22.12.2021 08:42
Current News, Electricity Market

Procurement of FCR-D downwards reserve starts

FCR-D downwards (Frequency Containment Reserve for Disturbances Downwards) will be implemented in the Nordic power system on 1.1.2022. With the implementation of the new reserve product, Frequency Containment Reserve for Disturbances will be procured through markets also for downwards regulation in case of overfrequency disturbances.

Fingrid’s target volume for procurement of FCR-D downwards is 92 MW in the beginning of 2022. For the second half of the year Fingrid aims to increase the procurement volume. The Nordic transmission system operators have agreed that procurement volumes will be gradually increased depending on the development of available volumes on the markets, until the need for FCR-D downwards can be fully covered through market-based procurement. The needed volume in the Nordics can be 1400 MW at most, of which Fingrid’s share is approximately 20 % (280 MW).

Fingrid procures FCR-D downwards from yearly and hourly markets. In addition, trade with other Nordic countries is possible. For the year 2022 Fingrid has contracted 114 MW of FCR-D downwards at the price of 10,00 EUR/MW,h in the yearly market. The contracted volume is the maximum volume of reserve that Fingrid can ensure through the yearly market. The reserve providers confirm daily their available volumes for each hour of the next day. In addition to the reserve available in the yearly market, if needed Fingrid procures more reserve from the hourly market or from other Nordic countries up to 92 MW at most.

When the procurement starts, market information will be available at the Open data -service. For FCR-D downwards the following information will be published: sum of yearly market plans, procured volume on the hourly market, hourly market price, sum of bids on the hourly market and netted volume of foreign trade.

Read more about Frequency Containment Reserves >>

More information:
Pia Ruokolainen, Fingrid Oyj

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