.gov.uk/publications/access-and-forward-looking-charges-significant-code-review-decision-
and-direction.

Embedded Benefits
Embedded benefits are historic charging arrangements that had favoured Distributed Generation with a
capacity of less than 100 MW, in terms of receiving revenue. There were four non-locational embedded
benefits:
1. Transmission Demand Residual (a payment to Distributed Generation): this was the largest benefit of the
four and was removed in June 2017;
2. Transmission Generational Residual;
3. Balancing Services Charges – payments from Suppliers;
4. Balancing Services Charges – avoided charges: currently an avoided charge for Distributed Generation (for
capacity < 100 MW)
The decision reached by Ofgem on items (2) and (3) above are as follows. The Transmission Generation
Residual, which was previously a payment for transmission connected generation, will be set to zero. And
Distributed Generation will no longer be able to receive payments from suppliers for avoided Balancing
Services Charges. The removal of these Embedded Benefits affects all grid connected generators who
currently benefit from these as a revenue stream.

Further Information
For more information, refer to the Ofgem webpage: SCR TCR and Access SCR. There is also information on
the Charging Futures website.

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Section 6.1: G98 & G99, Selling Electricity (SEG)

Section 6: Selling Electricity (Smart Export Guarantee)

This section introduces the financial incentives for selling electricity onto the distribution system.

Section 6.1: G98 & G99, Selling Electricity (Smart Export Guarantee )
This section provides:
• An introduction to the Smart Export Guarantee (SEG) incentive;
• A summary of the eligibility and accreditation arrangements;
• A summary of the deployment caps and how they work; and
• Guidance on where to find more information.

Introduction
Smart Export Guarantees (SEGs) are a financial incentive to support distributed and small-scale renewable
energy generation, up to a capacity of 5 MW.
SEGs are available for the following generation technologies:
• Anaerobic digestion (AD);
• CHP and Micro-CHP;
• Hydro;
• Solar PV; and
• Wind.
A number of domestic Combined Heat and Power (CHP) units are also supported through the Feed-in Tariff
(FIT) arrangements under a Micro CHP pilot scheme. The Micro CHP pilot will support up to 30,000 installations
with an electrical capacity no greater than 2 kW.
This section details the structure of the tariffs and will explain how to get accredited with SEGs.
Important Point: The SEG scheme for generators opened on the 1st January 2020. The SEG scheme replaces
the Feed-in Tariff (FIT) scheme that closed on the 31st March 2019 but works differently to FITs.
There are two sources of financial benefit from FIT payments which are:
• Generation tariff: A fixed unit for each unit of electricity generated; and
• Export tariff: A guaranteed price for each unit of electricity exported to the grid.
The SEG scheme obliges electricity suppliers to offer an export tariff rate to an eligible generating unit.
Generators cannot receive SEG payments as well as FIT payments for exported electricity. However, if the
generator continues to receive FIT generation payments and opts out of receiving FIT export payments then
they are eligible to receive SEG export tariff payments.

Tariff Structure
The main financial benefit from a generation project under the SEG scheme is the export tariff, which is a
guaranteed price for each unit of electricity exported to the grid. It is an obligation for licensed electricity
suppliers to offer eligible generation projects an export tariff rate. The electricity suppliers decide the SEG
export tariff details i.e., the rate and the length of the contract. However, although wholesale electricity prices

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can fall below zero due to changes in demand, electricity suppliers must always offer a tariff which is greater
than zero.
The tariffs are variable and can be adjusted annually for inflation. Generators should contact electricity suppliers
in the first instance for more information on the SEG scheme and what rates are offered. A full list of the
electricity suppliers that are offering payments have been published by Ofgem, and you can access them on
their webpage below:
https://www.ofgem.gov.uk/publications-andupdates/seg-supplier-list
As an indication, at the start of 2020 the Smart Export Guarantee rates were typically in the range 1.0 – 5.6
p/kWh, depending on the supplier.

FIT Scheme – Generation and Export Tariff

Installations which receive payments under the FIT scheme will continue to receive the same generation and
export tariffs that were current at the time of installation. The last export tariff under the FIT scheme, before the
scheme closed on the 31st March 2019, was fixed at 5.24p/kWh. This differs from the export tariff rate offered
through the SEG scheme, which depends on the electricity supplier you choose to contract with.

Metering Requirements
All new installations that wish to be paid for electricity exported to the grid must have an export meter installed.
The export meter must be capable of taking half-hourly measurements and have an export MPAN (Meter Point
Administration Number). The export meter must be located at the point where the installation connects to the
distribution system. Smart meters are capable of measuring half-hourly export energy so will not need
physically changing.
Your electricity supplier is a good first port of call to discuss metering arrangements. However, note that you
can opt to receive SEG payments from a different electricity supplier from your import electricity supplier.

