Consultation for roadmap for Nordic Balancing Model

"I hope that the players in the Nordic power industry will give us feedback on the roadmap which now is subject for consultation," says project manager for Nordic Balancing Model, Jakob Aldrin. "Giving an image of the expected changes and the following consequences, but also receiving feedback of the realism of the image we provide seen from the players' point of view, are both important for us."

Statnett, Svenska kraftnät, Fingrid and Energinet are developing large and complex changes in the operation of the power systems within the Nordic Balancing Model project. "This is the most comprehensive restructuring of our operations since the deregulation of the power market. Changing from hourly to quarterly bidding and balance settlement will result in four times as many decisions every day. At the same time, we expect e.g. allowing lower volumes for bids, which may give e.g. 10 smaller bids where we today receive one large. For our operators, this means handling a rapidly growing amount of data, and we need to have systems prepared for this situation combined with an increasing efficiency and safeguarding secure operations of the power system," Aldrin explains.

The roadmap may be changed
The roadmap now being presented, aims at having all the planned changes within the Nordic Balancing Model in operation within 2023. Important building blocks and milestones on the road is:

  • Single price model
  • mFRR balancing process automation
  • 15 minutes time resolution
  • Nordic capacity market for automatic frequency restoration reserves (aFRR)
  • Nordic capacity market for manual frequency restoration reserves (mFRR)

"There are many risks and uncertainties in the roadmap," Aldrin underlines. "This is a development project where we risk meeting unforeseen events as well as changing needs. Because of this, the roadmap is not necessarily correct about how and when things actually will happen, but it is a plan based on the knowledge we have today."

Consultation and new roadmap

The consultation will be open until the 16th of August. Building on the hearings, the Nordic transmission system operators will present a new roadmap during the fall.

15 minutes time resolution

The power system must be in balance, i.e. consumption of electricity must at any given time be matched by an equal amount of production of electricity. Up until now, changes in balance are being planned and traded on an hourly basis, and changes within the hour are being met by TSO reserve mechanisms. The 15 minutes time resolution will enable the parties in the power market to plan their own balance more accurately, and thus enabling a more efficient exploitation of the power resources and the grid.

Nordic Balancing Model (NBM)

The prerequisites for efficient balancing of the Nordic power system are currently changing as we gradually move towards a green, integrated and harmonized European power market. The NBM program will ensure the necessary update of the balancing market design, develop methods and operational processes as well as related IT systems Nordic region. The NBM program also includes the implementation of 15 minutes time resolution.
The Nordic transmission system operators Statnett, Svenska kraftnät, Fingrid and Energinet cooperate on the NBM program and 15-minutes time resolution.

Links and material

Link to ENTSO-E Consultation HUB: https://consultations.entsoe.eu/markets/nbm-roadmap-consultation-1/

Link to presentation: Presentation for Webinar 29 May 2019

Link to download film of presentation (1,8 GB): https://captio.filemail.com/d/knpkdivrhbctuqs

 

Contact information

Questions about the roadmap or the consultation process may be addressed to:

Energinet: Torben Skødt, email:

Fingrid: Mikko Heikkila, email:

Statnett: Lars Olav Fosse, email:

Svenska kraftnät: Pär Lyden, email: