P272 is one of the most pronounced changes in the business electricity market. P272 legislation offers a more distinct step towards an energy-efficient and smarter economy.
This article aims at helping you understand its benefits and how you can make the change.
What is P272?
The p272 mandatory regulation is about combining the non-half hourly meters (NHH) supplies with the preexisting half hourly meters (HH) ones. It has an impact on how the electricity suppliers decide the electricity consumption for businesses.
So the sites get migrated from NHH to HH. This will, in turn, ensure efficiency, a more accurate bill, and a smarter energy market.
What does this mean for your business?
You will need your supply number to find out whether your business is affected. Your supply number can be found on your electricity bills.
The first top two numbers in your supply number are known as profile class. If your profile class is 05-08, then you will be affected by the legislation.
Profile class 05 to 08 is known as maximum demand meters. Then you will have to go through a change of measurement class to half-hourly settlement.
So what is this settlement? Settlement is the process that decides the amount of electricity consumed. This measures imbalances, if any, between the supply and demand for some time.
So if your current meter system is HH with 100kW or above, then your actual energy consumption data from every half-hour period will be used through remote communication with your meter.
On the other hand, if your meter system is NHH with below 100kw, it is settled by using a load profile that makes equivalences with your energy consumption for a given period to your usual energy consumption pattern.
So your meter will regularly and automatically send consumption data every half-hourly period to your supplier to ensure an efficient and better settlement.
What are the benefits of this?
Your half-hourly data indicates your actual energy consumption and thus allows better insights into your energy consumption.
This data will help you monitor your energy consumption, and then you will be able to understand the costs better and buy energy much more efficiently. There are various benefits it can have for your business, including:
- Ensures you get a more accurate bill and better tariff rates
- Allows smooth running of the business
- It grants you the ability to see at what time in the day you consume the most electricity and helps to prevent electricity usage during peak hours.
- It gives helpful insights into your energy consumption
- Allows you to improve and efficiently use energy
Meter and charging structure of the new regulations
Most people in profile classes 05-08 will not have to change meters because the current meters can take half hourly readings.
While if you have an automated meter read, it can be configured to take half-hourly readings easily. Moreover, changing from NHH to HH meter will require additional charges, and the bills will get more complex than before.
The additional charges on top of the unit rates will be for data collection, data aggregation, available capacity, trios and duos, and meter operator agreement. So there will be a significant increase in the costs.
P272 mandatory regulation affects all electricity suppliers and maximum demand meters. If you are still confused regarding P272 legislation, it is best to speak with energy experts to help you understand and answer your queries.