What is P272?
P272 is a mandatory change instigated by OFGEM where meters that have a profile class of 05 – 08 (the start of your MPAN) should be settled the same as half-hourly (HH) supplies. Meters with a profile class of 05 – 08 are currently known as non half-hourly (NHH) supplies. However, if that meter is capable of AMR (Automatic Meter Reading), then they will effectively become HH supplies because the meter readings will be taken automatically every half hour.
This obligatory change is industry-wide and will be implemented by all suppliers. This change is to be implemented by 1st April 2017.
Under the new regulation, all businesses using electricity meters in profile classes 05 – 08 must use automated meters. These meters must send regular half hourly usage data to energy suppliers for faster, more efficient settlement.
Does P272 affect me?
P272 affects any business which has a maximum demand supply (Profile classes 05-08 inclusive) that has an AMR fitted.
The majority of customers who are affected by P272 will not need to have a new meter installed. If your AMR meter is able to be configured remotely it will already be capable of taking the HH readings and it will be unlikely that you will need to have your meter replaced.
Will P272 affect my bills?
When it comes to how the new rates will impact individual customers, that is currently being determined by the energy suppliers. In general, moving to half hourly settlement means that new charges might appear on your bill and could involve unavoidable cost increases. However, some may see a decrease in their bills, depending on patterns of usage. Please contact us if you are unsure and we will explain the differences to you.
What are the benefits for my business?
Suppliers will record your usage every half hour, which means they can produce a clear and comprehensive energy profile that will be specific to your business. This also means you will have better visibility of your own consumption. You should also be billed more accurately, because the supplier should not have to issue bills that are based on estimated readings.
Will there be any changes to my agency arrangements?
A change of Metering & Data Agents is required as part of the switch to Half Hourly electricity supply. A Meter Operator agreement or (MOP contract) is a legal requirement for all half hourly electricity supplied meters. So by maximum demand meters being migrated to HH, a MOP will be required. A MOP supplies the necessary telecommunications for sending consumption data to the energy supplier. They will also provide ongoing meter maintenance. Businesses could allow suppliers to nominate a MOP (most suppliers will have a preferred Meter Operator). However, they can also choose who these agreement would be with and there are several providers.
Our advice is to shop around for best deals, and nominate your own MOP provider. Please note BCC can provide independent advice in this area.
If you have any queries, please just get in touch on 0141 226 8525 to discuss this further.