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IG meeting, December 5 th , 2012, DERA premises, Copenhagen

IG meeting, December 5 th , 2012, DERA premises, Copenhagen. NWE Day Ahead Price Coupling Further clarifications on the algorithm. Ramping Constraints. The algorithm can handle following ramping constraints Line ramping: max changes on one line from one hour to the next hour

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IG meeting, December 5 th , 2012, DERA premises, Copenhagen

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  1. IG meeting, December 5th, 2012, DERA premises, Copenhagen NWE Day Ahead Price Coupling Further clarifications on the algorithm

  2. RampingConstraints • The algorithm can handle following ramping constraints • Line ramping: • max changes on one line from one hour to the next hour • Cumulative flow ramping (new feature): • Limit the flow change from one hour to the next on a set of lines. • Net position ramping (implemented, not in production yet): • Limit the change in net position from one hour to the next hour

  3. Line Ramping • Ramping constraint is an instrument of system operation to maintain system security (frequency management purposes). • This sets the maximum change in DC flows (Max MW/h per interconnector) on an hour to hour basis • Daily implicit allocations are expected to utilize DC capacity more fully (due to daily price differences), thereby causing greater and more frequent hour to hour variations in flow • ENTSO-E report on handling of ramping constraints: http://www.statnett.no/Documents/Nyheter_og_media/Nyhetsarkiv/2010/Ramping%20report.pdf

  4. Minimum stable flow • The issue has been presented to ACER 21. June where it was stated that this is a difficult requirement which has been submitted to R&D investigation • It will not be implemented by PCR/NWE launch

  5. Avoidanceofcurtailment by local matching • Local Matching Constraint (LMC) is used in markets where the two following notions are considered: • Price Taking Orders (PTOs) i.e. hourly orders at minimum or maximum price; • Curtailment: defined as the situation when not every PTO can be executed; • LMC aims at limiting curtailment and imposes the following (supply LMC below; demand LMC is symmetrical): • If demand quantity is sufficient, supply PTO must be entirely executed • If demand quantity is not sufficient, supply PTO is executed as much as possible Additional information was presented to ACER 21. June

  6. Handling ofpricedifferences • The algorithm can support different price bounds on different markets.

  7. NRAs questions • For information, a set of 27 additional questions requesting further information on the algorithm has been sent to PCR PXs by Markus Hübner on 12/11. • Answers are beeing prepared.

  8. Backup slide : Ramping on Nordic DC interconnectors • Constraints on hour to hour changes of DC flows • Max 600 MW/h per interconnector (3000 MW for all Nordic interconnectors to the Continental Europe) • Ramping constraint is an instrument of system operation to maintain system security. • Evaluated to have low social costs compared to alternatives so far. • TSOs are investigating alternatives for the future: • Shorter time resolution (quarterly production plans) • Load frequency control • More efficient activation procedure of reserves • Cumulative ramping • ENTSO-E report on handling of ramping constraints: http://www.statnett.no/Documents/Nyheter_og_media/Nyhetsarkiv/2010/Ramping%20report.pdf

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