Eligibility and Accreditation

Renewable energy generators under 5 MW are eligible for SEGs.

Accreditation Steps:
For wind or solar PV generation up to and including 50 kW, and for micro-CHP, the accreditation process is as
follows:
• Install your generating unit—you must demonstrate that the installation and installer are suitably
certified by using a Microgeneration Certification Scheme (MCS) installer (see below);
• Have or arrange to have installed a smart meter to measure export energy every half hour; and
• Apply for a SEG with your electricity supplier, and provide them with any documentation to demonstrate
compliance so that they can verify your eligibility.
Your electricity supplier will then be responsible for the level of payment you will receive for the electricity
exported, for which you will be required to provide export meter readings. See Ofgem’s website below for more
guidance on receiving SEG payments:
https://www.ofgem.gov.uk/environmental-and-social-schemes/smart-export-guarantee-seg
If your generation equipment is greater than 50 kW, you will be required to demonstrate that the installation is
suitably certified. Each electricity supplier will have their own requirements for demonstrating certification, but
these are expected to include the EREC G99 Installation Document and proof of ownership.
For all anaerobic digestion and hydro installations, you are required to provide evidence that the installation is
suitably certified for a capacity up to and including 5 MW.

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For anaerobic digestion installations, an additional step is required to gain accreditation, which involves
submitting separate and ongoing documentation to Ofgem, in the form of quarterly sustainability declarations
and annual feedstock declarations. Anaerobic digestion installations must use sustainable biogas in order to be
eligible for SEG payments. Feedstock that is waste is considered to satisfy sustainability criteria automatically.
More information is available on Ofgem’s website: https://www.ofgem.gov.uk/publications/guidance-anaerobic-
digestion-generators-seg-sustainability-criteria-and-reporting-requirements

Microgeneration Certification Scheme (MCS)

The MCS is currently the only formalised industry standard in the UK based on European and international
standards for microgeneration projects. MCS is a BS EN ISO/IEC 17065:2012 Certification scheme covering
renewable energy products wind and PV up to 50 kW (electrical), solar thermal, biomass and heat pumps up to
45 kW (thermal), Micro CHP and hydropower and renewable energy installation companies. The MCS checks
the product’s performance and quality, the installation methods and quality. The MCS will increase your
confidence in the renewable energy technology you are buying and in the company installing it.
For more information, please refer to the MCS website: www.microgenerationcertification.org

Multi-technology sites: Electricity suppliers have an obligation to accept a request for SEG payments from a
generator that is exporting from an eligible site. However, if the export meter records the energy exported from
a combination of eligible and non-eligible sources at the same site, an electricity supplier does not have to
make payments. You should check the options and terms from different electricity suppliers carefully.

Extensions to SEG installations: The capacity of a generation unit of one particular technology can be
increased. However, if the installed capacity of the generating unit exceeds 5 MW then the electricity supplier
does not have to make SEG payments for the export that exceeds 5 MW. If you choose to install extra capacity
at your site from a different eligible technology source, then the electricity supplier will recognise this as a
separate eligible source and will be able to make payments for the capacity of this technology up to 5 MW. For
example, a 7 MW PV solar array and a 3 MW wind farm would be eligible for SEG payments for 5 MW of PV
and 3 MW of wind.

Local Flexibility Markets: As part of the ENA Open Networks Project, a workstream dedicated to flexibility
services (WS1A) looked at the best way to implement markets for flexibility services offered by Distributed
Generation. Where co-located with demand, Distributed Generation may be able to offer flexibility services to
the DNO by adjusting onsite demand and generation in order to relieve congestion and release network
capacity. This may allow more Low Carbon Technologies (LCT), such as renewable generation, to connect to
the distribution system. The DNOs created the ENA Flexibility Commitment in December 2018, which was the
first step towards expanding a flexibility markets to local level.
The ENA has provided guidance on flexibility services published here -
https://www.energynetworks.org/work/open-networks/2017-2022/flexibility-services.

Where to Find More Information

For more guidance and the most up-to-date information on the Smart Export Guarantee, please see the
following organisations’ websites:
Ofgem – About Smart Export Guarantee (SEG).
https://www.ofgem.gov.uk/environmental-and-social-schemes/smart-export-guarantee-seg

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Department for Business, Energy and Industrial Strategy (DESNZ) — The future for small-scale low carbon
generation: Smart Export Guarantee – government response.
https://www.gov.uk/government/consultations/the-future-for-small-scale-low-carbon-generation

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Section 6.2: G99, Contracts for Difference

Section 6.2: G99, Contracts for Difference

This section provides:
• An introduction to renewable electricity incentives
• A summary of the Contracts for Difference mechanism
• A summary of The Renewables Obligation closure
• Guidance on where to find more information

