Frequency containment reserves (FCR products)

Frequency Containment Reserve for Normal Operation (FCR-N) and Frequency Containment Reserve for Disturbances (FCR-D) are active power reserves that are automatically controlled based on the frequency deviation. Their purpose is to contain the frequency during normal operation and disturbances. FCR-N aims to keep the frequency within the standard frequency range of 49,9 Hz to 50,1 Hz. FCR-D aims to limit the frequency deviation to 49,5 Hz or 50,5 Hz when the frequency goes outside the standard range.

FCR-N is a symmetrical product that must be capable of both up- and downregulation. Upregulation means increasing power production or decreasing consumption. Downregulation means decreasing power production or increasing consumption. FCR-D is divided in separate up- and downregulation products.

The resources participating in the maintenance of FCR must meet the product-specific technical requirements. Compliance with the requirements must be demonstrated through prequalification tests before participating in the market. The activation of the reserve resources occurs automatically based on frequency measurement. Fingrid does not send a control signal in FCR.

Summary of the technical requirements for FCR products:

FCR product	Minimum bid size	Activation speed	Stability requirement
FCR-N	0.1 MW	Tested with sine wave tests in frequency domain In time domain approximately: ~ 63% / 1 min ~ 95% / 3 min with ±0.1 Hz step frequency change	In effect Tested with sine wave tests in frequency domain
FCR-D Up	1 MW	Power: 86 % / 7.5 s Energy: 3.2 x capacity* / 7.5 s with rapid frequency change from 49.9 Hz to 49.5 Hz	Dynamic FCR-D up: In effect Tested with sine wave tests in frequency domain Static FCR-D up: Not in effect
FCR-D Down	1 MW	Power: 86 % / 7.5 s Energy: 3.2 x capacity* / 7.5 s with rapid frequency change from 50.1 Hz to 50.5 Hz	Dynamic FCR-D down: In effect Tested with sine wave tests in frequency domain Static FCR-D down: Not in effect

*FCR-D can be either dynamic or static. Dynamic FCR-D regulates continuously over time and can also quickly reduce the activated reserve when the frequency deviation decreases. Static FCR-D cannot regulate continuously and requires more time to recover after activation.

Requirements for Limited Energy Reservoirs (LER):

Requirement	FCR-N	FCR-D Up	FCR-D Down
Energy requirement upwards (MWh)	1h x FCR-N capacity	1/3 h x FCR-D Up capacity	0
Energy requirement downwards (MWh)	1h x FCR-N capacity	0	1/3 h x FCR-D Down capacity
Power requirement upwards (MW)	+1.34 x FCR-N capacity	+ FCR-D Up capacity	+ 0.2 x FCR-D Down capacity
Power requirement downwards (MW)	-1.34 x FCR-N capacity	- 0.2 x FCR-D Up capacity	- FCR-D Down capacity

The complete technical requirements for FCR reserves are described in the document "Verification and Approval Process of Technical Requirements for Frequency Containment Reserves (FCR)" (see appendix 2 of the reserve agreement).

Fingrid procures FCR reserves on a market basis from national annual and hourly markets as well as from other Nordic countries.

A BSP can offer their controllable capacity located in Finland to the annual and/or hourly markets. Both markets have the same technical requirements, and both markets trade separately in FCR-N, FCR-D upward, and FCR-D downward. The principal differences between the annual and hourly markets are described in the table below.

Comparison of annual and hourly market:

Question	Annual market	Hourly market
When is it possible to participate?	The tender is held once a year (in autumn). It is not possible to join the reserve maintenance through the annual markets in the middle of the contract period.	A BSP can participate in the hourly markets once the technical requirements have been demonstrated through regulation tests, the conditions for operating in the market are met, and the FCR market agreement is signed. It is also possible to join the hourly markets in the middle of the year.
How are procurement quantities determined?	The amount according to the reserve plans is purchased in full by Fingrid.	Bids for the required amount are accepted by Fingrid in price order, starting from the cheapest.
When does it need to be known how much reserve can be maintained?	Reserve plans for the hours of the next day must be submitted by 18:00 on the previous day.	Bids for the hourly markets for the hours of the next day must be submitted by 18:30.
How much reserve capacity must be maintained?	The reserve approved for the annual markets must be maintained by the BSP within their available capacity.	A BSP can submit bids for their reserve capacity daily. A BSP with capacity approved in the annual markets can only participate in the hourly market for that FCR product if they have fully delivered the reserve amount according to the capacity approved in the annual markets.
How and when is the price determined?	In the annual market, the hourly price is fixed for the entire year. It is determined by the highest accepted bid in the annual market competition. All annual market participants are paid the same price (€/MW,h).	The hourly market price is determined separately for each hour based on the highest accepted bid. All hourly market participants are paid the same price for each hour (€/MW,h).

Details

Tuire Kujansuu
Specialist
tel. +358 30 395 4157

Taneli Leiskamo
Expert
tel. +358 30 395 5240

Elisa Alanen
Specialist
tel. +358 30 395 4369

Frequency containment reserves (FCR products)

Details

Attachments

See also