Status WG European Market Design. Users Group 20 March 2014

Transcription

1 Status WG European Market Design Users Group 20 March 2014

2 WG European Market Design Latest meeting: 20 December 2013 Next meeting: 31 March 2014 Ongoing projects: Day Ahead Market Coupling in N-WE region Flow-Based Market Coupling in CWE region Cross- Border Intraday (N-WE+) UG Plen. 20/03/2014 2

3 N-WE Day Ahead Market Coupling UG Plen. 20/03/2014 3

4 NWE Day-Ahead Price Coupling BEFORE - Two separate Market Couplings (CWE & Nordic) linked by a volume coupling (ITVC organised by EMCC) - Sequential calculation approach - No common algorithm applied SINCE delivery date February 5 th Full coupling with GB - One single price coupling based on a single calculation - One single common algorithm EUPHEMIA - First implementation of PCR solution (PCR = Price Coupling of Regions) UG Plen. 20/03/2014 4

5 First results UG Plen. 20/03/2014 5

6 First results UG Plen. 20/03/2014 6

7 Post Go-Live Activities Testing & extensions : SWE (South West Europe) : May 2014? Italian Borders : end of 2014? CWE Flow Based Long Clock Changes UG Plen. 20/03/2014 7

8 CWE Flow-Based Market Coupling UG Plen. 20/03/2014 8

9 CWE FB MC Project Status Successful launch of daily parallel run publication on February, 24 th Bilateral meetings have been organized by the Project with MPs to discuss their needs in terms of transparency and data publication Planning has been updated and communicated during last PLEF UG Plen. 20/03/2014 9

10 CWE FB MC Project Planning Project partners foresee a readiness target date by the end of September but a contingency period is needed until end of November in case of unforeseen issues related to: MPs readiness IT system readiness and successful testing Appropriate management of interactions with other extension projects Availability of other NWE/SWE parties for testing Note: delivery of industrialized version by end of May has no impact on the FB method; it only includes technical changes and improvements for operators UG Plen. 20/03/

11 CWE FB MC: Feedback bilateral meetings with MPs CWE Project Partners have now a better understanding what is needed in order to support MPs as best as they can in the switch from ATC to FB Summary of discussion MPs main concern: predictability of prices over varying time horizons (from multi-yearly to daily) for asset management, maintenance planning, investment decision, trading activities Most promising identified measures to further support MPs and currently being investigated by the Project are: Anticipated (before LT adjustment) publication of FB parameters at 8 am (subject to technical feasibility) Provision of typical FBP matrices, on the basis of shared hypotheses with market parties Publication of fixed, anonymized CBs, 2 days ex-post Next steps General outcome of bilateral discussions and concrete proposals on above mentioned aspects will be presented to MPs during FBUG meeting in March UG Plen. 20/03/

12 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Price convergence External parallel run results Price convergence (= percentage of time with single CWE price) ATC FB FBI Week UG Plen. 20/03/

13 External parallel run results Yearly results for 2013 Welfare increase of 79M (307 days simulated of 365) for 2013 with an average daily gain of 257 K : Average baseload prices and price spreads: UG Plen. 20/03/

14 Cross-Border Intraday (N-WE+) UG Plen. 20/03/

15 High level overview of current status - Early Start Agreement (ESA) is in place Step 1 has commenced and resources have been mobilised within Deutsche Börse (DBAG), Power Exchanges (PXs) and Transmission System Operators (TSOs) This phase delivers: - The detailed project plan, - Details of the plan deliverables - The quality plan and approach on areas such as testing & change management - Cost recovery Letter of Cost Comfort from NRAs has been received by PXs and TSOs; it confirms 100% recovery of allowed costs subject to conditions. TSOs have confirmed their agreement to the PXs. - PXs Cooperation Agreement (PCA) Agreement has been reached between the PXs to enable the Agreement with DBAG to be signed - PX/TSO Joint Project Project Management Core Team established program management coordination reflecting the Joint Project, PXs and TSOs. Core team meets weekly and reviews high level issues and resolution. Joint Steering Group, Co-ordination Team and 4 Task Forces (Legal, IT, Pre & Post Coupling and Budget Management) are in place with members from both PXs and TSOs UG Plen. 20/03/

16 Joint Project Approach Design Local /regional Implementation projects (LIPs) Local /Regional Implementation Projects Roadmap interim Solution LIPs framework conditions satisfied Roadmap info from LIPs Common framework for pre- and postcoupling Follow-up/coordinate implementation of Interim Solution Coordinate Design and Development of Interim Solution (monitoring and directing) D&D contract Business Blueprint XBID Interim Solution delivered and accepted Project under ESA Project under contract UG Plen. 20/03/

17 High level PX project plan with DBAG ESA Signature Project under ESA Project under Contract ESA Step 1 ESA Step 2 Activi ties Project Planning (for ESA Step 2 onwards) Quality planning Design and Development Business Blueprint Development and infrastructure D&D Contract Negotiation FAT & IAT UAT Maintenance Contract Negotiation UG Plen. 20/03/

18 Legend Project Structure and interfaces NRAs / ACER / AESAG / Stakeholder Committee (to be defined) NWE + TSO Steering Committee NWE + TSO Coordination Team Monitoring Group TS O PM Intraday Steering Committee (ID SC) Core Tea m ID Coordination Team (ID CT) Task Forces PM O XBID PXs Steering Committee XBID PXs Project Team TSO group PXs group Joint TSOs & PXs group Contributes / monitors Reports Member IT Pre- and Post Coupling Legal Budget Mgt TSOs and PXs local Implementation TSOs and PXs Projects local Implementation TSOs and PXs Projects local Implementation Projects 18