11

User Pays User CommitteeUser Pays User Committee16th February 201016th February 2010

2

Agenda

Minutes & Actions from previous meeting

Agency Charging Statement Update

Change Management

Change Proposal Update

Modification Update

Operational Updates

AOB

3

Agency Charging StatementAgency Charging Statement

4

ACS Update

Joint Office website has been updated new location for current ACS http://gasgovernance.co.uk/liveacs

Any questions on process please contact; xoserve.userpays@xoserve.com

04/20/23

Agency Charging Statement Agency Charging Statement Revision for 1Revision for 1stst April 2010 April 2010

6

Objectives

Set ACS Prices for 1st April 2010 Summary of the ACS Annual Report

Costs for this year 2009/10 and next Demand forecasts 2009/10 forecast financial performance 2010/11 forecast financial performance ACS price changes for 1st April 10

Timeline

7

What have we done?

Updated forecasts Revised demand forecasts for 2010/11 based on actual service usage

& customer updates Reviewed cost forecasts in light of actual costs and forecast demand

for service provision for 2009/10 and next year including a forecast of efficiencies

8

Annual Report in Summary:Forecast Costs

Forecast cost of User Pays service provision 2009/2010 - £3.02 million 2010/2011 - £2.79 million

Costs have been able to be reduced by £230,000 due to increased efficiencies

This represents a 10% reduction in real terms

9

Annual Report in Summary:Updated Demand Forecast for User Pays Services

Review of demand forecast took into account Actual use to date Updated customer forecasts For ad-hoc services historical data was used to create a trend

Results IAD demand is 21,000 accounts Telephone services are broadly similar to the previous year Email reporting usage continues to decline USRV resolution is lower than originally anticipated

Demand forecast table updated with new demand volumes, published as Appendix 2 of the ACS and included in the Review Report

10

ACS Prices

Prices continue to be set in accordance with the charging methodology set out in the approved ACS

Prices are a direct relationship between the cost of providing the service and demand plus a margin (6% as agreed by Ofgem)

There are price changes in the 2010/11 ACS Overall the majority of customers will see their monthly User

Pays invoice fall (based on December 09 demand levels)

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ACS Prices – IAD and Telephone

IAD Proposed monthly charge £6.25 per account Reduction against the annual average charge this year of £7.93 The reduction has been achieved through a combination of increased

efficiencies, insourcing helpdesk activities and increased demand

Telephone Enquiries The proposal is to increase prices for all the telephone bands This is reflective of an increase in associated costs (both people and

system support), however these have been kept to a minimum For example; Band B (the most popular band) will increase to £2,520

or £2.52 per call

12

ACS Prices – Email Reporting and SARs

Email Reporting There has been a continuing decrease in demand for this service

which has resulted in the unit price increasing The new price for the report for less than 1,000 MPRNs is £218 The new price for the report for greater than 1,000 MPRNs is £321

Shipper Agreed Reads (SARs) Customer demand has shifted away from email and facsimile to the

electronic U01 file U01 file prices remain at 2009/10 level Email and facsimile new prices are £2 and £7 respectively

13

ACS Prices – Must Reads and USRV Resolution Service

Must Reads To be confirmed

USRV Resolution (MOD 192 service) The new price is £53 for a desk top resolution The new price is between £99 and £105 for a desk top and site visit

resolution (depending on Network) Costs have reduced to reflect fall in demand but a core level of staffing

is still required

14

ACS Prices – M Number DVD, Portfolio Reporting, User Admission and AQ Enquiry

The following services are seeing the first price increase in two years

Increases are due to inflationary pressures (both people and system costs) The new M Number DVD price will be £1,400 for 4 DVDs All Portfolio reports have a new price e.g. the Annual Asset Portfolio is

£1,500 pa, the Query Management Standards of Service is £252 for 12 reports

The new AQ Enquiries price is 2 pence The new User Admission price is £4,130

15

Updated Revenue Forecast 09/10 and 10/11

  2009/10     2010/11  

               

