COLLATERAL
All collateral requirements are within clause C3 of the Access Rules, which is located on our Regulatory page.
What types of collateral are accepted?
We accept the following form of collateral:
What currency can the collateral be in?
All collaterals must be in Euros.
How much collateral is needed?
The amount of collaterals posted with BritNed will always need to cover submitted and successful bids for Transmission Rights across all product periods that a customer participates in.
For Annual, Seasonal, Quarter and Monthly products, the amount of collateral needs to cover 1 month of the product period.
For all other products, the amount of collateral needs to cover the whole product period.
Is there a collateral example?
To help with the calculation of collaterals, we have developed the example below. If you have any questions please get in touch.
Can I amend the Letter of Credit template?
The Letter of Credit cannot be amended, this is standard set of arrangements used for all customers that use a Letter of Credit.
Where should I send scanned copies or electronic Letters of Credit?
Please send scanned copies or electronic Letters of Credit to BOTH of the following addresses:
Where should I send a physical copy of the Letter of Credit?
All Letter of Credit physical documentation must be sent to:
BritNed Development Limited
Attn Jennifer Porter
National Grid House
Risk & Securities
Warwick Technology Park
Gallows Hill
Warwick
CV34 6DA
UK
How can I withdraw collateral from our credit?
If you wish to reduce your collateral, you need to send a letter that includes the following:
To process your request, the letter must include the above elements and be accompanied by:
1) A copy of the extract of the Chamber of Commerce
and must be signed by:
1) an individual listed in the extract of the Chamber of Commerce (i.e. Companies House); please include a copy of the extract of the Chamber of Commerce; or
2) a person who has been authorised by an individual listed in the extract of the Chamber of Commerce (i.e. Companies House); please include a copy of the extract of the Chamber of Commerce and a
document signed by the individual in the Chamber of Commerce extract confirming the persons authorisation; or
3) a person who signed the Participant’s Agreement.
Once the form which is signed by an authorized signatory, includes above requirements and additional assessment will show the Credit Limit after applying the requested decrease of the Collateral would be greater than or equal to zero. BritNed will adhering to the Access Rules, section C3.5.6 pay out within 10 Business days..
Is there a sample letter to withdraw credit?
You can download a sample letter to withdraw credit below.
When can I increase our credit?
You can increase your credit from Monday till Friday between 9.00hrs CE(S)T and 16.00 CE(S)T
Invoicing
Billing Documents Overview
The Netting Statement summarises the net position of all three documents and clarifies whether the customer owes BritNed or BritNed owes the Customer.
| Netting Statement | Standard Invoice | To include billing for all Capacity Auctions settlements for the billing period. |
| Self-Billed Invoice | A Self-Billed invoice is one where the customer (in this case BritNed) prepares the invoice for the supplier (in this case the customer). The Self-Billed Invoice will be created for all customers where Returns or UIOSI have been transacted in the invoice period. | |
| Credit Invoice | To include any credit due to customers as a result of curtailment. |
Invoicing Overview
The table below summarises when each product type will be invoiced as detailed in the BritNed Access Rules C2.3
| Product Type | Auction Date | Invoice Month |
| Annual / Quarterly / Monthly | Before first (1st) calendar day in the month preceding the start of the Product Period | Month preceding start of Product Period |
| Annual / Quarterly / Monthly | After first (1st) calendar day in the month preceding the start of the Product Period | Month when Product Period starts |
| Weekly / Weekend / Long Weekend / Multi-day | Does not influence invoicing month | Month after start of Product Period |
| Day Ahead | Does not influence invoicing month | Month after start of Product Period |
| Intraday | Does not influence invoicing month | Month after start of Product Period |
| Buy Now | Does not influence invoicing month | Month after start of Product Period |
What are the invoicing terms?
BritNed provides Netting Statements to support the offsetting of billing documents generated within the same month.
BritNed will send an invoice within first 10 business days of the month for the capacity you were allocated in the previous month. The standard payment terms for Amount due to BritNed is 10 calendar days. The standard payment terms for Amount due to Customers is 14 calendar days.
Can I set up a Direct Debit to settle my Empire invoices each month?
This is not possible, all Empire invoices will need to be settled via bank transfer in line with the invoicing terms mentioned on the Netting Statement
Can collateral be used to settle my invoices?
This is not possible, all Invoices will need to be settled via bank transfer in line with the invoicing terms stated on the Nettings Statement.
Further details
Further details on payments and invoices is available in sections C2.2 and C2.3 in the BritNed Access Rules, which is located on the Regulation page.
You can also contact our team at: box.britned.ar@britned.com
VAT
What are BritNed’s VAT numbers?
Which direction determines which BritNed entity invoices the customers?
VAT Treatment
Based on where a BritNed customer is registered, the below VAT rules are applied.
| Customer Registration | NL VAT Rate (%) NL to GB | NL VAT Rate (%) GB to NL |
| NL or UK | NL sales VAT 21% | GB sales VAT 20% |
| EU | NL sales services within EU | GB sales services within EU |
| Non EU | NL sales services outside EU | GB sales services within EU |
Customs
Do I need to make monthly customs declarations on the NL side?
BritNed does not submit on behalf of it’s customers.
In the Netherlands, BritNed will make monthly declarations for import and export. This will be an aggregated figure and based at the NL reference point rather than the Mid North Sea reference point.
These arrangements are based on Article 321 of Commission Implementing Regulation 2015/2447, section 7.1.3 of the Handboek Douane (Customs Manual) and an agreement BritNed has with the Dutch Customs Authority.
Do I need to make monthly customs declarations on the GB side?
BritNed does not submit on behalf of it’s customers.
In the UK, BritNed will make monthly declarations for import and export. This will be an aggregated figure and based at the GB reference point rather than the Mid North Sea reference point.
Where can I get additional information on customs in NL?
The following links are from the Tax and Customs Administration in the Netherlands. The websites are in Dutch but can be easily converted to English using Google Chrome, simply right click on the page and select “Translate to English”.
Where can I get additional information on customs in UK?
Annex F – Energy, page 252 covers this point with BritNed as the Fixed Transport Installation (FTI) to make these declarations
