TSC Annual Operational Parameters for 2021 Decision Paper

11 November 2020


TSC Annual Operational Parameters for 2021 Decision Paper

Under the terms of the SEM Trading and Settlement Code (TSC) Part B, the Regulatory Authorities (RAs) shall determine certain parameters proposed by the Market Operator (MO) in relation to the calculation and treatment of participants Required Credit Cover and matters related to Imbalance Settlement.

In May 2020, the RAs requested the MO to review the following parameters utilised in

  1. The calculation of Required Credit Cover;
  2. Imbalance Settlement; and
  3. Price Materiality Threshold

On 21st August 2020, the RAs received reports (i.e. SEM-20-065a, SEM-20-065b and SEM-20-065c) from SEMO outlining their recommendations for the proposed values for the above parameters for 2021. The RAs subsequently published a consultation paper (SEM-20-065) on the 17th September 2020, which consulted on SEMO’s recommendations.

Having considered stakeholder comments, this paper presents the RA’s decision in relation to these parameters (i.e. Required Credit Cover, Imbalance Settlement & Price Materiality parameters)