In this legal update we have summarised and commented on a
number of recent legal developments and open issues that will be of
interest to generators of renewable energy, their funders and
offtakers in the SEM. This legal update is neither a complete nor a
definitive statement of law or of regulation. Specific legal advice
should be obtained before taking any action.
BALANCING RISK IN I-SEM AND THE NEED FOR CLARITY ON REFIT
An important feature of the I-SEM will be the ability of market
participants to trade in different time frames: ahead of, during
and after the Trading Day. There are significant advantages in ex
ante price disclosure in any market and having a highly liquid,
actively traded day-ahead market will be an important indicator of
the success of the I-SEM. However, trading in a day-ahead market
creates particular challenges for generators who have a more
limited ability to predict their output for the following day.
