ČEPS: Nearly 200km of new or upgraded lines

24.04.2020

Mid spring is the time to report on the previous business year and the Czech transmission system operator (TSO) ČEPS is no exception in this respect. The TSCNET shareholder looks back on a very solid year with impressive figures: The total volume of electricity at transmission system output in 2019 amounted to 66,447GWh. The maximum transmission grid load of 11,895MW was registered on 24 January and the minimum load of 4,831MW on 4 August.

ČEPS’ successful financial year 2019 is reflected in a profit of about CZK4,04bn (€146.5m) before taxes, which is a significant increase compared to 2018 (CZK3.8bn). This profit is partly due to the export orientation of the Czech TSO in terms of international collaboration. Martin Durčák, Chairman of the Board of Directors of ČEPS, explains: “The Czech export balance amounted to -13,097GWh of electricity. Financial results from commercial activities, particularly from auctions for cross-border capacities and the ITC mechanism, contributed to the profit before tax by approximately a third.”

The good financial result allowed the TSO to invest substantially in the future viability of the Czech transmission system: In 2019, ČEPS invested a total of round CZK5,14bn (€186.4m) in the transmission infrastructure. Nearly 200km of 400kV lines were newly constructed or upgraded. The strong business performance of ČEPS, reflected in robust and predictable cash flow, transparency, and a strong financial profile, is widely recognised. In November 2019, the rating agency Moody’s raised ČEPS’s rating to Aa3 with a stable outlook.

ČEPS looks back on a successful business year 2019 (edited picture of ČEPS’ Sokolnice substation in the Brno-Country District by RomanM82, Creative Commons, Wikimedia)

Linkup
> See ČEPS press release (html)

See article on single page

Paper on MRC extension

26.03.2020

The so-called 4M Market Coupling Countries (4M MC) – the Czech Republic, Hungary, Romania and Slovakia – are to be connected to the Europe-wide Multi Regional Coupling (MRC) of the electricity market. This will introduce Single Day-Ahead Coupling across 23 European countries. The initiative to implement the MRC expansion is the DE-AT-PL-4M MC Project, also known as “Interim Coupling Project”. The relevant transmission system operators (TSOs) from Austria, Czechia, Germany, Hungary, Poland, Romania and Slovakia – the TSCNET shareholders 50Hertz, APG, ČEPS, MAVIR, PSE, SEPS, TenneT, and Transelectrica – are part of the project consortium.

The AT-PL-4M MC Project establishes implicit capacity allocation based on Net Transfer Capacity (NTC) at six borders (PL-DE, PL-CZ, PL-SK, CZ-DE, CZ-AT, HU-AT). The Nominated Electricity Market Operators (NEMOs) and TSOs participating in the DE-AT-PL-4M MC Project now have published an information paper for market participants containing key information on the project in a question and answer format. This information includes the main expected changes for the market, the planned communication methods with market participants and a high-level technical description of the market design to be implemented by the project.

The partners of the AT-PL-4M MC Project for integrating Czechia, Hungary, Romania and Slovakia into MRC have published an information paper

Linkup
> Open AT-PL-4M MC information paper provided by MAVIR (pdf, 732.98kB)

See article on single page

Multi Regional Coupling expanded by the end of 2020

17.12.2019

The Multi Regional Coupling (MRC) of the European electricity market is to be substantially enhanced by connecting the so-called 4M Market Coupling Countries (4M MC), i.e. the Czech Republic, Hungary, Romania and Slovakia, to the Europe-wide MRC. This will establish Single Day-Ahead Coupling across 23 European countries.

In preparation for this market integration, the so-called Interim Coupling Project (DE-AT-PL-4M MC Project) was launched. It has now completed the design phase and is entering the implementation phase. This provides the Nominated Electricity Market Operators (NEMOs) and transmission system operators (TSOs) from Austria (APG), Germany (50Hertz, Amprion, TenneT, and TransnetBW), Poland (PSE) and the 4M MC countries (ČEPS, MAVIR, Transelectrica and SEPS) with a sound basis for announcing the MRC inclusion for the third quarter of 2020.

The AT-PL-4M MC Project introduces implicit capacity allocation based on Net Transfer Capacity (NTC) at six borders (PL-DE, PL-CZ, PL-SK, CZ-DE, CZ-AT, HU-AT). The competent National Regulatory Authorities (NRAs) welcome the progress made and the synergies from the project, which will facilitate the introduction of Flow-Based Market Coupling in the Core Capacity Calculation Region (Core CCR), which is the ultimate target.

The AT-PL-4M MC project for integrating Czechia, Hungary, Romania and Slovakia into MRC has entered the implementation phase.

Linkup
> See PSE press release (html)
> See SEPS press release (html)
> Open joint press release (pdf, 216.14kB)

See article on single page

ČEPS half-year report: Profits support infrastructure

16.09.2019

In 2019, the Czech transmission system operator (TSO) ČEPS continues its extensive infrastructure investment programme to ensure that the development of the Czech transmission system meets the increasing demands of the rapidly changing energy sector. The profits now presented in the company’s half-year report facilitate these efforts considerably.

