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P511 Balancing and Settlement Code Urgency Decision - Trading Eligibility Threshold

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Summary

Ofgem has granted urgency status for Balancing and Settlement Code modification proposal P511, which was raised by Axle Energy on 18 March 2026. P511 proposes introducing a trading eligibility threshold above which generation assets would be ineligible to participate in wholesale markets via Virtual Trading Parties. The urgency was granted in light of concerns about increasing volume and cost of the P415 mutualised compensation fund. The BSC Panel unanimously recommended urgency for P511.

What changed

Ofgem granted urgency status for BSC modification proposal P511, which would introduce eligibility boundaries restricting certain generation assets from participating in wholesale markets via Virtual Trading Parties. The urgency was requested by Axle Energy following data showing increased volume and cost of the P415 mutualised compensation fund.

Affected parties include generation asset owners, Virtual Trading Party operators, and market participants in the UK's electricity balancing and settlement framework. The urgency designation means P511 will be expedited through the code modification process, potentially accelerating implementation of trading eligibility restrictions for larger generation assets.

Archived snapshot

Apr 16, 2026

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P511 Balancing and Settlement Code (BSC) urgency decision

Publication type: Code modification Publication date:

16 April 2026

Topic: Energy codes, Electricity generation Subtopic: Balancing and settlement code (BSC), Wholesale markets Print this page

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  • Outcome of request for an urgent review of proposed changes to Balancing and Settlement Code P511 Eligibility Boundaries for Generation Participation in P415.

Details of outcome

We have decided to grant urgency for Balancing and Settlement Code (BSC) modification proposal P511.

Code modification description

P511 was raised by Axle Energy on 18 March 2026. P511 proposes introducing a trading eligibility threshold, above which, generation assets would be ineligible to participate in the wholesale market via Virtual Trading Parties.

At the Special BSC Panel on 18 March, Axle Energy requested urgency in light of information showing that there has been a recent increase in the volume and cost of the P415 mutualised compensation fund. Related code modifications P509 and P510 also requested urgency on similar grounds.

The BSC Panel unanimously agreed to recommend to Ofgem that P511 should be progressed as an urgent modification proposal.

We have considered P511 alongside the related urgency requests for P509 and P510. We have decided to grant the request for urgency for P511. This letter sets out our reasoning.

Documents

BSC modification proposal P511 Eligibility Boundaries for Generation Participation in P415 – decision on urgency [PDF, 176.66KB] Print this page

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Named provisions

Eligibility Boundaries for Generation Participation in P415

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Last updated

Classification

Agency
Ofgem
Published
April 16th, 2026
Instrument
Notice
Legal weight
Non-binding
Stage
Final
Change scope
Minor
Document ID
P511 BSC Urgency Decision
Docket
P511

Who this affects

Applies to
Energy companies Government agencies
Industry sector
2210 Electric Utilities
Activity scope
Code modification proposals Trading eligibility Generation participation
Geographic scope
United Kingdom GB

Taxonomy

Primary area
Energy
Operational domain
Compliance
Topics
Energy

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