Introduction
This section of the Guide focuses on Contracts for Difference (CFD). This is the main financial incentive
mechanism for larger low carbon generation schemes. It has replaced the Renewables Obligation, which closed
to new applications in March 2017. The Renewables Obligation closure does not affect generation that was
already accredited before the relevant closure date.
This section introduces the CFD mechanism, and explains how you, as a generator, can benefit. Key elements
of the CFD scheme are introduced. The application process for a CFD is much more complex than for the SEG
scheme.
There are various other power trading options for Distributed Generation, including:
• Selling your electricity on the wholesale market or to an electricity supplier;
• Levy Exemption Certificates (LECs);
• Embedded benefits;
• Ancillary services; and
• EU Emissions Trading System (ETS)

Contracts for Difference (CFD)

Introduction
A Contract for Difference is a bilateral contract between a generator and the Low Carbon Contracts Company
(LCCC, the CFD counterparty), which is government owned. A generator with a CFD is paid the difference
between the “strike price” and the “reference price”. The strike price is an agreed price for electricity reflecting
the cost of investing in low carbon generation. The reference price is a measure of the GB market price for
electricity.
CFDs require generators to sell electricity into the market as usual. But to reduce their exposure to market
prices, the CFD provides a variable “top up” payment. When the strike price is higher than the reference
(market) price, the generator receives a payment. At times when the market price exceeds the strike price, the
generator is required to pay back the difference, thus protecting consumers from over-payment.

Parties Involved
A number of parties are involved in the CFD mechanism. They include, with examples of their roles:
• Government: writes the policy, specifies the eligibility criteria and sets the budgets and rounds;
• Low Carbon Contracts Company (LCCC): signs the CFD and forecasts CFD payments;
• NGESO (Electricity Market Reform (EMR) Delivery Body): runs the system for users to register, submit
and manage applications; assesses the eligibility of applicants; and runs the CFD allocation process;
• EMR Settlement Ltd (Settlement Services Provider): collects metering data, calculates payments and
manages the settlement of payments between generators and suppliers; and
• Ofgem: regulates NGESO as the EMR Delivery Body and determines disputes.

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Eligibility
There are a number of eligibility criteria for the CFD, including:
• Meet qualification requirements, e.g. evidence of planning permission, counter signed Connection
Offers, generation type;
• Not considered an excluded applicant e.g. in receipt of another subsidy; and
• Provision of other information / data, e.g. incorporation information (details of different parties involved).
CFD Allocation
CFDs are awarded in rounds. During a round, if the specified budget for CFDs is not exceeded, all qualifying
applicants will be awarded CFDs. If the budget is exceeded, the Delivery Body will run an auction to allocate
CFDs.
Rounds 1 and 2 took place in 2015 and 2017 respectively, and CFDs have been allocated. In Round 1 there
were 27 successful applicants, with project installed capacities ranging from 6 to 714 MW, and strike prices
ranging from £50 to £119.89 (in 2012 prices). In Round 2 there were 11 successful applicants, with project
installed capacities ranging from 50 kW to 1,386 MW, and strike prices ranging from £40 to £74.75 (in 2012
prices). Subsequent rounds have closed with Round 6 due to open in March 2024..
NGESO publishes a Contract for Difference Interactive Guidance document which provides details on the CFD
process. Also see DESNZ and the EMR Delivery Body websites for the latest information.

Renewables Obligation
The Renewables Obligation closed to all new generating schemes on 31 March 2017. This was previously the
main incentive mechanism for larger renewable generation. The closure does not affect capacity accredited
before the relevant closure date, which will continue to receive full 20 year support until the end of the scheme
in 2037.
There are a number of grace periods, which allow generators to gain accreditation under the Renewables
Obligation in certain circumstances after 31 March 2017. The availability of grace periods differs across
England and Wales, Scotland and Northern Ireland.
The grace periods are available on Ofgem’s website.
Operators that are successful in their grace period application will have the opportunity to apply for accreditation
under the Renewables Obligation after the 31 March 2017.
For more information on the closure of the RO, refer to Ofgem’s website.

Where to Find More Information

For Contracts for Difference (CFD) refer to the DESNZ website:
https://www.gov.uk/government/collections/electricity-market-reform-contracts-for-difference
NGESO as the Delivery Body for CFDs has a website:
https://www.emrdeliverybody.com/cfd/home.aspx
The Ofgem website has details on the Renewables Obligation closure:
https://www.ofgem.gov.uk/environmental-programmes/ro/about-ro/ro-closure

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Section 7: G99 Type B-D, Technical and Commercial Interfaces

Section 7: G99 Type B-D, Technical and Commercial Interfaces

This section provides:
• An introduction to competition in connections;
• Information about Contestable and Non-contestable work; and
• Information about The National Electricity Registration Scheme (NERS)

Introduction
To construct the assets to connect a generation site to the distribution system, there are two main options:
• DNO Connection: the DNO undertakes all the work necessary to provide the connection. Sometimes
called a “statutory” or Section 16 connection; and
• ICP Connection: an Independent Connections Provider (ICP) provides the ‘contestable work’, and the
DNO completes only the ‘non-contestable’ work (see next page for more information).

