18.12.2013 11:15
Current News, Electricity Market, Power System

Closer to a Nordic balance settlement

With the establishment of the joint service company eSett Oy, the Transmission System Operator Fingrid, Statnett and Svenska Kraftnät have taken a big step towards the establishment of a Nordic balance settlement. The new company has the objective of providing balance settlement services to participants of electricity markets in Finland, Norway and Sweden from the second half of 2015 dependent on regulatory changes and a subsequent preparation period for the market players. The company aims to lower the entry barriers for the market parties in Finland, Norway and Sweden through equal and shared settlement rules. This will increase competition in the electricity markets in these countries, reduce long term costs for the market parties and pave the way for the establishment of a Nordic end-user market.
Before the settlement operation starts in 2015, eSett will concentrate on building the required processes and technology for settlement operations. On the 2nd of December 2013, the company signed a contract with Unicorn Systems a.s. (established in the Czech Republic) to deliver the IT settlement solution and the basic IT infrastructure for the company such as billing and accounting systems and messaging service.

The company will be based in Helsinki, and Minnakaisa Ahonen from Fingrid has been nominated as CEO for the company.

-We are pleased to take this big and important step towards an important milestone in the establishment of a common Nordic end-user market, says Vice President Ole Jacob Høyland. –We firmly believe this will contribute towards a more competitive and well-functioning cross-border market.

For more information, please contact:
CEO Minnakaisa Ahonen, tel +358 30 395 5257
 
Statnett: Ole Jacob Høyland,  tel +47 909 86719,
Fingrid: Juha Kekkonen, tel. +358 30 395 5120,
Svenska Kraftnät: Tania Pinzon, tel +46(0)8-475 82 88

Balance Settlement
The purpose of balance settlement is to establish economical balance in the electricity market. Power balances are calculated hourly for each balance responsible party based on plans/trades and consumption/production. Each party is financially responsible for the imbalances, if the actual outcome differs from what has been planned.