The TSCNET shareholder concluded the first half of 2019 with a pre-tax profit of CZK 2.3bn (about €88.84m) and a total revenue of CZK 11,903bn (about €460m), an increase of CZK 1,54bn in comparison to the same period in 2018. “Cross-border auctions account for 38% of revenues,” explains Martin Durčák, Chairman of the Board of Directors of ČEPS. As far as the TSO core business is concerned, a total of 32,760GWh was transferred in the first half of 2019.

An important infrastructure project completed in July 2019 is the connection of the Řeporyje-Prosenice line to the Mírovka substation. The branching of this almost 300km long line, which connects the periphery of Prague with the Olomouc region in the east of the country, will increase the safety and reliability of the Czech transmission grid. Other significant investment measures already implemented this year include the construction of the new Přeštice-Vítkov line linking the Plzeň to the Moravian-Silesian Region. In Vítkov, a new 420kV substation with a gas-insulated switchgear was installed to complement the new line construction.

ČEPS reports positive figures for the first half of the 2019 business year (picture showing Prague, Czechia: JÉSHOOTS)

Linkup
> See ČEPS press release (html)

See article on single page

ČEPS innovation projects

12.06.2019

As European transmission system operators (TSOs), the TSCNET shareholders must adapt to the changing energy landscape and find solutions for a successful sustainable energy future. The Czech TSO ČEPS is no exception to this rule and is actively involved in several innovation projects to respond to changes in the energy industry and to ensure the reliable operation of the Czech power system, as it was now pointed out by Karel Vinkler, director of the Innovation and R&D section of ČEPS. These projects include SecureFlex, MAFRI, Dflex, and BAART, which all are part of the national THÉTA program of the Technology Agency of the Czech Republic to support research in the energy sector.

With the SecureFlex project, ČEPS recognises power flexibility as one of the most important grid stabilisation tools of the future. SecureFlex focuses on developing analysis, calculation and optimisation tools as well as targeted studies that contribute to the secure use of power flexibility in the context of new technologies and market themes. The MAFRI project (Mid-term Adequacy Forecast – Regional Indicators) aims to identify new reliability criteria for the production-capacity-adequacy evaluation. The outcomes of the project can contribute to future decisions on infrastructure investments and restorations.

In the Dflex project, the feasibility of active participation of smaller power sources will be investigated to provide flexibility for the operation and control of the power system. Through aggregation and active decentralised control systems, these energy sources will then be used to stabilise the system. Finally, the BAART project is concerned with the gradual development of the BSAE technology (Battery System Accumulation of Energy) and its potential regarding power balancing. The main purpose of this project, in which a 4 MW battery in the Tušimice power plant is being used, is the development, adaptation and modification of BSAE power balance services and their practical verification.

“ČEPS has been active in the field of innovation, research and development for a long time. The need to innovate comes naturally from the fundamental changes of the present power industry environment,” comments Vinkler.

ČEPS is conducting several innovation projects to respond to changes in the energy industry (picture shows the Czech capital Prague, where the TSO has its headquarters)

Linkup
> See ČEPS press release (html)

See article on single page

High-Level Market Design finalised

11.06.2019

It was only at the end of 2018 that the national regulatory authorities of Austria, Germany, Poland and the so-called 4MMC countries (Czechia, Hungary, Romania, and Slovakia) requested the initiation of the interim project for an NTC-based market coupling (“Net Transfer Capacities”) between these countries. The parties involved in the DE-AT-PL-4MMC (“Interim Coupling”) project have completed the High-Level Market Design to be implemented and the national regulatory authorities have confirmed their support for the continuation of the project. This involves a total of eight TSOs that are shareholders and customers of TSCNET Services: 50Hertz (Germany), APG (Austria), ČEPS (Czechia), MAVIR (Hungary), PSE (Poland), SEPS (Slovakia), TenneT (Germany), and Transelectrica (Romania).

The project aims to couple 4MMC and Poland as well as Multi-Regional Coupling (MRC) through the introduction of NTC-based implicit allocation on six borders (PL-DE, PL-CZ, PL-SK, CZ-DE, CZ-AT, HU-AT) and the implementation of a Single Day Ahead Coupling (SDAC). The project envisages a step-by-step transition at the above-mentioned boundaries from the current NTC-based explicit allocation to the flow-based implicit allocation to be implemented in the framework of the CoreFlow-Based Market Coupling Projectas target solution required by regulation. The Interim Coupling significantly contributes to the regional market integration and brings benefits to the market. The current planning envisages the go-live of the interim coupling for the second quarter of 2020.

The parties involved in the DE-AT-PL-4MMC project have completed the High-Level Market Design

Linkup
> Open joint press release (pdf, 331kb)

See article on single page

ČEPS and SEPS to participate in IPDE

05.06.2019

The International Phasor Data Exchange (IPDE) platform is a multinational project to facilitate and optimise the exchange of operational data within the European interconnected transmission system. More specifically, these data derive from time-synchronous voltage, current phasor and frequency measurements which are collected and used in Wide Area Monitoring Systems (WAMS). IPDE is now making significant progress as the two TSCNET shareholder ČEPS and SEPS, the Czech and Slovak transmission system operators (TSO) respectively, have signed an agreement on participating in the platform.