DNO Provided Connection

You will be charged the cost of the connection works as discussed in Section 5.4: Costs and Charges:
Connection charges. In practice, the DNO will undertake the design of the connection infrastructure, but the
installation work may be undertaken by another organisation under contract to the DNO.

ICP Provided Connections

This arrangement to contract with a third party, an ICP, to provide the contestable connection work is known as
“Competition in Connections”. The ability to choose a party, from a range of connections providers may bring
about some advantages:
• Prices are determined via a competitive market may be lower than where a DNO undertakes the work;
and
• There may be a greater opportunity for the timescales to undertake the work to be aligned with the
timescales of the rest of your project.
However, there are some implications if an ICP undertaking the contestable work, including:
• Connection work undertaken by ICPs is subject to inspection and approval by the DNO. You will be
charged for ICP design approval by the DNO.
• There is an additional relationship i.e between the ICP and DNO which needs to be managed. This will
take time and effort.
See below for information on the Competition in Connections Code of Practice.

Competition in Connection (CiC) Code of Practice (CoP)

In 2014/15 Ofgem conducted a review into the Electricity Connections Market, covering the market for new
connections to distribution system, and assessing the effectiveness of competition. Ofgem concluded that
DNOs should be required to produce and adhere to a Competition in Connections Code of Practice. The aim of
the CiC CoP is to formalise the arrangements between DNOs and ICPs, to allow effective competition for
connections, as well as improving consistency in approaches across DNOs. The document is primarily aimed at
third-party connection providers, but you may find it of interest. The CiC CoP is published by DNOs at:
https://www.connectionscode.org.uk/
DNOs also publish the CiC CoP on their websites, as well as annual reports demonstrating their compliance
with the CoP.

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Contestable and Non-contestable Work

There are certain tasks that DNOs do themselves, so that they can maintain co-ordination and control of their
network. This part of the connection work is called Non-contestable work as it is not open to competition.
Conversely, the part of the work that is open to competition is referred to as Contestable work.
Each DNO provides its own definition of Contestable and Non-contestable work in their Connection Charging
Methodology, available on their website. Although the definitions may vary, they are broadly similar. The table
below shows which activities are typically Non-contestable and which are typically Contestable. Note that
activities to do with the existing distribution system are Non-contestable. In addition to paying the ICP for
carrying out the Contestable work, you will be charged for:
• The costs incurred by the DNO in carrying out the Non-contestable work; and
• The inspection and approval by the DNO of the work carried out by the ICP.
These charges are discussed in Section 5.4: Costs and Charges: Connection costs. Table 13: Examples of
Contestable and Non-contestable work activities.

Typical Non-contestable Typical Contestable activities

activities
Activities to • Deciding on the point of
do with the connection to the existing
existing network
distribution
• Live electrical work to connect the
system
new extension to the existing
network
• Design and construction of
reinforcement upstream of point
of connection
Activities to • Obtaining any necessary • Obtaining wayleaves that do not
do with new consents and wayleaves require the DNO to exercise its
assets involving exercising statutory statutory powers
powers
• Detailed design for on-site works
• Design approval downstream of the point of
• Inspection, monitoring and connection to the existing
testing of Contestable work network
• Project managing the connection
• Providing materials to DNOs’
specification
• Cable trenching, installing ducts and
other preparation of the site
• Carrying out substation building and
civil work on-site
• Constructing the extension
• Recording of work, cable routes and
equipment on site and the provision of
this information to the DNO
• Installing metering and making
internal wiring live (this is undertaken
by your supplier rather than an ICP)

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National Electricity Registration Scheme

Lloyds register operates the National Electricity Registration Scheme (NERS) on behalf of DNOs. Under the
NERS, ICPs are assessed and accredited for various items of Contestable work. For example, they may only
be accredited for work up to a certain voltage level.
DNOs stipulate that all or most items of Contestable work need to be carried out by accredited ICPs. A list of
accredited ICPs can be found on the Lloyds register website.
Some items of Contestable work may not have to be carried out by an accredited ICP, for example cable
trenching work on site. Consult your DNO’s Connection Charging Methodology for details on which parties can
undertake items of work.

Figure 16: Contractual relationships in the connection process.

Practicalities of ICP Connections

If you want to get quotations from ICPs for connection work, you first need to establish:
• The scope of the work that is Contestable;
• The relevant standards for the specification of work, materials and equipment; and
• Details of approved contractors.
The DNO defines the scope of Contestable work, although they may be open to negotiation on some points.
This is normally provided in the connection quotation if you have requested this information at the application
stage.
The DNO will have design standards and specifications for materials and equipment. However, you should be
aware that statutory requirements based on national and international standards for connection works are set
out in the Distribution Code. DNOs are entitled to seek clear confirmation and proof that these standards are
met. They may charge for additional operating costs imposed by equipment that is otherwise unique on their
distribution system.

