News & events

2017-11-30

Baltic TSOs launch a common Baltic balancing market from 2018

With the approval of the Baltic Energy Market Interconnection Plan (BEMIP) in 2009, the Baltic countries agreed to work jointly towards opening, liberalizing and harmonizing electricity market as well as creation of a common balancing market and harmonized imbalance settlement and imbalance pricing. ENTSO-E, following the requirements set in Regulation 714/2009 concerning common rules for the internal market in electricity, has developed the Commission Regulation (EU) 2017/2195 of 23 November 2017 establishing a guideline on electricity balancing which, foresees different requirements and activities supporting the objective to develop a more efficient regional cooperation which shall result in a single integrated European electricity balancing market.
 
As the first step towards this ambitious goal, the Baltic TSOs (Elering AS, AS “Augstsprieguma tīkls” and LITGRID AB), based on previously made studies and continuous work, have agreed to cooperate in coordinated balancing area and will launch a common Baltic balancing market starting from the 1st January 2018. The objective of the common Baltic balancing market is to establish the same rules and principles for all balancing related activities while stimulating competition and, at the same time, paving the way towards equal treatment of each market participant regardless of the country it operates or resides in, therefore facilitating the overall cost-efficiency and leading to higher consumer welfare.
 
In order to achieve the level playing field for the participants of the Baltic balancing market, and to fulfil the requirements of the guideline on electricity balancing, the Baltic TSOs have agreed on harmonized Baltic balancing market rules for balance service providers and imbalance settlement for balance responsible parties. The detailed information regarding the Baltic balancing market framework and imbalance settlement principles can be found in the attached documents, which are public annexes of Baltic TSOs’ Agreement on the operation and settlement of the Baltic coordinated balancing area:
 
          
The Baltic TSOs would like to inform that Baltic national regulatory authorities have expressed support to the implementation of the common Baltic balancing market. However due to relevant upcoming amendments in national laws and regulations, and different public consultation processes in each Baltic State, the attached documents are subject of the final approval and might be adjusted during December 2017 as a result of the national implementation processes.
 
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