1. Assignment of NTS Entry Capacity – Previous Work Undertaken
Assignment Workstream, 7th April 2009

2. Background
As highlighted in the previous presentation National Grid NTS has already undertaken some work in this area
National Grid NTS has previously requested that xoserve undertake a Rough Order Magnitude (ROM) on the concept of Assignment specific to NTS Entry Capacity
ROM request was made in October 2008
Update provided to RG221 on 10th December 2008

3. Assignment Rough Order of Magnitude (ROM)
The ROM requested by National Grid NTS was based on Assignment having the following characteristics:
User driven (NG or Shipper)
Applicable from a future date
On an enduring basis
To include both Full & Partial Assignment
Assigned NTS Entry Capacity to be Tradable
Assigned NTS Entry Capacity to be tracked within the Gemini system and feed through to all relevant processes i.e. Invoicing, neutrality etc
Fully auditable
National Grid NTS requested the ROM to help inform discussion with the industry as to the potential costs, timeframes and complexities associated with the concept
Please note that a ROM analysis is not based on formal systems analysis and should not be taken as a formal quote

4. ROM Results High level Estimated Costs:
Timescales guidance:
Minimum 9months
Maximum 15months
Taking the current Gemini programme of work into account it was unlikely that the change could have been included without reprioritisation of or overlapping of projects prior to Q (which assumed that industry governance was completed Q1 2009),
Any impact of timelines would need to be reassessed by xoserve but it is unlikely that if a functional change is required that it could be accommodated prior to Q3/Q4 2011
High level Estimated Costs:
Low Estimate - £300k
High Estimate - £700k
Please note that these are estimated timescales/costs. Detailed analysis may cause the actual cost to vary significantly

5. Concerns Raised by ROM
Complex change potentially impacting on a number of areas:
NTS Entry Capacity Invoice and File Format Supporting Data
Impact upon planned system developments
Impact upon Voluntary Discontinuance and Terminations
Manual Solution
A manual process is highly risky to the integrity of data and would require numerous controls to satisfy audit requirements

6. National Grid NTS Position
Understand Industry desire for this service
However discussions have indicated that the service may only be used by a few industry players and existing arrangements (Trading) whilst not ideal do work.
We are happy to work with the industry in the development of a Mod but recognising the system implications and resource requirements and based on our prioritisation, we believe that any mod raised should be done so by the Industry as a “User Pays” modification