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On making a request for a connection quotation, you should indicate to your DNO if you’re interested in
obtaining ICP quotations for Contestable work and ask for the quotation to show charges for Contestable work
and Non-contestable work separately. You could also ask the DNO for details of approved contractors and for
their preferred design standards and equipment specifications.
If you decide to contract with an ICP it is your responsibility to ensure that the ICP’s work is acceptable to the
DNO under the terms of the Adoption Agreement So before contracting with an ICP, you should ensure that
their quotation:
• Covers all the necessary items of work; and
• Provides materials and equipment which comply with the requirements of the Adoption Agreement.
You should keep the DNO fully informed of the source and specification of equipment to be procured or
installed. It may be prudent to set up a design review to enable the DNO to formally review and approve the
contractor’s proposed scope of supply.

Contracts and Agreements

This section provides:
• An introduction to contracts required with the DNO;
• Information on Connection Agreements and Adoption Agreements; and
• Information on the agreements with other parties.

Introduction
Before you can start operating your generating units, you will need to enter into a number of agreements with
the DNO, which:
• Will include a Connection Agreement; and
• May include an Adoption Agreement, where you have contracted with an ICP.
These contractual relationships are discussed in this section, and the terms are defined briefly in the
information box on the next page.

Connection Agreement
You will be required to enter into a Connection Agreement with your DNO. The Connection Agreement covers
the conditions under which your equipment is entitled to be:
• Physically connected to the DNO’s network; and
• Remain connected and energised during normal operation of the distribution system.
Examples of some of the other aspects covered in the Connection Agreement include:
• Identifying who is responsible for equipment maintenance and recording failures;
• Recording key technical data such as import and export capacities;
• Specifying the requirements for communication links between you and the DNO; and
• Setting out any obligations on the DNO regarding the connection, and obligations on you such as
paying the connection charge and complying with the Distribution Code.
The Connection Agreement is likely to take the form of a standard document with project specific annexes. A
first draft will probably be prepared by the DNO for discussion, agreement, and signature. DNOs discuss the
Connection Agreement in their Connection Charging Methodology, available on their website.

Adoption Agreements

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If you use an ICP to construct the Contestable work for your connection, you will have to enter into an Adoption
Agreement. This covers the arrangements for the DNO to take over responsibility for the infrastructure installed
by the ICP. It also includes arrangements to ensure that the work meets the DNOs’ requirements.
Adoption Agreements take one of several forms:
• A tripartite agreement between you, the DNO and the ICP;
• A bipartite agreement between you and the DNO;
• A bipartite agreement between the DNO and the ICP; and
• A multipartite agreement between you, the DNO, the ICP and any relevant third party landowners.
DNOs discuss the Adoption Agreement in their Connection Charging Methodology, which are available on their
websites. You should consult this document to find out which form of agreement your DNO specifies.

Agreements with Other Parties

You may also need to enter into agreements with other parties including:
• Terms for ‘Use of System’ are either covered by the agreement you will have with your supplier, who is
a party to the DCUSA. This is the most likely option.
• Entering into a ‘Distribution Connection and Connection and Use of System Code (CUSC). See the
CUSC website: https://www.nationalgrideso.com/industry-information/codes/connection-and-use-
system-code-cusc
• Agreements with NGESO, which will be either a ‘Bilateral Embedded Generation Agreement’ (BEGA) or
a ‘Bilateral Embedded Licence Exemptible Large Power Station Agreement’ (BELLA) (see Section 4:
The Connection Application: Generation Licensing)
• A Power Purchase Agreement or an agreement with your supplier for selling your exported electricity;
and
• Metering Agreements (see Section 5: Costs and Charges: Ongoing charges)

Agreements at a glance
Connection Offer: A formal offer from the DNO containing terms, conditions and charges for the DNO to make
the connection. Issued either to you or the ICP where applicable.
Connection Agreement: An agreement between you and the DNO detailing terms and conditions for
connecting to and remaining connected to the DNO’s network.
Adoption Agreement: An agreement which sets out the terms and conditions for the DNO to adopt assets
which have been constructed by an ICP.

Operational Issues
This section provides:
• An introduction to some operational issues;
• A summary of the Distribution Operating Code requirements; and
• A summary of DNO control schemes.

Introduction
Once your generating units have been connected, you still have some ongoing responsibilities around running
your generating equipment. For example, you may need to provide the DNO with forecasts of your generation,
or exchange information with them if an unusual event occurs. Although the focus of this Guide is on the
connection process for Distributed Generation, this section will also touch on some operational issues.
There are different requirements for different categories of Distributed Generation. These are outlined in a
section of the Distribution Code, which is discussed in more detail in this section.