    £millions     £millions

Revenue 3.2    

Revenue2.98  

           

Cost  3.02    

Cost2.79  

           

Profit  0.18    

Profit0.19  

           

Return  6%    

Return6%  

           

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Timeline for the ACS Review

Draft revised ACS and Review Report published on 8th February, presented to customers at the 16th February UPUG meeting

Customers’ formal comments requested by 22nd February to xoserve.userpays@xoserve.com

Review Report, revised ACS and customer responses to Ofgem on 1st March

New prices effective from 1st April , assuming Ofgem do not veto proposal

17

Change Management Change Management

17

18

Update on Change Process

UPCO002 - IAD Last Access Report Business Evaluation Report (BER)

Next Steps Updated Timeline

19

Modification Update Modification Update

19

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Modifications identified as potential User Pays

0209 – Rolling AQ

0231 – Changes to the Reasonable Endeavours Scheme to better incentivise the detection of Theft

0246B – Quarterly NTS Entry Capacity User Commitment

0248 – Meter Reading Replacement

0253 – Facilitating a Supply Point Enquiry Service for Large Supply Points

0255 – Publication of Objection Rates for LSP Supply Points

0263 – Enabling the Assignment of a Partial Quantity of Registered NTS Exit (Flat) Capacity

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Modifications identified as potential User Pays

0270 – Aggregated monthly Reconciliation for Smart Meters

0271 – Amendment to the SSP – provisional LSP- SSP Amendment Rules

0272 – Review of Mod 640 Validation Arrangements for when a Change of Shipper has occurred

0274 – Creation of a National Revenue Protection Service

0276 – Alternative User Pays approach to – UNC Modification Proposal 0263 - Enabling the Assignment of a Partial Quantity of Registered NTS Exit (Flat) Capacity

0277 – Creation of Incentives for the Detection of Theft of Gas (Supplier Energy Theft Scheme)

0279 – Improving the availability of meter read history and asset information

0282 – Introduction of a process to manage Long Term Vacant Sites

2222

Operational UpdateOperational Update

2323

Telephone Service Line

No of callsService

Availability(target 95% availability)

Call answering

(target 90% within 30 seconds)

January 22,852 100% 92%

December 18,380 96.65% 90%

November 26,157 100% 92%

2424

IAD Service Line

Number of AccountsAvailability

(Target 97% availability during core hours)

January 21,000 100%

December 21,000 100%

November 20,500 99.58%

2525

Email Report Service Line

No. of email reportsPerformance

(2 and 5 business days)

January 62 100%

December 73 100%

November 96 100%

2626

Portfolio Reports

Reports sent in the month Performance standard

January 110

December 110

November 110

2727

AQ Enquiries

Number of AQ Enquiries processed

Performance(Target process by end of second

Business Day)

January 5,808 100%

December 3,867 100%

November 18,288 100%

2828

IAD Account Transaction Volumes

Accounts Created (normal process)

Bulk Password Resets

Number Within 10 daysNumber

RequestedCompleted within

Month

January’10 462 100% 0 0

December’09 1043 100% 0 0

November’09 537 100% 0 0

October’09 678 100% 0 0

September’09 729 100% 282 282

August’09 703 100% 115 115

July’09 669 100% 84 84

June’09 727 100% 78 78

May’09 621 100% 192 192

April’09 730 100% 0 0

March’09 1009 99.8% 258 258

February’09 1200 82% 134 187

2929

IAD Account – Deletion volumes

Accounts Deleted

(normal process)

Number Within 10 days Comments

January 247 100%

December 234 100%

November 93 100%

3030

AOB AOB

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IAD Password reset process

Existing online functionality allows password retrieval/reset

With effect from 1st April 2010 change to ‘support’ process

LSO/DLSO able to direct requests via e-mail to xoserve (xoserve.datacentreservices@xoserve.com)

xoserve will provide reset details to LSO/DLSO via e-mail

Subject to acceptance we will communicate with; Contract Managers Authorised Signatories Local Security Officers (LSO’s)