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A step towards an internal electricity market


The European Commission is pushing for a power market integration roadmap as part of the implementation of the third liberalisation package. The third liberalisation package, adopted in April this year, aims to establish a fairer electricity market in Europe. The roadmap would be based on a regional electricity market model and include a concrete action plan for regional integration, including the different electricity markets and capacity calculation. The target model covers forward, day-ahead, intraday and balancing markets as well as capacity calculation and governance issues. The Commission would like to have the roadmap ready during the so-called interim period up to 2011; the first outline could be presented by the end of this year .

There is a broad consensus amongst relevant stakeholders on most of the issues relating to the internal electricity market. Most importantly, they generall agree that compatible day-ahead and intraday regimes will deliver a significant majority of the benefits of the internal electricity market by providing competitive prices, as well as secure supply, through efficient utilisation of the power system.

The Commission has also welcomed the creation of the new working group of electricity regulators (organised by ERGEG) dedicated to regional initiatives. This working group will aim to achieve better coordination between regions by more actively comparing the different types of work being carried out.

Furthermore, the Commission will cast a critical eye on the deliverables of the newly established European Network of Transmission System Operators for Electricity (ENTSO-E), stressing that the 2020 renewables targets should be a central parameter for the first 10 year electricity network development plan. As part of its first draft work programme in 2009-2010, ENTSO-E also proposes to develop a ‘pilot code’ that will cover the harmonisation of European cross-border grid code requirements for wind generation.

These announcements were all made at the most recent European Electricity Regulatory Forum, held in Florence, Italy, on 4 and 5 June. The Forum serves as a regular discussion on practical steps towards the implementation of the 3 rd liberalisation package. Participants included European Commission officials, national government representatives, electricity regulators and electricity trading associations.

For more information: http://ec.europa.eu/energy/gas_electricity/forum_electricity_florence_en.htm


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