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The day-to-day running of your generating equipment may also be impacted by control schemes which your
DNO may apply. If your DNO does apply an operational control scheme this will be detailed in your Connection
Agreement, so that is the first place you should look. These schemes are discussed briefly, and we will point
you in the direction of sources for more information.

Distribution Operating Code

The Distribution Operation Code (DOC) is a section of the Distribution Code. The requirements of the DOC are
set out on the next page, and include:
• Operating procedures at the interface between the DNO and users of the distribution system; and
• Requirements for certain users of the distribution system to provide data to the DNO on load forecasts
and/or generation output.
The DOC covers ten different aspects of information exchange or procedures. Some will apply to all Distributed
Generation, others only to generators of a certain size. For full information on the DOC, please refer to the
Distribution Code, which is available free of charge on the Distribution Code website: https://dcode.org.uk/the-
gb-distribution-code-review-panel.html
The areas covered are summarised in the following table, as well as who they apply to.
Table 14: Summary of DOC sections.

DOC Applies to: Brief

Section Overview
DOC1 All Distributed Generation Demand forecasting: the generator has to provide
over 5 MW, and over generation output forecasts to the DNO.
1 MW where the DNO
considers it appropriate

DOC2 Distributed Generation Operational planning: you have to provide an outage

with output greater than program for your Distributed Generation to the DNO, and the
1 MW DNO provides you with information on possible constraints on
their system.

DOC5 All Distributed Generation Testing and monitoring: the DNO may need to test the
quality of supply or the active / reactive power transfer at your
point of connection. If they need to do this they will advise
you about it, and you will be able to witness the tests and/or
know the results.

Medium power stations Up to twice a year, National Grid Electricity System Operator
that don’t have an (NGESO) may ask the DNO to ask Distributed Generation for
embedded a statement of compliance with the relevant Grid Code
generation conditions.
agreement

DOC6 Not applicable to Demand control

Distributed Generation

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DOC7 Distributed Operational Liaison: you and the DNO may need to
Generation exchange operational information or information about events.
connected at HV In order to do this, an effective means of communication
needs to be established. The DNO needs to be regularly
updated with your contact information.

DOC8 All Distributed Generation Safety co-ordination: requirements to ensure the safety
(excluding offshore) of people who may be working on the boundary between
the DNO and Distributed Generation.

DOC9 All Distributed Generation Contingency planning: sets out the co-ordination that is
(excluding offshore) needed between all users under abnormal conditions.

DOC10 Distributed Operational event reporting and information supply: you

Generation have to report significant events, and where necessary
connected at HV conduct joint investigations with the DNO.

DOC11 All Distributed Generation Numbering and nomenclature of electrical apparatus at

(excluding offshore) ownership boundaries: if you or the DNO install or change
apparatus at an ownership boundary the owner of the
apparatus must be notified about the numbering and
nomenclature.

DOC12 Distributed System tests: if anyone intends to undertake system tests

Generation which will affect other users, they need to follow this
connected at HV procedure.

DNO Control Schemes

When distribution systems were built, they were not designed to connect Distributed Generation. Instead, the
power system was designed to transmit bulk power from a number of large power stations to the distribution
system, and then in turn distribute power from bulk supply points to demand customers.
There has been significant growth in Distributed Generation in recent years. Some distribution systems are
reaching the limits of their thermal and fault level capacity to accommodate more generation.
There are several reasons why reinforcements may be required to connect Distributed Generation, including:
• Increased power flows "up" the network means that parts of the network are approaching their thermal
limits;
• Changing power flows "up" and "down" the network means that the equipment installed to control
network voltage might not work effectively; and
• The currents that would flow in the event of a fault on the network would exceed the capability of the
equipment, including protection equipment.
Reinforcement has associated costs, as discussed in Section 5: Costs and Charges: Connection charges and
Costs and Charges: Ongoing charges.
Depending on the particular issue, a possible alternative to reinforcement could be for the DNO to deploy
control scheme for Distributed Generation. For example, a control scheme may allow Distributed Generation to
remain connected under normal operating conditions but under certain operating conditions their output may be
constrained. It should also be noted that constraining the output from the generating units can affect the

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Section 7: G99 Type B-D, Technical and Commercial Interfaces

economics of a project. There is more information on this in earlier sections of this Guide (Active Network
Management on page 38 and Flexible Connection Offers on page 99).

