1. Linking of regional markets
Kjell A Barmsnes, 5 Nov, 2008

2. European market development
A Regional approach
The regional approach to market development in Europe has resulted in several market coupling initiatives within regions
Easier development within regions than in a European-wide approach
Efficient market coupling in Europe
Requires linking within and between regional markets
Coupling of regional markets is more complex
Harmonization issues
More stakeholders and different interests
14. september 2018

3. Market coupling between regions NorNed: Norway – The Netherlands
The Norwegian license (issued in 2004) for NorNed is based on implicit market coupling between the Nord Pool Spot and APX markets
Could not be implemented due to different gate closure times (NL 11:00, NO 12:00)
Temporary explicit auction implemented
Results
Good economy for TSOs
In a number of hours participants pay more for the capacity than the price difference NPS-APX
Also a number of days with flow in wrong direction
14. september 2018

4. Market coupling between regions
EMCC
Initial problems – quality of coupling not as expected
Quality of market coupling depends on
Harmonization of market designs
Availability of market information
Tightness of coupling
Harmonization of price calculation rules
Liquidity of markets
14. september 2018

5. Market coupling between regions
Tighter coupling of regional markets improves the quality of the solution
But,
Requires more harmonization (market rules, products, etc.)
And is more complex to organize and implement
Price coupling of regions – the optimal solution?
In terms of quality – probably
Looser coupling may be applicable for some regions in a phased approach towards a more integrated market
14. september 2018

6. CWE/Nordic coordination
Based on an initiative from Energinet.dk and E.ON Netz, a study for market coupling alternatives between CWE and the Nordic market has been launched
Project partners:15 TSOs and PXs in the CWE and Nordic region
Main task:
Describe alternative market coupling models
Evaluate the efficiency and applicability of different models
Recommend options for interregional coupling
14. september 2018