Trading and Settlement Code

Overview

The Single Electricity Market (SEM) consists of a gross mandatory pool market , into which all electricity generated on or imported onto the island of Ireland must be sold, and from which all wholesale electricity for consumption on or export form the island of Ireland must be purchased (above a DeMinimis threshold). The SEM high-level design was completed in June 2005 and on foot of this the SEM Trading and Settlement Code (the "TSC") was developed, setting out the detailed rules and procedures concerning the sale and purchase of wholesale electricity in Ireland and Northern Ireland.

The TSC was designated by the Regulatory Authorities on 3rd July 2007 and on 1st November 2007 the SEM went live, commencing the trading and settlement of wholesale electricity in Ireland and Northern Ireland on an All-Island basis. Governance of the Trading and Settlement Code by the Regulatory Authorities has, since 1st November 2007, come under the jurisdiction of the SEM Committee. The SEM Committee makes final decisions on the approval, amending or rejection of modifications to the TSC as proposed by the SEM TSC Modifications Committee. The SEM Committee also supervises the development of the TSC from a regulatory perspective and is represented by the Regulatory Authorities' staff on the Modifications Committee. The TSC unit within the RAs' offices assists the SEM Committee in its governance of the TSC.

For further information on the Trading and Settlement Code please contact Philip Newsome and Dana Kelleher.