CMP304: Improving the Enhanced Reactive Power Service by making it fit for purpose
What is being proposed
Seeks to enable reforms +D16+C14
Current status
The Panel met on 31 August 2018 and agreed that it goes to a Workgroup. Workgroup meetings commenced on 9 October 2018.This was de-prioritised by Panel whilst the Modifications to address Ofgem's Targeted Charging Review decision were being progressed. Workgroups recommenced on 8 November 2021 and at January 2022 Panel, Panel agreed that the Workgroup Report will be presented to April 2022 Panel as more time required to issue the Workgroup Consultation and resolve actions. Workgroup Consultation opened on 17 February 2022 and closed 5pm on 10 March 2022 with 3 non-confidential responses received. Workgroups delayed thereafter so Proposer could first understand the proposed future steps for a Reactive Power Market before finalising their solution. Prioritisation was discussed at October 2022 Panel and priority was not changed, as there remains a need for reactive services. However, the Panel (and Proposer) agreed that work on CMP304 is paused until such time that the ESO team, who are leading on the Reactive Reform (Market Design), have completed their Feasibility studies, which in turn will help to inform the Proposer's solution. Prioritisation was discussed at July 2023 CUSC Panel and priority was not changed, however the Proposer and ESO Panel Rep will review the output of Phase 1 of the ESO's feasibility studies ahead of reconvening the Workgroup October 2024 CUSC Panel prioritised as Low, therefore no work will take place on this modification until further notice. The Panel will be reviewing the status of this modification in the January 2025 Panel. (07/02/2025) Upon receipt of the Authority Open Letter on 31 January Outlining their approach to prioritisation of electricity transmission network charging modifications, Panel will review the modification status in the February Panel. (18/02/2025) On 14 February 2025 at the Special CUSC Panel the Panel discussed, at length and in detail, the prioritisation of CUSC Modifications. The CUSC Panel agreed this modification remained low proirity and therefore . (05.02.2026) The CUSC Panel carried out a deep dive of the CUSC Modifications and agreed that CMP304 should be moved from low to medium priority. Their rationale for this was: CMP304 was paused during the NESO reactive power review. The review is now complete, and NESO raised CMP457: Revision of the Obligatory Reactive Power Service (ORPS) as a result.
Details
Timeline
Analysis
CMP304 seeks to reform the Enhanced Reactive Power Service but has been repeatedly paused since 2018. The modification was de-prioritised while NESO conducted reactive power market feasibility studies, then moved from low to medium priority in February 2026 following completion of those studies and the raising of related modification CMP457.
Why it matters
This reflects the systemic dysfunction in CUSC governance — a modification languishing for eight years while the system operator conducts studies that could have informed the original proposal. The elevation to medium priority suggests reactive power service reform may finally proceed, though the parallel CMP457 modification indicates overlapping approaches to the same problem.
Key facts
- •Modification raised in August 2018
- •Paused multiple times over 8 years
- •Moved from low to medium priority February 2026
- •Related to CMP457 raised by NESO post-review