Martin Durčák, Chair of the Board of Directors of ČEPS, comments that the “participation in the platform is another of our continual steps in the introduction of technological innovations and shift towards a digitally managed and controlled grid”. Miroslav Obert, CEO of SEPS, complements: “The project we are undertaking in collaboration with our Czech partners ensures method simplification and uniformity of phasor data exchanges between individual TSOs.”

ČEPS and SEPS have signed an agreement to participate in the IPDE Data Exchange platform

Linkup
> See ČEPS press release (html)
> See SEPS press release, in Slovak (html)

See article on single page

ČEPS: Solid finances and major investments

15.04.2019

The high revenues from cross-border capacity auctions and the higher than expected earnings from system services and transit flows were the main contributors to the successful business year 2018 of TSCNET shareholder ČEPS, the Czech transmission system operator (TSO). The company’s profit of CZK3.307bn (about €129m) before tax represents an increase of 14% in comparison to 2017. The total amount of energy transmitted through the Czech high-voltage grid has risen to 65,825 GWh, with a peak load of 11.964MW in February 2018.

ČEPS has also maintained its high level of investment: The TSO expended more than CZK3.8bn (about €148m) in the further development and modernisation of its transmission system. The most important ongoing investment projects include European Projects of Common Interest (PCIs) like the new 400kV double circuit line from Kočín in southern Bohemia to the Mírovka substation near Havlíčkův Brod in the Bohemian-Moravian Highlands, or the interconnections between the 420kV substations at Vernéřov (Karlovy Vary Region), Vítkov (Moravian-Silesian Region), and Přeštice (Plzeň Region).

Also worth mentioning are the modernisation and expansion of the Kočín substation, which is an important node of the transmission network and due to be completed in 2023, the start of construction for the modernisation of the Horní Životice substation in the Moravian-Silesian region and finish of upgrading the gas-insulated, metal-enclosed Chodow substation in Prague. These and other projects are part of the TSO’s long-term investment programme, the implementation of which is made possible by ČEPS’s stable financial position, strict cost control and good financial performance.

ČEPS reports on the successful business year (edited picture of construction work at Vítkov substation by Lubor Ferenc, Creative Commons, Wikimedia)

Linkup
> See ČEPS press release (html)

See article on single page

Martin Durčák elected as new ČEPS Chairman

21.01.2019

Ing. Martin Durčák has been a member of the Board of Directors at TSCNET shareholder ČEPS, the Czech transmission system operator (TSO), since November 2018, where he was responsible for Economics as well as Information and Communications Technology. Last week, Mr Durčák was elected Chairman of the Board. “I really appreciate the Board of Directors’ trust and the opportunity to preside over a company with such strategic importance to the flawless functioning of the whole country’s economy,” comments Mr Durčák on his election.

Martin Durčák started his career in controlling and project management at Aral in Austria, Germany, Poland, and the Czech Republic. As CEO of Aral he joined the UNIPETROL holding company after the takeover of Aral. Durčák belonged to the Board of Directors of the parent company of the UNIPETROL Group before joining ČEPS. He was also executive manager of UNIPETROL RPA.

Prague-based ČEPS has elected Martin Durčák as new Chairman of the Board of Directors

Linkup
> See ČEPS press release (html)

See article on single page

Remarkable ČEPS half-year report

17.09.2018

Jan Kalina, Chairman of the Board of Directors at TSCNET shareholder ČEPS, the Czech transmission system operator (TSO), refers to the essentials of the TSO business by stating: “In the first half of this year, ČEPS fulfilled its mission and ensured secure and reliable national and cross-border power transmission.” Besides that, also the financial figures are most satisfactory with a profit of CZK2.15bn (about €84.4m) before tax and total revenues at CZK 10.36bn (about €407m). This positive performance is accompanied by the company’s improved Moody’s rating of A1.

In 2018, ČEPS continues to implement its extensive investment program based on a ten-year investment plan. In the first half of the year, investments already reached CZK923.1m (about €36.22m). The capex plan actively responds to changes in the energy sector at national and international level. It reflects the potential of the latest trends such as electromobility, renewable energies and battery systems, while maintaining the necessary parameters for a reliable and safe operation of the Czech transmission system.

Among the most important infrastructure projects carried out or to be carried out this year are the comprehensive reconstruction of the substations Čechy Střed (Bohemian Centre) and Otrokovice, as well as the extension and modernisation of the substation Kočín. The gas-insulated section of the Chodov substation is also under reconstruction, which will significantly improve the reliability of power supplies to the Czech capital of Prague.

The Czech TSO ČEPS reports positive results for the first half of the business year 2018

Linkup
> See ČEPS press release (html)

See article on single page