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22/11/2013 Stakeholders' Day European Network Codes Pascale Fonck - ELIA Frank Wellens - ELIA Wim Michiels - ELIA Emeline Spire - ELIA

Elia's Stakeholders' day 2013 morning-part2

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The Elia Stakeholders’ Day was held on 22 November 2013 in the Square venue located in Brussels. More than 200 guests attended with keynote speakers such as Pierre Crevits, chef de cabinet du Secrétaire d’Etat à l’Energie Melchior Wathelet/kabinetschef Staatssecretaris voor Energie Melchior Wathelet and Marie-Pierre Fauconnier , President of the Commission for the Regulation of Electricity and Gas (CREG).

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Page 1: Elia's Stakeholders' day 2013 morning-part2

22/11/2013 Stakeholders' Day

European Network Codes

Pascale Fonck - ELIAFrank Wellens - ELIAWim Michiels - ELIAEmeline Spire - ELIA

Page 2: Elia's Stakeholders' day 2013 morning-part2

Quote

« First and foremost in the extremely technical work of draftingnetwork codes. This is very much work in progress, but it is

very simple: without the TSOs no network codes, and withoutnetwork codes, no functioning wholesale markets”.

(Günther Oettinger, European Commissioner for Energy at theFlorence Forum on 24 September 2013)

22/11/2013 Stakeholders' Day 2

Page 3: Elia's Stakeholders' day 2013 morning-part2

Connection codesFrank Wellens

• Requirements for Generators

• Demand Connection Code

• High Voltage Direct Current

Further explanations onhttp://networkcodes.entsoe.eu

22/11/2013 Stakeholders' Day 3

Page 4: Elia's Stakeholders' day 2013 morning-part2

Operational CodesWim Michiels

• Operational security

• Operational planning & scheduling

• Load Frequency Control and Reserves

Further explanations onhttp://networkcodes.entsoe.eu

More info on : http://networkcodes.entsoe.eu

22/11/2013 Stakeholders' Day 4

Page 5: Elia's Stakeholders' day 2013 morning-part2

Market-related codesEmeline Spire

• Electricity Balancing

• Capacity Allocation and Congestion Management

• Forward Capacity Allocation

Further explanations onhttp://networkcodes.entsoe.eu

22/11/2013 Stakeholders' Day 5

Page 6: Elia's Stakeholders' day 2013 morning-part2

22/11/2013 Stakeholders' Day

European Market Evolution

Pascale FonckEuropean Market Integration - ELIA

Page 7: Elia's Stakeholders' day 2013 morning-part2

NWE Day-Ahead Price Coupling

AS IS- Two separate Market Couplings (CWE & Nordic) linked by

a volume coupling (ITVC organised by EMCC)

- Sequential calculation approach

- No common algorithm applied

22/11/2013 Stakeholders' Day 7

TO BE- Full coupling with GB

- One single price coupling based on a single calculation

- One single common algorithm EUPHEMIA

- First implementation of PCR solution(PCR = Price Coupling of Regions)

Page 8: Elia's Stakeholders' day 2013 morning-part2

NWE Day-Ahead Price Coupling – Status- All NWE procedures were established in close cooperation with the PCR project

and the regional projects.

- Partial coupling scenarios were introduced to allow as many as possible bordersand interconnectors to remain coupled in case an issue occurs in NWE.

- The Day-ahead Operational Contract between all the parties was agreed uponand the signing process is ongoing. Regional and local agreements are about tobe finished and signed

- Market participants were informed and prepared via 2 fora and through the NWEmember test, which was successfully performed in October.

- The project is now in the last stages and final versions of IT- systems aredelivered requesting one more round of testing to assure stability.

22/11/2013 Stakeholders' Day 8

Target launch date NWE DA Market Coupling:February 4, 2014

(to be confirmed before Christmas)

Page 9: Elia's Stakeholders' day 2013 morning-part2

9

CWE Flow Based Market Coupling - Project StatusParallel run results

- Parallel run (more than 10 months): increased welfare and improved priceconvergence

- Approval package sent to regulators- Engagement with Market Parties based on the outcomes of the Public

Consultation- Go Live foreseen end of June 2014 subject to external dependencies

Page 10: Elia's Stakeholders' day 2013 morning-part2

CWE Flow-Based market Coupling - Project StatusNext steps

22/11/2013 Stakeholders' Day 10

- Moving from ATC to Flow Based is a paradigm shiftboth for market parties and TSO operators whichmust be carefully managed

- Project Partners’ objective for the coming months is to progress on thefollowing key topics:– Robustness: shift to the industrialized IT tool, improve operators’ experience– Transparency: provide MPs with appropriate capacity calculation inputs for price

predictability => Bilateral meetings with MPs in order to better understand their concreteneeds– FB vs. FB Intuitive: in cooperation with NRAs, the Project aims at a clear proposal to MPs– Operational process and timings: Fallback and Rollback decisions and procedures;

timing for daily publications– Smooth transition between ATC based processes (yearly/monthly auctions, Intraday) and

FB daily process

Page 11: Elia's Stakeholders' day 2013 morning-part2

CWE Flow-Based Market Coupling

22/11/2013 Stakeholders' Day 11

Please consult the poster session at lunch time

Elia and Belpex experts on flow-based market couplingwill be happy to answer your questions

Page 12: Elia's Stakeholders' day 2013 morning-part2

22/11/2013 Stakeholders' Day

Intraday capacity allocation

Page 13: Elia's Stakeholders' day 2013 morning-part2

SCOPETarget Model for intraday timeframe= a continuous implicit cross-border trading mechanism

22/11/2013 Stakeholders' Day 13

Page 14: Elia's Stakeholders' day 2013 morning-part2

Geographical scope

22/11/2013 Stakeholders' Day 14

Page 15: Elia's Stakeholders' day 2013 morning-part2

22/11/2013 Stakeholders' Day

Innovation@Elia

Hubert LemmensInnovation & Knowledge Management - ELIA

Page 16: Elia's Stakeholders' day 2013 morning-part2

22/11/2013 Stakeholders' Day

Lunch