Invitation to comment on NordREG’s proposal for “Methodology for assessment of the Nordic forward market”
NordREG has been preparing a common approach on how to perform the upcoming analysis of the cross-zonal hedging opportunities in line with Commission Regulation (EU) 2016/1719 of 26 September 2016 establishing a guideline on forward capacity allocation (FCA GL) article 30.
Below you will find a link to the draft methodology, based on which the regulators are planning to conduct the upcoming study. All Nordic market participants are hereby invited to comment on the draft “Methodology for assessment of the Nordic forward market”.
NordREG is especially interested in hearing the stakeholders views on how the approach could be improved to better analyse the hedging opportunities in the Nordic markets. The background for the assessment is in the requirements in FCA GL article 30. The previous assessment was conducted in 2016-2017, please see links below.
The end objective is for regulators to assess whether there are sufficient hedging opportunities in the Nordic electricity market. If the hedging opportunities in two adjacent bidding zones are deemed insufficient, the regulators on each side of the bidding zone border must, in a coordinated manner, make decisions targeted at the TSO’s on each side to introduce long term transmission rights (LTTRs) or other measures to improve hedging opportunities.
The timeline looks as follows:
- This current consultation on proposed evaluation method (May-June 2020).
- Internal regulator assessments and decision on way forward (summer 2020).
- Data collection, calculations, assessments and draft decisions. (the timeline and exact approach varies per country).
- Consultations on the assessments and the hedging needs of market participants according to FCA art. 30(3)(a) (circa winter 2020-2021).
- National decisions on whether there are sufficient hedging opportunities and coordinated decisions per bidding zone border on introducing LTTRs or not (deadline April 2021)*.
Last day for replies – 2 June 2020
Please send your views, comments, considerations etc. in writing to firstname.lastname@example.org with copy to email@example.com. Please mark your answers to the consultation with the following reference number 2020-100867.
Per default replies are public, but if you wish to be anonymous, please indicate this.
Deadline for replies: 2 June 2020 EOB.
*As Norway has not implemented the FCA GL in national legislation at this point, the deadline for Norwegian borders will depend on the implementation time.
Links to 2016-2017 documents
- Assessment Denmark
- Assessment Sweden
- Assessment Finland
- Norway did not conduct the assessment in 2016-2017.
Completed consultations 2019
Consultation on proposals for Nordic aFRR capacity market and cross-zonal capacity allocation methodology
Published 6 May 2019: The Nordic national regulatory authorities (“Nordic NRAs”) are launching a consultation on the legal proposals submitted from the Nordic TSOs on:
All TSOs’ of CCR Nordic proposal for a methodology for a market-based allocation process of cross-zonal capacity for the exchange of balancing capacity in accordance with Article 41(1) of the Commission Regulation (EU) 2017/2195 of 23 November 2017 establishing a guideline on electricity balancing
Energinet, Fingrid, Statnett and Svenska kraftnät proposal in accordance with Article 33(1) and Article 38(1) of the Commission Regulation (EU) 2017/2195 of 23 November 2017 establishing a guideline on electricity balancing
The Nordic NRAs also ask for stakeholder input on the request for an exemption of transfer of bids:
Energinet, Fingrid, Statnett and Svenska kraftnät proposal for exemption for not allowing balance service providers to transfer their obligations to provide aFFR capacity in accordance with Article 34(1) of the Commission Regulation (EU) 2017/2195 of 23 November 2017 establishing a guideline on electricity balancing
The Nordic NRAs will assess and evaluate the proposals for approval within a period of 6 months or request changes to the proposals before the proposals can be approved.
Please mark your answers to the consultation with the following reference: Proposals for Nordic aFRR capacity market and cross-zonal capacity allocation.
Contact persons in NordREG
Peter Christian Olsen, DUR
Elin Larsson, Ei
Jarno Lamponen, EV
Stian Henriksen, NVE
Consultation on proposal for Clearing and Settlement Arrangements in the Nordic region by the Nord Pool Group, Nasdaq AS/ Nasdaq AB and EPEX/ECC
Published 8 March 2019: This consultation concerns a joint proposal from the nominated electricity market operators in the Nordic region on clearing and settlement arrangements according to Article77 (2) of the Commission Regulation (EU) No 2015/1222 of 24 July 2015 establishing a Guideline on Capacity Allocation and Congestion Management (CACM).
NordREG welcomes written input on the proposal before the 22nd of March 2019. Comments (in English) can be sent to firstname.lastname@example.org. Please mark your answers to the consultation with the following reference number 2018-101724.
Contact persons in NordREG
Linda Weman Tell, Ei
Malene Alempiew, DUR
Mari Salo, EV
Helena Lindstad Mellison, NVE
Consultation on the methodology for capacity calculation in the long-term timeframe
Published 21 January 2019: The Nordic national regulatory authorities (“Nordic NRAs”) are launching a consultation on the methodology for capacity calculation in the long-term timeframe developed by all TSOs in the Nordic capacity calculation region in accordance with Article 10 of Commission Regulation (EU) 2016/1719 of 26 September 2016 establishing a guideline forward capacity allocation (“FCA Regulation”).
The Nordic NRAs will assess and evaluate the proposal for approval within a period of 6 months or request changes to the proposal before the proposal can be approved.
The Nordic NRAs welcome written input on the methodology at the latest 18th of February 2019. Comments shall be sent to email@example.com with copy to firstname.lastname@example.org. Please mark your answers to the consultation with the following reference: Nordic Capacity Calculation Methodology.
Contact persons in NordREG:
Toril Naustvoll, NVE
Jori Säntti, EV
Daniel Frisö, Ei
Søren Lorenz Søndergaard, DUR