Section T contains the rules for undertaking Settlement and determining BSC Parties' Trading Charges, including the detailed algebraic calculations. It sets out the data involved and the process followed by the Settlement Administration Agent (SAA) in determining volumes and cashflows. It also sets outs the rules regarding the Market Index Definition Statement; Market Index Data; Loss of Load Probability Calculation Statement; De Minimis Acceptance Threshold; Continuous Acceptance Duration Limit; Price Average Reference Volume; Value of Lost Load; Transmission Loss Factors and Transmission Loss Multipliers.

42.0

<div data-id="introduction" style="text-align:left">Introduction</div>

<div data-id="general" style="text-align:left">General</div>

<div data-id="obligation-and-entitlement-of-parties" style="text-align:left">Obligation and Entitlement of Parties</div>

<div data-id="data-requirements" style="text-align:left">Data Requirements</div>

<div data-id="data-receipt-and-validation" style="text-align:left">Data Receipt and Validation</div>

<div data-id="market-index-definition-statement" style="text-align:left"><u class='defined-term'>Market Index Definition Statement</u></div>

<div data-id="provision-of-market-index-data" style="text-align:left">Provision of <u class='defined-term'>Market Index Data</u></div>

<div data-id="loss-of-load-probability-calculation-statement" style="text-align:left"><u class='defined-term'>Loss of Load Probability Calculation Statement</u></div>

<div data-id="single-contingency-imbalance-price-following-secretary-of-state-direction" style="text-align:left">Single (contingency) Imbalance Price (following <u class='defined-term'>Secretary of State</u> direction)</div>

<div data-id="allocation-of-transmission-losses" style="text-align:left">Allocation of Transmission Losses</div>

<div data-id="delivering-and-offtaking-trading-units" style="text-align:left">Delivering and Offtaking <u class='defined-term'>Trading Unit</u>s</div>

<div data-id="transmission-loss-factors" style="text-align:left"><u class='defined-term'>Transmission Loss Factor</u>s</div>

<div data-id="determination-of-transmission-loss-multipliers" style="text-align:left">Determination of <u class='defined-term'>Transmission Loss Multiplier</u>s</div>

<div data-id="settlement-of-balancing-mechanism-actions" style="text-align:left">Settlement of Balancing Mechanism Actions</div>

<div data-id="conversion-of-data-received-from-the-transmission-company" style="text-align:left">Conversion of Data Received from the <u class='defined-term'>Transmission Company</u></div>

<div data-id="continuous-acceptance-duration" style="text-align:left"><u class='defined-term'>Continuous Acceptance Duration</u></div>

<div data-id="continuous-acceptance-duration-limit" style="text-align:left"><u class='defined-term'>Continuous Acceptance Duration Limit</u></div>

<div data-id="price-average-reference" style="text-align:left">Price Average Reference</div>

<div data-id="replacement-price-average-reference" style="text-align:left"><u class='defined-term'>Replacement Price</u> Average Reference</div>

<div data-id="value-of-lost-load" style="text-align:left"><u class='defined-term'>Value of Lost Load</u></div>

<div data-id="establishment-of-final-physical-notification-fpn" style="text-align:left">Establishment of Final <u class='defined-term'>Physical Notification</u> (FPN)</div>

<div data-id="establishment-of-bid-offer-volume" style="text-align:left">Establishment of <u class='defined-term'>Bid-Offer Volume</u></div>

<div data-id="establishment-of-acceptance-volume" style="text-align:left">Establishment of <u class='defined-term'>Acceptance Volume</u></div>

<div data-id="establishment-of-bid-offer-upper-range-and-bid-offer-lower-range-in-relation-to-fpn-and-submitted-bid-offer-pairs" style="text-align:left">Establishment of <u class='defined-term'>Bid-Offer Upper Range</u> and <u class='defined-term'>Bid-Offer Lower Range</u> in relation to FPN and <u class='defined-term'>Submitted Bid-Offer Pair</u>s</div>

<div data-id="determination-of-accepted-bid-offer-volume" style="text-align:left">Determination of <u class='defined-term'>Accepted Bid-Offer Volume</u></div>

<div data-id="accepted-offer-volumes-and-accepted-bid-volumes" style="text-align:left"><u class='defined-term'>Accepted Offer Volume</u>s and <u class='defined-term'>Accepted Bid Volume</u>s</div>

<div data-id="determination-of-period-accepted-offer-volume-and-period-accepted-bid-volume" style="text-align:left">Determination of <u class='defined-term'>Period Accepted Offer Volume</u> and <u class='defined-term'>Period Accepted Bid Volume</u></div>

<div data-id="determination-of-period-priced-accepted-offer-volume-and-period-priced-accepted-bid-volume" style="text-align:left">Determination of Period Priced <u class='defined-term'>Accepted Offer Volume</u> and Period Priced <u class='defined-term'>Accepted Bid Volume</u></div>

<div data-id="determination-of-period-bm-unit-total-accepted-offer-volume-and-period-bm-unit-total-accepted-bid-volume" style="text-align:left">Determination of <u class='defined-term'>Period BM Unit Total Accepted Offer Volume</u> and <u class='defined-term'>Period BM Unit Total Accepted Bid Volume</u></div>

