Offered reserve capacity used for other purposes

TenneT has established a single-buyer market for regulating and reserve capacity in order to perform its tasks in the area of transmission and system services. On this single-buyer market, market parties can offer regulating or reserve capacity to TenneT. This concerns surplus capacity that market parties produce over or consume under the volumes reported in their E Programmes.

TenneT uses this reserve capacity to resolve transmission restriction and to provide assistance to other countries.

Context

• The Grid Code contains stipulations regarding the compulsory and voluntary provision (by means of bids) of regulating and reserve capacity to TenneT.
• The Implementation Regulations describe the procedures and the specifications that bids must meet, as well as the calculation method for the settlement price.
• The Grid Code and the System Code also contain provisions regulating the use of bids by TenneT. 

Explanation

• A bid for reserve capacity for other purposes states the conditions (minimum dispatch time, minimum dispatch duration and price) under which the market party is willing to let TenneT enter into a transaction with said market party for the volume of capacity on offer. The transaction volume is settled with the bidder at the bid price.
• The transaction volume is corrected on the imbalance of the market party’s PRP. 

The volume calculation is based on:

• The volume of the bid in MW 

The direction (+/-) of the bid: 

• Upward adjustment (+): the supplier wants to produce more or consume less
• Downward adjustment (-): the supplier wants to produce less or consume more 
• Duration of the transaction 

TenneT TSO enters into transactions based on the volume of offered reserve capacity for other purposes, in each direction according to the demand and in bid price order. 

The data are shown per day, per Programme Time Unit (PTU) and per direction:

• Offered reserve capacity
• Available reserve capacity 

The settled volumes of reserve capacity for other purposes are listed here:

• Volumes of settled reserve capacity used for other purposes 

The following documents offer a more detailed explanation:

• aFRR documents