1. Imbalance Netting Platform
Markus Maurer
Balancing Stakeholder Group

2. GLEB
Requirements

3. Implementation Framework
By six months after entry into force of this Regulation, all TSOs shall develop a proposal for the implementation framework for a European platform for the imbalance netting process.
TSO-TSO Settlement
TSO-TSO Settlement
Implementation
By one year after the entry into force of this Regulation, all TSOs shall develop a proposal for common settlement rules applicable to all intended exchanges of energy
Implementation
By one year after the approval of (…) the implementation framework (..), all TSOs performing the automatic frequency restoration (..) shall use the European platform to perform the imbalance netting process, at least for the Continental Europe synchronous area.

4. Implementation Framework
Discussion points from last BSG

5. 1 2 Discussion points from last BSG
Determination of Cross-Zonal-Capazity 2
Optimization regions

6. Hierarchy of Operational Areas
Synchronous Area
consists of (one or more)
is sub-area of
LFC Block
consists of (one or more)
is sub-area of
LFC-Area
consists of (one or more)
is sub-area of
Monitoring Area
consists of (one or more)
is sub-area of
Scheduling Area

7. SO GL: Definition of imbalance netting
SO GL, Art. 146 (1):
The control target of the imbalance netting process shall aim at reducing the amount of simultaneous counteracting FRR activations of the different participating LFC areas by imbalance netting power interchange.
Synchronous Area
consists of (one or more)
is sub-area of
LFC Block
consists of (one or more)
is sub-area of
SO GL: Imbalance netting defined on LFC-Area level between LFC Areas
LFC-Area
consists of (one or more)
is sub-area of
Monitoring Area
consists of (one or more)
is sub-area of
Scheduling Area

8. Possible Configurations – Impact on CZC
Synchronous Area
Bidding Zone
Bidding Zone
Bidding Zone
LFC Block
LFC Block
LFC Block
LFC Block
LFC Area
LFC Area
LFC Area
LFC Area
LFC Area
Bidding Zone
LFC Block
LFC Block
LFC Area
LFC Area
LFC Area
LFC Block
LFC Area
LFC Area
Bidding Zone
Bidding Zone
Bidding Zone
Bidding Zone
CZC of border calculated in accordance with Article 37 of the GLEB
CZC on this border is considered infinite or equal to the respective technical limit (e.g. bound by number of digits)
CZC on this border is not considered and by this equals to infinite in the process

9. Determination of CZC Extraction of ATC values
Day-ahead
Market Coupling (Flow-Based)
Continous XB Intraday-Market (ATC based)
Previous Balancing Actions
(ATC based)
Imbalance Netting
Extraction of ATC values
Remaining ATC values after XB-ID
Remaining ATC values after Balancing Actions
In case XB-Intraday-Market might be flow-based, same ATC extraction as currently done for Day-ahead could be used for the balancing timeframe.
Currently determination of ATC values is done by participating TSOs, which send the ATC to the IGCC.
Separate function not necessarily needed and by this a very detailed implementation question.

10. 1 2 Discussion points from last BSG
Determination of Cross-Zonal-Capazity 2
Optimization regions

11. Optimization Regions - Summary
Compromise achieved by all TSOs
Mainly needed for the transition period to not disadvantage first movers (exchanging aFRR)
No detrimental effects on the netting potential of TSOs not part of an aFRR cooperation can be seen
 No discrimination

12. Optimization Regions – Stepwise Optimization
Opt. step 1:
Optimization regions In
parallel
Opt. region:
Prior access to:
Opt. step 2:
Whole region:
Considered borders:

13. Optimization Regions – Impact Assessment
Netted volumes
The total netting volume of the smaller optimization region (AT/DE) decreases compared to the scenario without optimization regions.
For most of the TSOs within the bigger optimization region the total netting volume increases
For a limited number of TSOs the netting volume decreases slightly

14. TSO-TSO settlement

15. TSO-TSO Settlement - Principles
Imbalance Netting import or export shall be settled at a price, different from reference zero price (meaning here a situation where a reference price for all settlement period would be used and set equal to zero) 2
Imbalance Netting shall benefit to all TSO in a sense that no TSO shall loose once the cooperation gets benefits as a whole on a settlement period basis 3
Opportunity prices shall reflect the avoided activation of aFRR

16. TSO-TSO Settlement options
Weighted Average of Opportunity prices plus avoidance of negative individual benefits
Equal Benefit per MWh
Determination of settlement price
(Weighted average of opportunity prices)
Determination of overall benefit
Settlement of import and export of imbalance netting with settlement price
Avoidance of negative individual benefits (redistribution of individual positive benefits to cover individual negative benefits)
Distribution of benefit proportional to netted volumes

17. Next steps
Timeline

18. Next steps - timeline
2017
2018
2019 1 2 3 4 5 6 7 8 9 10 11 12
NRAs approval of the design
NRAs approval of the TSO-TSO settlement
Deadline for Accession
GLEB EIF
Deadline for submission of proposal on European IN platform
Deadline for submission of proposal on TSO-TSO settlement
DESIGN I – Development of implementation framework
DESIGN II – TSO-TSO Settlement
Adaption of IGCC in order to fulfil the approved all TSO proposals
Governance
Algorithm
Optimization regions
Principles
Equations
Accession of new IGCC members
Impact Assessment
Public Consultation

19. Implementation plan Implementierung finalized IGCC INC
Implementation started
Partial Implementation
E-GCC
PT Member
No Implementation
Status Quo
PT IN
Implementation

20. Implementation Plan
Technical IGCC accession has to be performed sequentially to enable sufficient testing and ensure stable system operation
Possible accession order – based on preliminary feedback in PT IN:
2018
2019
Country
TSO 1 2 3 4 5 6 7 8 9 10 11 12
Slovenia
ELES
Croatia
HOPS
Hungary
MAVIR
Poland
PSE
Spain
REE
Portugal
REN
Slovakia
SEPS
Romania
Transelectrica
Greece
Admie
Bulgaria
ESO
Italy
Terna
Serbia
EMS
Decision on Communication Infrastructure needed
Deadline for Implementation of European platform
Communication and SCADA implementation
Interoperability tests
Operational tests

21. Thank you for your attention
Synchronous Area
Bidding Zone
LFC Block
LFC Area
Thank you for your attention