P376

Instead of using that potentially inaccurate FPN, Elexon now uses a Baselining Methodology . This looks at a site’s historical behavior to calculate what its energy flow would have been without the intervention, ensuring more accurate compensation. Key Features of P376

If the FPN was inaccurate, these providers could face financial penalties for "non-delivery," even if they successfully delivered the requested energy service. The Solution: Decoupling Dispatch and Settlement Instead of using that potentially inaccurate FPN, Elexon

P376 ‘Utilising a Baselining Methodology to set Physical ... - Elexon this is straightforward. However

, formally titled "Utilising a Baselining Methodology to set Physical Notifications," is a modification to the UK's Balancing and Settlement Code (BSC) . Approved by Ofgem and managed by Elexon , it aims to level the playing field for smaller, flexible energy providers—such as demand-side response aggregators—participating in the Balancing Market. The Problem: The "Physical Notification" Barrier Instead of using that potentially inaccurate FPN, Elexon

Before P376, energy providers were required to submit a , which is a forecast of exactly how much energy they intended to generate or consume. For large power stations, this is straightforward. However, for "Virtual Lead Parties" (VLPs) managing many small household or business assets, predicting a precise baseline is extremely difficult.