Substantial advancements in market integration

07.12.2018

Even two positive news for the integration of the European power market have turned up this week. The first comes from the Cross-Border Intraday (XBID) solution. The aim of XBID is to increase the overall efficiency of cross-border trading and intraday coupling. Both are essential for the future European internal energy market. The parties involved in XBID are pleased to confirm that XBID is operating continuously stable and effectively: Since the go-live in June 2018, more than 6.3m trades have been successfully processed.

So far, XBID delivers continuous trading across Austria, Belgium, Denmark, Estonia, Finland, France, Germany, Latvia, Lithuania, Norway, the Netherlands, Portugal, Spain and Sweden. The preparations for the second XBID-go-live-wave in 2019 are in full swing and the countries to participate are Bulgaria, Croatia, Czechia, Hungary, Poland, Romania and Slovenia. Further changes to XBID concern the gate opening hours (GOTs) in accordance with a decision of the Agency for the Cooperation of Energy Regulators (ACER) of April 2018. Revised GOTs apply from 1 January 2019 initially in those capacity calculation regions (CCRs) where the capacity calculation methodology (CCM) has already been approved.

This week also saw the launch of the Single Allocation Platform for long-term capacity allocation at European borders. 28 transmission system operators (TSOs) from 22 European countries have thus taken another significant step towards an integrated power market. The new platform promotes the development of liquid and competitive forward markets all across Europe in a coordinated manner. It provides market participants with the opportunity to hedge against the risks of cross-border trading. The participating TSOs ensure non-discriminatory access for all market participants to long-term cross-zonal capacity at all relevant borders.

With XBID and the Single Allocation Platform, the European power market integration progresses substantially

Linkup
> See Amprion press release (html)
> See TenneT press release, (html)
> See TransnetBW press release (html)
> See TransnetBW news release on allocation platform (html)

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ACER consultation on Core Capacity Calculation methodology

04.12.2018

Complex issues require precise phrasing. Therefore the new public consultation of the Agency for the Cooperation of Energy Regulators (ACER) is called: “Public Consultation on the amendments of the proposal for common capacity calculation methodology for the Core region”. The consultation has opened on 4 December and will be accessible until midnight on Christmas Eve. Invited to participate are all interested stakeholders, including regulatory authorities, nominated electricity market operators (NEMOs) and transmission system operators (TSOs).

What exactly is the objective of the survey? The Capacity Calculation Methodology (CCM) quantifies the electrical capacity that can be offered across borders to the day-ahead and intraday markets. The Core CCM is valid within the Core Capacity Calculation Region (CCR), which comprises Austria, Belgium, Croatia, the Czech Republic, France, Germany, Hungary, Luxembourg, the Netherlands, Poland, Romania, Slovakia and Slovenia. The TSOs from the Core CCR – among them are the twelve TSCNET shareholders 50Hertz, Amprion, APG, ČEPS, ELES, HOPS, MAVIR, PSE, SEPS, TenneT, Transelectrica and TransnetBW – have conceived and proposed amendments to the Core CCM.

The competent regulatory authorities of the Core CCR have not yet approved the TSO proposal and asked ACER to decide on whether the modified Core CCM complies with the European Capacity Allocation and Congestion Management (CACM) Regulation. Interested parties are invited to provide feedback on the consultation questions concerning the relevant aspects of the Core CCM.

ACER launches public consultation on the compliance of the Core CCM proposed by the Core TSOs with the European CACM Regulation

Linkup
> See ACER press release (html)
> Direct access to consultation (html)

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Acer decision on fallback procedures for Core CCR

09.10.2018

In March 2018, the Agency for the Cooperation of Energy Regulators (ACER) was asked by the competent regulatory authorities to decide on the amended proposal of the transmission system operators (TSOs) from the Core Capacity Calculation Region (CCR) regarding the Core CCR fallback procedures. In the following August, ACER invited all interested stakeholders to share their views on the issue in a public consultation. After evaluating the survey, ACER has now published its decision on revisions to the methodology for fallback procedures.

The Core CCR consists of sixteen Central European TSOs, twelve of which are TSCNET shareholders: APG (Austria), ČEPS (Czechia), ELES (Slovenia), HOPS (Croatia), MAVIR (Hungary), PSE (Poland), SEPS (Slovakia), Transelectrica (Romania), the Dutch-German TSO TenneT, and the three further TSOs from Germany 50Hertz, Amprion, and TransnetBW. ACER’s decision introduces minimal changes to fallback procedures in order to improve legal clarity and enforceability. Most importantly, instead of five different shadow allocation rules, only a single set of rules is adopted by the Agency, which specifies in its decision to which bidding zone borders these rules apply.

ACER has published its decision on the improvement of the fallback procedures proposed by the TSOs of the Core CCR

Linkup
> See ACER press release (html, with access to decision and consultation results)

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ENTSO-E report on market coupling and capacity allocation

15.08.2018

The European Commission Regulation establishing a guideline on Capacity Allocation and Congestion Management (CACM) obliges the European Network of Transmission System Operators for Electricity (ENTSO-E) to monitor the progress and potential problems with the implementation of the day-ahead and intraday coupling. The same applies to the respective Regulation guideline on Forward Capacity Allocation (FCA) which requires ENTSO-E to monitor the FCA implementation with regard to a fair and transparent access of market participants to long-term transmission rights.

In line with its monitoring plan, ENTSO-E, in cooperation with the member transmission system operators (TSOs) and several Nominated Electricity Market Operators (NEMOs), has now published the “First Joint Report on the Progress and Potential Problems with the Implementation of Intraday and Day-ahead Coupling as well as Forward Capacity Allocation”. The comprehensive report covers the period from August 2017 onwards and will be submitted to the Agency for the Cooperation of Energy Regulators (ACER).