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Distributed Generation Guide
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Glossary of Terms

Glossary of Terms
Generating Unit: Any apparatus which produces electricity.
Generator: A person who generates electricity under licence or exemption under the Electricity Act 1989.
Grid Supply Point (GSP): Any point at which electricity is delivered from the National Electricity
Transmission System to the DNO’s distribution system.
Independent Distribution Network Operator (IDNO): A holder of a distribution licence, an IDNO
designs, builds, owns and operates a distribution system, which is an extension to existing DNO
network. They typically build network for new developments such as business parks, retail and
residential areas and leisure facilities.
Low Voltage (LV): A voltage normally exceeding 50 V AC between conductors and earth or 120 V DC between
conductors but not exceeding 1000 V AC or 1500 V DC between conductors or 600 V AC or 900 V DC between
conductors and earth.
Micro-generator: A source of electrical energy and all associated interface equipment able to be connected to
an electric circuit in a Low Voltage electrical installation and designed to operate in parallel with a public Low
Voltage Distribution Network with nominal currents up to and including 16 A per phase.
National Grid Electricity System Operator (NGESO): Operates the transmission system in England,
Wales and Scotland. NGESO is a member of the National Grid group of companies. Their role is to
ensure that supply and demand is balanced on a minute-by-minute basis.
National Grid Electricity Transmission (NGET): Owns the electricity transmission network in
England and Wales. NGET is a member of the National Grid group of companies.
National Grid Electricity Distribution (NGED): Owns the electricity distribution system in East and
West Midlands, South Wales and Southwest of England. NGED is a member of the National Grid
group of companies.
Ofgem: The Office of Gas and Electricity Markets.
Reinforcement: Reinforcement work is usually required to increase the electrical capacity of those
parts of the network which are affected by the introduction of new generation or demand. Other work
might include upgrading the switchgear at a substation some distance from the proposed generation
project, due to the increase in fault level caused by the connection of generating equipment.
Renewable Obligation Certificates (ROCs): A green certificate issued to an accredited generator for eligible
renewable energy generated within the UK and supplied to customers within the UK by a licensed electricity
supplier. ROCs are issued for each MWh of eligible renewable output generated, the amount of ROCs received
depend on the technology of the generating unit.
Retail Price Index (RPI): General purpose measure of inflation used in the UK.
Reverse Power Flows: Power flows in the opposite direction to those associated with the
consumption of electricity by users.
Site Responsibility Schedule: Also called a Joint Operational Agreement. A schedule defining the
ownership, operation and maintenance responsibility of equipment and apparatus at the Point of Supply with the
DNO.
Supplier (Electricity Supplier): Electricity suppliers purchase electricity (on the market or in
contracts) and sell electricity to customers (commercial, industrial and domestic).

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Glossary of Terms

System Voltage: The voltage at which an electrical network is operated.

Thermal Rating: The current-carrying capacity of a cable, an overhead line or any other item of
electrical infrastructure, which is determined by the heating effect arising from electrical losses.
Transmission System: A system of electricity lines and equipment owned by the holder of a
Transmission Licence and operated by NGESO which interconnects transmission connected power
stations and substations. In England and Wales the transmission system is the equipment
principally rated above 132 kV while in Scotland they are those principally at or above 132 kV.
Type Tested Equipment: Equipment that has been tested in accordance to ensure that it
meets the requirements of EREC G98 or G99. Using type tested equipment simplifies the
connection and commissioning process.
Use of System (UoS): The use of a transmission or distribution system by a generator, supplier,
customer or an interconnected party for the purposes of transporting electricity.
Voltage Flicker: Voltage flicker is a deviation in system voltage, where power is not completely lost. Flicker may
be defined as the sensation experienced by the human eye when illumination levels change as a result of the
change in voltage.
Voltage Fluctuation: Fluctuations in the supply voltage that can be caused by a fluctuating load,
and which in turn cause flicker.
Voltage Unbalance: Occurs where there exists a difference in voltage magnitude between
phases and/or a shift in the phase separation from 120° (for a three-phase system).

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Appendix A

Examples showing the process for inverter sizing and determining registered
capacity
Example 1

Nominal 40 MW of solar PV connected at 132kV, which assuming unity power factor (pf) is 40 MVA
Assume 5% loss in MVAr in cables and across transformer and required pf = 0.95 at the Connection Point.
This requires generator active power output of 37.80 MW and reactive power output of 13.08 MVAr.
For 37.80 MW of active power at the Connection Point this generates 12.34 MVAr of reactive power.
Registered Capacity of the PPM is 37.80 MW (and of the site, assuming there is no active power loss across the
transformer).
Example 2:

40 MW is to be exported to the network.

Assume 5% loss in MVAr in cables and across transformer. This generates 13.84 MVAr and 42.33 MVA.
40 MW at the Connection Point with 0.95 PF requires 13.15 MVAr and 42.11 MVA.
The total registered capacity of the facility is 40 MW. Need to have 42.33 MVA of inverter capacity.

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Example 3:

At least 40 MW is to be exported and transformer losses are not negligible.

