In its progress report on the integration of the EU wholesale electricity market, the Agency for the Cooperation of Energy Regulators (ACER) said on Wednesday 5 November that price volatility persists, underlining the need for greater flexibility and faster market integration.
The Agency believes that accelerated investment is needed in demand management, storage and back-up generation to reduce consumers’ exposure to price peaks.
It also recommends speeding up the completion of delayed cross-border projects to ensure the rapid completion of interconnections.
Other points include ensuring greater participation by Transmission System Operators (TSOs) in balancing platforms, and encouraging “well-designed” PPAs and contracts for difference (CfDs) to provide reliable price signals and support investment.
Lastly, ACER advocates a structural transition towards capacity allocation based on flows on the intraday markets, “to ensure efficient capacity use and reduce congestion-related costs”.
To see the report: https://aeur.eu/f/jb4 (Pauline Denys)