<div data-id="determination-of-period-bm-unit-total-priced-accepted-offer-volume-and-period-bm-unit-total-priced-accepted-bid-volume" style="text-align:left">Determination of Period <u class='defined-term'>BM Unit</u> Total Priced <u class='defined-term'>Accepted Offer Volume</u> and Period <u class='defined-term'>BM Unit</u> Total Priced <u class='defined-term'>Accepted Bid Volume</u></div>

<div data-id="determination-of-period-bm-unit-offer-cashflow-and-period-bm-unit-bid-cashflow" style="text-align:left">Determination of <u class='defined-term'>Period BM Unit Offer Cashflow</u> and <u class='defined-term'>Period BM Unit Bid Cashflow</u></div>

<div data-id="determination-of-period-bm-unit-cashflow" style="text-align:left">Determination of <u class='defined-term'>Period BM Unit Cashflow</u></div>

<div data-id="determination-of-total-system-bm-cashflow-and-daily-party-bm-unit-cashflow" style="text-align:left">Determination of <u class='defined-term'>Total System</u> BM Cashflow and <u class='defined-term'>Daily Party BM Unit Cashflow</u></div>

<div data-id="determination-of-network-gas-supply-total-bid-payment" style="text-align:left">Determination of <u class='defined-term'>Network Gas Supply Total Bid Payment</u></div>

<div data-id="determination-of-reserve-scarcity-price" style="text-align:left">Determination of <u class='defined-term'>Reserve Scarcity Price</u></div>

<div data-id="determination-of-stor-action-price" style="text-align:left">Determination of <u class='defined-term'>STOR Action Price</u></div>

<div data-id="determination-of-system-and-balancing-demand-control-volumes" style="text-align:left">Determination of <u class='defined-term'>System</u> and <u class='defined-term'>Balancing Demand Control Volume</u>s</div>

<div data-id="determination-of-supplemental-balancing-reserve-sbr-actions-and-the-sbr-action-price" style="text-align:left">Determination of Supplemental Balancing Reserve (SBR) Actions and the SBR Action Price</div>

<div data-id="settlement-calculations" style="text-align:left">Settlement Calculations</div>

<div data-id="treatment-of-interconnector-bm-units" style="text-align:left">Treatment of <u class='defined-term'>Interconnector BM Unit</u>s</div>

<div data-id="determination-of-bm-unit-metered-volume-for-supplier-bm-units" style="text-align:left">Determination of <u class='defined-term'>BM Unit Metered Volume</u> for <u class='defined-term'>Supplier BM Unit</u>s</div>

<div data-id="determination-of-information-imbalance-volumes-and-charges" style="text-align:left">Determination of Information Imbalance Volumes and Charges</div>

<div data-id="determination-of-energy-imbalance-prices" style="text-align:left">Determination of Energy Imbalance Prices</div>

<div data-id="determination-of-credited-energy-volumes-for-each-energy-account" style="text-align:left">Determination of <u class='defined-term'>Credited Energy Volume</u>s for each <u class='defined-term'>Energy Account</u></div>

<div data-id="determination-of-energy-imbalance-for-each-energy-account" style="text-align:left">Determination of Energy Imbalance for each <u class='defined-term'>Energy Account</u></div>

<div data-id="determination-of-energy-imbalance-cashflows" style="text-align:left">Determination of Energy Imbalance Cashflows</div>

<div data-id="non-delivery-rule-and-calculations" style="text-align:left">Non-Delivery Rule and Calculations</div>

<div data-id="determination-of-system-operator-bm-cashflow" style="text-align:left">Determination of <u class='defined-term'>System</u> Operator BM Cashflow</div>

<div data-id="determination-of-residual-cashflow-allocations" style="text-align:left">Determination of Residual Cashflow Allocations</div>

<div data-id="settlement" style="text-align:left">Settlement</div>

<div data-id="responsibility-of-saa" style="text-align:left">Responsibility of SAA</div>

<div data-id="requirement-to-carry-out-settlement-runs" style="text-align:left">Requirement to carry out <u class='defined-term'>Settlement Run</u>s</div>

<div data-id="submission-of-settlement-data" style="text-align:left">Submission of Settlement Data</div>

<div data-id="failure-of-saas-systems-etc" style="text-align:left">Failure of SAA's systems etc.</div>

<div data-id="additional-calculations" style="text-align:left">Additional Calculations</div>

<div data-id="calculation-of-bm-unit-chargeable-demand-of-the-emr-settlement-services-provider" style="text-align:left">Calculation of <u class='defined-term'>BM Unit Chargeable Demand</u> of the <u class='defined-term'>EMR Settlement Services Provider</u></div>

<div data-id="what-do-we-use-to-calculate-the-main-energy-imbalance-price" style="text-align:left">What do we use to calculate the main Energy Imbalance Price?</div>

<div data-id="which-balancing-actions-to-use" style="text-align:left">Which balancing actions to use?</div>

<div data-id="replacement-reserve-schedule-methodology-document" style="text-align:left"><u class='defined-term'>Replacement Reserve Schedule Methodology Document</u></div>

<div data-id="annex-t-1" style="text-align:left">Annex T-1: Calculations</div>

<div data-id="need-more-information" style="text-align:left">Need more information?</div>

CONTENTS

Section T: Settlement and Trading Charges V42.0