Regional market development through TSO cooperation is, in combination with the network codes, essential to the timely realisation of the benefits that the Internal Energy Market (IEM) will bring to Europe. These regional projects build on solutions defined in the network codes and facilitate learning from the implementation of these solutions.
ENTSO-E enhances regional coordination by working in close cooperation with all TSOs, to facilitate the exchange of information and expertise among TSOs across regions, as well as ensuring consistency between them.
The maps below illustrate the growth towards the coupling of European day-ahead electricity markets. The journey started as voluntary projects in some Member States.
The CACM Regulation sets the rules for a coordinated European day-ahead and intraday markets that allows market participants to trade up to at least one hour before real-time. In February 2015 the Italian-Austrian, Italian-French and Italian-Slovenian borders have been coupled to the already coupled large Northwestern/Southwestern European day-ahead market with the Multi-Regional Coupling (MRC), thus linking the majority of EU power markets - from Finland to Portugal and Slovenia. In May 2015 the central west Europe area (France, Germany and Benelux) switched to a flow-based model, allowing for increased price convergence.
The Central-West Europe (CWE) project to introduce flow-based (FB) capacity calculation into the highly meshed region went live on 20 May 2015. The nine parties involved include TSOs from France, Belgium, Luxembourg, Germany and the Netherlands, and two power exchanges.
The sixteen transmission system operators of the Central Western Europe and Central Eastern Europe capacity calculation regions (CCRs) signed a memorandum of understanding (MoU) on 3 March 2016 to develop a common day-ahead flow-based capacity calculation methodology and merge the two regions into one
Read our Press release
Read the Memorandum
Cross border Intraday Market project
The Regulation No 2015/1222 on Capacity Allocation and Congestion Management (CACM) defines the rules for a continuous intraday market that allows market participants to trade up to at least one hour before real-time. Coupling national intraday markets will increase intraday liquidity, benefiting market players and facilitating RES integration.
To help realise this goal TSOs from 12 countries, along with power exchanges (PXs), have launched the cross border Intraday (XBID) Market Project will enable the creation of a joint integrated intraday cross-zonal market. The overarching objective of the XBID solution is to create one integrated European intraday market.
This single intraday cross-zonal market solution will be based on a common IT system forming the backbone of the European solution, linking the local trading systems operated by the PXs as well as the available cross-zonal transmission capacity provided by the TSOs. Bids and offers submitted by market participants in one country can be matched by those submitted by market participants in any other country within the IT systems’ reach, provided there is cross-zonal capacity available.
The intraday solution supports both explicit and implicit continuous trading and is in line with the EU Target Model for an integrated cross-zonal intraday market.