Assume 2% loss in MW and 5% loss in MVAr in cables and across transformers. This produced Active power of
40.82 MW, reactive power of 13.85 MVAr and apparent power of 43.10 MVA.
40 MW at the Connection Point with 0.95 PF requires 13.15 MVAr.
Registered Capacity of PGM is 40.82 MW.
Registered Capacity of facility is 40 MW.
Need to have 43.10 MVA of inverter capacity.

Installer Guidance
This section explains the type of load management and flexibility devices that can help manage a domestic property
demand and generation.
These load management techniques can effectively manage demand and generation on a domestic property. For
instance, load-limiting devices and load shedders can ensure a property doesn't exceed its agreed export limits
when solar panels or other generation may result in export to the distribution system. When applied to generation,
these techniques can be used to maintain a stable balance between the production and distribution of energy within
the property, as well as manage the energy exported back to the distribution system. This is particularly valuable in
homes with renewable energy sources like solar panels or wind turbines, where energy production can be
unpredictable and varies with environmental conditions. These techniques provide a flexible and adaptable
framework for managing both consumption and generation of energy in a domestic setting.
Solution Description Most Applicable Scenario
Load-limiting devices Restricting the amount of energy, Useful for retrofitted properties,
a single property can draw from premises with high overall loads,
the network. Each load limiting / Also applicable for premises
management device must be supplied via cables with
defined, and the application of insufficient capacity or looped
load management specified. All services.
devices and installations must

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 meet specific standards, in
accordance with EREC G100.
Additional features: Audio alerts
for excessive usage and physical
limitations on energy draw.
Load shedders Restricting the amount of energy, Customer wishes to determine
selected customer device(s) can which non-essential devices can
draw when electrical demand be subjected to load shedding.
exceeds a predetermined level.
Options include:
Additional features: Audio alerts
1. Prioritisation of heat pump
for excessive usage and physical operation, over EV
limitations on energy draw. charging - EV turns on
once there is sufficient PV
generation or heat pump
demand reduction.
2. Use of a G100 device for
management of the load
automatic
process/switching.
Heat Pumps: Thermal Storage A complimentary system used Useful for large domestic houses,
when there is a need to reserve such as multi-bedroomed
power draw for other devices. This properties or additional
solution can work around installations which expand the
predetermined times that will not heating network. Also applicable
infringe on critical customer based on customer affordability.
schedules.
Heat Pumps: Immersion Heater Setting different times (when a Use the last digit of the serial
(For Legionnaires) customer is not using a device number of the HP, to determine
with high load draw) across the hour when the immersion
multiple/any installation for the heater will activate, to randomise
heat to initiate. the activation time. Activation to
be only between Midnight and
7am, to avail of off peak tariffs. If
the SN ends in an 8 or 9, use the
next digit to the left. If that digit is
also an 8 or 9, keep going to the
next digit to the left until you get a
digit between 0 and 7. This will be
the hour to set the immersion
heater activation. This digit will
also be the day of the week, so a
SN ending in a 6 will be set to
activate at 6am on a Saturday
(assuming Monday is day 1)
Backup heat: Increasing Activated when the heat pump is Harsh cold temperatures where
room/water temperature unable to maintain the desired heat pumps may struggle to

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 temperature due to very low maintain desired indoor
outdoor temperatures or system temperatures. It's also applicable
malfunctions. in any setting with a heat pump
where there's a risk of malfunction
(due to hardware/not enough
capacity available).
Installation of additional sub- Most properties have a singular Properties with complex electrical
panels main panel for power distribution needs
between all circuits. Use
Homes with extensive home
alternative panels for easier load
automation systems, multiple
distribution management.
LCTs, or outbuildings that require
power.
Customer confirmed to prioritise
devices in times of excess load.
Upgrading to a three-phase Installer will accommodate Property registered for use of
supply (subject to excessive of environments/situation of APIs/data/Identify
100A/23kVA/small service customer/location. They will use a
Power requirements are
cables/looped services) referred document to check which
significant Single-phase supply is
cable services/cut out apply and
insufficient
their respective ratings.
Installation of a battery/ G100 G100 load limiting technology, Where the customer demand
device which effectively manages power could exceed the capacity of the
where the system can regulate distribution system.
and limit the load to prevent
overloading and potential damage.
Request to DNO for The installer recommends that When no other previous solution is
reinforcement reinforcement is ultimately applicable to the customers’
required due to the increased load situation. Significant additional
and is responsible for the load in a local area.
explanation/justification to DNO.
Removal of deterministic After the notification of increased All scenarios, should the customer
solutions once capacity, if the customer decides want to fully utilise the equipment
reinforcement/upgrade is to remove the solution, it becomes that they have paid to be installed.
completed their responsibility to recontact the
installer

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Energy Networks Association
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t. +44 (0)20 4599 7700
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@EnergyNetworks

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Energy Networks Association Limited is a company registered in England & Wales No. 04832301
Registered office: 4 More London Riverside, London, SE1 2AU

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