NESOOFGEMDESNZ
Connection and Use of System Code
CMP445Workgroup

CMP445: CMP445 Pro-rating first year TNUoS for Generators

NESO (CUSC)·regulation·high·8 Nov 2024·source document

What is being proposed

This modification asks the CUSC should be amended to ensure that Generators only pay TNUoS on a pro-rated basis from their Charging Date, during the first year of connection.

Current status

Proposal raised and was presented to the November 2024 CUSC Panel. Panel agreed that the modification met the Authority Urgency criteria (a) and recommended urgent treatment. Panel's recommendation was sent to the Authority on 29 November 2024 seeking an Authority decision by 5pm on 05 December 2024. The Authority didnt approved urgent treatment for CMP445 on the 06 December 2024. Non-urgent timeline was approved by the January CUSC Panel. The Panel reviewed the priority, agreed Terms of Reference and agreed the timeline for CMP445 in the January 2025 Panel. Upon receipt of the Authority Open Letter on 31 January: Outlining their approach to prioritisation of electricity transmission network charging modifications, Panel reviewed the modification status in the February Panel. On 28 March 2025, CUSC Panel the Panel discussed, at length and in detail, the prioritisation of CUSC Modifications. The CUSC Panel agreed this modification be placed as high on the prioritsation stack. Workgroup meetings in progress. Workgroup consultation was issued on 25 July and will end on 22 August. (06/11/2025) Workgroup meetings in progress

Details

Proposed byOcean Winds
Decision byOfgem (urgent procedure)
GovernanceStandard Governance (Workgroup)- Urgent
Impact onHigh Impact: Generators, Transmission System Operators, Transmission Owners

Timeline

Proposal raised8 Nov 2024
Panel vote24 Apr 2026

Analysis

CMP445 proposes to pro-rate first-year TNUoS charges for generators from their charging date rather than charging the full annual amount upfront. The modification was denied urgent treatment by the Authority in December 2024 and is proceeding through standard governance, with workgroup consultation closing 22 August 2025. The CUSC Panel placed this high on their prioritisation stack in March 2025.

Why it matters

This shifts cash flow timing from generators to transmission companies — generators pay less initially but transmission companies must wait longer to recover full costs. The reform addresses a barrier to entry by reducing upfront capital requirements for new generators, though it transfers working capital costs to transmission owners who will ultimately recover them through wider charges.

Key facts

  • Pro-rates TNUoS charges from charging date in first year only
  • Denied urgent treatment December 2024
  • Workgroup consultation closes 22 August 2025
  • High priority on CUSC Panel stack as of March 2025

Areas affected

generatorstransmissionnetwork charges

Related programmes

TNUoSConnections Reform