ELEXON
is at the heart of the UK’s electricity supply and distribution
industry. They administer the Balancing and Settlement Code, which
governs the wholesale electricity balancing and settlement arrangements
for the UK. This touches some 27 million customers and every company in
the electricity energy market.
Like most commodities,
electricity is produced, sold into a wholesale market and then resold
to consumers. Contracts are made for each half hour between generators
who produce the electricity and suppliers who sell it on to commercial
and domestic consumers.
What ELEXON needed:
In
1999, Logica won a contract to design, build and operate the central
services supporting the New Electricity Trading Arrangements (NETA) in
England and Wales. As part of the deal we funded the £50 million needed
to set up the new systems, on the understanding that we would get the
money back during the life of the contract. The systems went live in
2001 and were so sucessful that these were extended to cover the whole
of Britain four years later.
In 2007, ELEXON sent out a
competitive tender for hosting and operations. While our work with them
had proven our technical know-how, we explained to ELEXON that we were
keen to get closer to them and to work with them more as part of the
team than as a supplier.
In 2008, we were awarded a
five-year contract worth £39 million for the business process
outsourcing, hosting and communications aspects of the British
Electricity Balancing and Settlement Systems. Business processing areas
include financial funds administration of £1billion per year, and
reading over 2,000 meters that measure specific energy flows. Logica
ran a transformation programme to create the IT infrastructure that
would help ELEXON cater to changing customer needs in the future.
Twelve months later, the new programme went live, with services moved
on time and within budget.
Why work with Logica?
We’ve
a lot of experience in setting up and managing business processes for
some of the largest and most complex businesses in the world. But what
really makes a difference is our desire to work with you, every day; to
really understand your needs and come up with great ideas to help you
meet your objectives. In that way we can be brilliant, together.
