AUG Query Responses 19th December 2013

Overview AUGE Guidelines require AUGE to report outcome of Query Process to UNCC UNCC to consider AUGE recommendations UNCC to endorse AUGE’s recommended course of action or vote unanimously to reject (see section 8 of the AUGE Guidelines for details) Presentation covers 4 queries raised by British Gas on 18 th November Queries that require changes to the AUGS cannot be implemented for this AUG year as discussed at previous UNCC

British Gas - Query 6 Concerns iGT CSEP snapshots British Gas queried why data was not being used from a particular year Clarified that data was being used correctly although the use of grey to distinguish between different sets had been interpreted as not being used Going forward will use a different colour to distinguish snapshots Nearest classification is under 8.5 “Material change that can be implemented for final gas volumes and rates” – it does not require a change to the AUGS

British Gas - Query 7 Concerns the handling of Permanent and Temporary UG British Gas believe that temporary UG is already accounted for by backbilling in the historical data This is not the case, meter reads/consumptions do not have this backbilling applied and we do not use RbD data in the methodology Examined different components of UG to confirm e.g. unregistered sites, Xoserve do not get historic meter reads during period of non- registration, theft is dealt with separately etc. Not really a new issue, has been through multiple consultations since Autumn 2011 Query classed under 8.4(b) as “Requiring no action”

British Gas - Query 8 Concerns the inclusion of very large AQ’s in unregistered site calculations and skewing of temporary UG estimates Previously limited data/evidence to show that ALL large AQ’s were revised down Obtained further data from Xoserve and reviewed UNC treatment of large sites Two elements to this issue A) Large AQ’s that would require treatment under VLDMCs if they were real (UG becomes temporary) B) Large AQ’s that need to be scaled differently to the current method of scaling since these can skew the adjustment for the wider population Part A classed under 8.5 as “Material change that can be implemented for final gas volumes” – but does not require change to AUGS Part B classed under 8.5 as “Material change that can be implemented for final gas volumes” – this does require a change to AUGS

British Gas - Query 9 Concerns partially consuming iGT CSEPS and that an adjustment should be applied as per the wider population Similar issue to AQ>1 not consuming and AQ=1 consuming CSEP EUC band issues (based on max AQ – skews population incorrectly) Do not have information on part year consumption or WAALPS to correctly adjust Magnitude of issue ~55-91GWh Issue with vacant sites earlier in the year had similar impact and not deemed to be significant during UNCC discussions. Query classified under 8.4(b) as “Requiring no action”.

Thank you for your attention