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Balancing code early implementation: TSOs consult on the TERRE pilot project

Published: 07/03/2016


​​​​​​​​The Electricity Balancing network code is still under discussion and should be put to vote in 2016. As with other network codes, transmission system operators are engaged in projects that are implementing already some of the objectives of the future EU regulation on electricity balancing. One of these projects is called TERRE: Trans European Replacement Reserves Exchange.

TERRE is about setting up and operating a multi-TSO platform capable of gathering all the offers for Replacement Reserves (RR) and to optimise the allocation of RR across the systems of the different TSOs involved. It is moving towards cross-national exchange of RR.

Operating reserves are used to correct a system imbalance. In some systems, TSOs are required to procure Replacement Reserves. These reserves are used to restore the required level of operating reserves to be prepared for a further system imbalance.

The TERRE early implementation project will help gather experience and knowledge which will then contribute to the implementation, at European level, of the target model for cross-border electricity balancing as identified in the draft electricity balancing network code.

Two TSOs in Great Britain, the TSOs from France, Spain, Portugal, Italy, Switzerland and Greece are active partners. Two others, one from Ireland and one from Northern Ireland are observers.

The TERRE project partners are launching a public consultation from 7 March to 1 April 2016. They are seeking market participants’ views on detailed design options and proposed choices to be implemented in the next phase of the project.

The consultation document presents detailed results of the design of TERRE (Product and Imbalance Need, Balancing Common Merit Order List and Algorithm, Settlement, Cost Benefit Analysis, Timings) as well as details on TERRE expected platform, Governance, Transparency, Harmonization and Project planning for Implementation phase.

Stakeholders are invited to give their views on the ENTSO-E’s consultation platform.

Give your views →​