Stage 3 of the CREG project is now coming to a close, with a final meeting scheduled on 30th July 2015 to conclude discussions of the Stage 2 Post Implementation Review, namely a review on the
concept of Materiality under the MRA.
As there was no CREG meeting held in June 2015, the following
update will provide an overview of the July meeting:
Stage 2 Post Implementation Review
CREG will review the legal drafting amendments to the MRA and MAP17 to reflect the following changes:
- Extending the scope of Materiality testing when MRA Agreed Procedures (MAPs) may contain material obligations; and
- Issuing rejected material changes to the Authority for decision.
The Expert Group will be invited to consider any implications of the illustrative drafting following Ofgem’s confirmed position, which
outlines that for the purposes of changes subject to self-governance, MDB should act as a decision making body. For material changes, MDB should act as a recommendation making body to enable the Authority to undertake the decision making role.
It is anticipated that Ofgem will also present its rationale behind MDB powers for material changes, following MEC recommendation,
during the July meeting.
The Code Review Expert Group Closure Report
Over the past two months, Gemserv has been compiling a Closure Report to ensure that both Ofgem Code Governance Review
objectives and the CREG Terms of Reference (ToR) objectives have been met. The Closure Report has been approved by CREG and will be updated following discussions July. The completed report will then be brought back to the August MEC meeting for MEC’s
consideration and approval.
If you have any questions, please get in contact with the team at CREG@gemserv.com