On 31 July 2024, ACER received a proposal from Transmission System Operators (TSOs) to amend the harmonised methodology for cross-zonal capacity allocation for the exchange of balancing capacity or sharing of reserves.
Today, ACER opens a public consultation on the topic and invites stakeholders to submit their views by 14 October 2024.
What is the methodology about?
This methodology provides a harmonised approach for effective allocation of cross-zonal capacity for the exchange of balancing capacity or sharing of reserves. Having an optimised allocation of cross-zonal capacity is important to:
- Foster the integration of balancing capacity markets.
- Lower the costs of procuring balancing capacity (hence the costs for tariff payers).
- Ensure the security of electricity supply.
Why amend the methodology?
Amending the methodology is necessary to clarify the governance of the market-based process, covering both its implementation and operation. This aims to ensure the process runs efficiently and encourage more TSOs to apply it.
What are the next steps?
ACER expects to reach a decision by 31 January 2025.
