Study Evolution to paid as cleared for the settlement of activated balancing energy
Elia performed a study regarding the pricing methodology used for the settlement of activated balancing energy. In this study, an assessment is made of the advantages and disadvantages regarding an evolution to a “paid-as-cleared” methodology earlier than what is required by European legislation, including a possible implementation planning and Cost-Benefit-Analysis.
The results of the study were presented to the market during an ad-hoc meeting of the Working Group Balancing and a public consultation was organized between October 23th and November 20th 2017. Where applicable, the final version of study has been adapted to incorporate the stakeholders’ feedbacks.
In brief the study’s conclusion is that a very high-level preliminary assessment leads to possible go-live of the new pricing methodology at the earliest in the second half of 2019 for mFRR and at earliest during 2020 for aFRR on condition of having sufficient liquidity in the concerned market. This is subject to a refined analysis and detailed project plans, notably taking into account the detailed design elements as well as the other priorities set by ELIA, CREG and other stakeholders.
The final version of the study can be found here.