A proposal for transmission access regime under NETA

The paper considers a proposal for transmission access regime under New Electricity Trading Arrangements (NETA) in England and Wales. The financial rights for contracts are allocated by a series of voluntary auctions. Any access imbalances are charged the marginal price emerging from the constraint relief actions undertaken in the balancing mechanism. The scheme is simple, easy-to-understand and relatively cheap to implement. It does not require any changes in operational procedures, the only difference would be in the access settlement system which would rely on information and prices emerging from the BM. The congestion prices would provide optimal short and long term signals.