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TSO-DSO RELATIONS IN THE
FUTURE EUROPEAN POWER
SYSTEM
Carlo SABELLI
GO 15 San Francisco April 13
2016
42 TSOs in ENTSO-E the European Network for Transmission System
Operators for Electricity
42
TSOs
from 35 countries
600
million
citizens served
900
GW
generation managed
310
Thousand Km
of transmission lines
Grid Development
Operational
Planning
Ten-Year
Network
Development
Plans (TYNDP)
Adequacy
forecasts
Innovation
Market
Regulation
R&D plans
Tools for
Market
Integration
Network Codes
https://www.entsoe.eu/
The Third Internal Energy Market Package
Third Internal
Energy Market
Package
Third IEM Package
Directive 2009/72/EC on common
rules for the internal market in
electricity
Electricity Directive)
Regulation (EC) No. 713/2009
establishing an Agency for the
Cooperation of Energy Regulators
ACER
Regulation (EC) No. 714/2009 on
conditions for access to the network
for cross-border exchanges in
electricity
ENTSO-E
ENTSOE-E: TSO Association with Institutional duties
Directive 2009/73/EC on common
rules for the internal market in
natural gas
Gas Directive
Regulation (EC) No. 715/2009 on
conditions for access to the natural
gas transmission networks
ENTSOG
Forecast 2015-2030 (the global system view)
Power flows fluctuation
across EUROPE
Load 530
Load from 530 to 574 GW
The GENRATION MIX and the FLEXIBILITY
TYNDP 2016 vision 4
Source: ENTSO-E
Page 4
Renewable energy and more active consumers
Thousands of small
(embedded) units
(embedded)
Active consumers
Source of data
Active Distribution
Systems
Resources are in the Distribution Systems
The participation to the Market is key
Challenges TSO and System stability, Resource variability, power flow control, Integrating
DSO in common
demand side resources, Managing data, Empowering consumers,
Unlocking flexibility, optimize storage.
Changing our power system needs enhanced TSO-DSO coordination
Page 5
4 DSO Associations (more than 2500 DSOs) and ENTSO-E launched a TSODSO platform in 2015
(Observer)
2525
DSO
223
DSO >100k Clients
DSO < 100k Clients 2302
Different Grids
Different Models
•Joint workshops to tackle the
key issues
•Joint project team on data
management
•Cooperation in innovation
initiatives
•Associations have taken
turns in hosting
Cooperation Agreement
Initiative completed by internal ENTSO-E
internal project “TSO-DSO Wholesale –
Retail interface”
Page 6
Enhancing TSO/DSO cooperation
• Ensuring consistency
between wholesale and
retail market
• Unlocking DSR potential
• One single market
Market
• Defining data needs to
fulfil regulated tasks
• Using existing standard
developed at European
level (CIM format)
• Defining IT architecture
for data management
Data
Operation
Planning
• Defining solutions for
observability &
controllability
• Active power management
actions impacting balancing
and congestion in
transmission should be
overseen by TSOs
• Redefine roles of TSOs and
DSOs
• Enhancing the information
exchange for planning
• Coordinating the
assessment of connection
capacity
Page 7
Key issues for the TSO-DSO platform and cooperative approach
Roles and
responsibilities
Empowering
consumers
Balancing
Data
management
Network
planning
Active and
reactive power
management
Voltage control
Flexibility
Data handling
Planning
• Workshop held on 14
January
Reactive
• Workshop held on 20
January
power
management
Roles and
responsibilities
Congestion
management
• Project team was launched
on data management
• Deliverable :
recommendations to EC by
Q2 2016
• Workshops in 2015 resulted in
joint paper:
• General Guidelines for
Reinforcing the cooperation
between TSOs And DSOs
Page 8
Example of TSO/DSO cooperation : Balancing
•
TSOs might increasingly need to make use of flexibility on the distribution grid to
reduce imbalances.
•
Flexibility activation can cause congestions (active power and voltage) within the
distribution grid.
•
In order to prevent these congestions, close coordination between TSO/DSO is
required:
Long-Medium term
•Assess network capacity
regarding flexibility pools
•Inform the Balancing
Service Providers of
possible limitations due to
network constraints
Day-ahead/Intraday
Close to real time
• Assess network capacity
regarding balancing
offers
• Close coordination in
handling offers that might
cause congestions
• Close coordination on
activating offers that
might cause congestions
• Several options are
possible for implementing
this step
Page 9
The EB GL defines elements and processes to be
harmonised for integrated European balancing
markets:
•Two-step approach to European Balancing market via
Coordinated Balancing Areas
•Four processes (IN, aFRR, mFRR, RR)
•Standard Products
•Reservation of cross zonal capacity
•TSO-TSO model for procurement of balancing services
•Single Common Merit Order List
•Settlement
Integrated
Balancing
Markets
Effective Price
Signals
System
Resilience
IN, = Inbalance Netting; aFRR,= Automatic Frequency RestorationReserve
mFRR= Manual Frequency Restoration Reserve , RR= Reserve Replacement
(*) one of the EU Grid Codes
• Prices should reflect power system scarcities and
cost-relevant factors such as adequacy, resilience
and location.
• Member States to avoid legal price caps to and to
promote acceptance of scarcity pricing in all
markets
• EC to introduce balance responsibility for RES and
remove mandatory priority dispatch
• ENTSO-E and ACER to propose new AS and system
services markets (e.g. reactive power, transient and
dynamic stability, inertia, etc.) to keep the power
system stable and reliable at all times
• Enable RES participation to provide balancing and
ancillary services compatibly with system needs,
product specifications
Market Design Initiative
Balancing Guideline
Balancing markets: Market Design Initiative should complement, not overlap
with, the Balancing Guidelines (*)
Page 10
Effective day-ahead and intraday markets for RES integration
Full and timely implementation of the Capacity Allocation and Congestion
Management guidelines (CACM)
Ensure customers are free to access all relevant markets and enable aggregators’
participation
ACER and the National regulatory agencies should put full financial balance responsibility on
all market participants to expose market parties to system adequacy price signals
ID Gate Cloure Time should allow market participants’ to adjust their schedules as closely as
possible to real time while respecting the time required for guaranteeing system security
To improve the investment signal while mitigating the risks for market participants, new risk
hedging products should be introduced
Page 11