ENTSO-E publishes first joint report on the implementation of intraday and day-ahead coupling as well as forward capacity allocation

Linkup
> See ENTSO-E press release (html, with access to report)

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ACER consultation on fallback procedures

02.08.2018

The relevant regulatory authorities have asked the Agency for the Cooperation of Energy Regulators (ACER) to review the fallback procedures in the Core Capacity Calculation Region (CCR) with regard to the European Regulation on Capacity Allocation and Congestion Management (CACM). The Core CCR consists of sixteen central European transmission system operators (TSOs), eleven of which are TSCNET shareholders: APG (Austria), ČEPS (Czechia), ELES (Slovenia), HOPS (Croatia), MAVIR (Hungary), PSE (Poland), SEPS (Slovakia), the Dutch-German TSO TenneT, and the three further TSOs from Germany, 50Hertz, Amprion, and TransnetBW.

The Core TSOs prepared an amended proposal for the CCR fallback procedures. ACER now has been given the task of verifying that this proposal complies with the respective guideline on CACM Regulation of the European Union. Since ACER has to adopt a profound decision on this matter, the Agency takes interest in the comments from different parties on some elements of the amended proposal in order to substantiate this decision. The related public consultation is open til 24 August and all interested stakeholders, including regulatory authorities, nominated electricity market operators and TSOs, are invited to submit their comments.

ACER opens public consultation on the compliance of the fallback procedures proposed by the TSOs of the Core CCR with the CACM Regulation.

Linkup
> See ACER press release (html, with access to consultation document)

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Long term transmission rights in the Core CCR

14.03.2017

The European Core capacity calculation region (CCR) consists of sixteen central European transmission system operators (TSOs). Ten TSC members are among the partner TSOs: APG (Austria), ČEPS (Czechia), ELES (Slovenia), HOPS (Croatia), MAVIR (Hungary), PSE (Poland), the Dutch-German TSO TenneT, and the three further TSOs from Germany 50Hertz, Amprion, and TransnetBW. They are supported by other Central European TSOs, such as SEPS from Slovakia.

The respective TSOs have mapped out a proposal for the regional design of long-term transmission rights in accordance with Article 31 of Commission Regulation (EU) 2016/1719. This includes the implementation of the first version of the Flow Based Intraday Capacity Calculation methodology in the Core CCR. Additionaly, the European Network of Transmission System Operators for Electricity (ENTSO-E) has opened a public consultation on the TSO proposal for stakeholders and concerned parties. The consultation will be open until 10 April.

> See HOPS press release, in Croatian (html)
> See SEPS press release (html)
> See TenneT press release (html)
> Open Core CCR TSO’s proposal document (pdf, 229kb)
> Access to ENTSO-E consultation webform (html)

Picture: Edited detail of an illustration by Arnaud Gilon / European Union, EC-Audiovisual Service

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Core CCR expedites market integration

21.02.2017

A total of sixteen central European transmission system operators (TSOs) cooperates in creating a European core capacity calculation region (CCR). This considerable high number of participants results in a Core CCR covering the largest part of central continental Europe. Among the associated TSOs are ten TSC members: APG (Austria), ČEPS (Czechia), ELES (Slovenia), HOPS (Croatia), MAVIR (Hungary), PSE (Poland), the Dutch-German TSO TenneT, and the three further TSOs from Germany, 50Hertz, Amprion, and TransnetBW.

CCRs are conceived as geographical areas in which coordinate cross-border capacity calculation, capacity allocation and congestion management is applied. With their CCR cooperation, the TSOs follow a decision by the European Agency for Cooperation of Energy Regulators (ACER) from November 2016 on merging regional coordinations to an enlarged European core region in order to promote the integration of Europe’s energy markets.

The fulfillment of CCR-related obligations in accordance to the respective European Commission Network Codes implies that the TSOs are committed to the developement of common methodologies for three principal tasks: day-ahead flow-based capacity calculation of cross-border transmission, capacity calculation for intraday and long-term time-frames, and the coordination of redispatching and countertrading to minimise congestions. Common methodologies in these fields will ease cross-border trade and optimise transmission capacities without endangering the security of supply.

> See ČEPS press release (html)
> See TenneT press release (html)
> See ENTSO-E press release (html)
> Visit Core CCR project page (html)

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Capacity calculation regions determined

21.11.2016

The European Agency for Cooperation of Energy Regulators (ACER) has published its decision on the proposal of the transmission system operators (TSOs) for the determination of the capacity calculation regions (CCRs). TSC member 50Hertz, one of the four German TSOs, announced that the Berlin-based company is a part of two CCRs: „Core“ und „Hansa“. The Czech TSO, TSC member ČEPS, informed about also being a part of the “Core” CCR formed by a merger of the current trading regions of Central Eastern Europe (CEE) and Central-west Europe (CWE), and that a congestion management system will be introduced on the German-Austrian border.

Capacity calculation regions are conceived as geographical areas in which coordinate cross-border capacity calculation, capacity allocation and congestion management is applied. ACER took the decision on the regions in accordance with the EU-Regulation 2015/1222 on Capacity Allocation and Congestion Management (CACM Regulation). The regulation prescribes the creation of the capacity calculation regions themselves and also the determination of bidding zone borders assigned to the competent TSOs of the respective regions. ACER’s ruling statement from 17 November 2016 implies the splitting of the common Austrian-German bidding zone and the creation of a new bidding zone border between the two countries. Zbyněk Boldiš, Executive Director of Energy Trade & International Relations at ČEPS, considers “the split of the German-Austrian bidding zone as crucial for setting up fair environment for power trading in Central Europe”.

> See 50Hertz press release, in German (html)

> See ČEPS press release (html)

> See ACER press release (html)

> Open ACER decision on CCRs (pdf, 2.7mb)

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