Find out how and why TNUoS Charges may rise due to CMP316 changes.
At Blake Clough Consulting, our grid connections arm frequently conduct Due Diligence to ensure project risks are flagged early, preventing costly issues down the line, and curtailment assessments, which directly influence the value and feasibility of a project. However, while these are two of the most essential services on the grid side, they are not the only factors that can have a significant impact on project success.
In addition to these standard services, we offer bespoke analyses tailored to the unique needs of each client. One such service is an assessment of TNUoS charges for your site, designed to help clients understand and forecast their TNUoS charges over the next decade.
What Are TNUoS Charges and Why Do They Matter?
TNUoS (Transmission Network Use of System) charges are a crucial component for developers and site operators, as they can dramatically impact the financial viability of a project. These charges, applied to transmission-connected generators and BEGA connections above 100MW, can range from costing projects millions annually to providing similar levels of payment in regions with low demand. Generally, projects located far from demand centres, such as in Northern Scotland, incur higher TNUoS charges due to the strain they place on the transmission network.
How CMP316 Changes Could Impact Co-Located Sites
A key development that may affect TNUoS charges is CMP316, a CUSC modification proposal that could significantly change how co-located sites, such as those with solar and BESS, are charged. Currently, co-located sites often “hide” their solar generation behind BESS in high TNUoS zones, as BESS has a lower charge due to its year-round demand profile. However, CMP316 proposes to stop this practice. Under the new rules, both solar/wind and BESS will be charged separately, although on a pro-rated basis.
While the exact impact will depend on the final form of CMP316, many sites could see substantial increases in annual TNUoS costs – potentially millions of pounds. The proposal is likely to be accepted, with an implementation date of April 1, 2025.
How Our TNUoS Assessment Can Help
To help clients stay ahead of these changes, we offer a TNUoS assessment and report to explain these charges and forecast them over the coming years. This allows clients to see how their payments could vary across different annual load factors over the forecast period, giving developers a clear picture of potential financial impacts and helping make informed decisions about project feasibility.
