Pilot for a smaller bid size in balancing energy market
Fingrid is planning a pilot for a smaller minimum bid size in the balancing energy market (mFRR). The aim is to ease participation to the balancing energy market and increase flexibility in the electricity system. The pilot is likely to start after summer and continue for six months.
Fingrid, together with other Nordic transmission system operators, is planning a pilot for decreasing the minimum bid size of mFRR from the current five megawatts to one. The smaller minimum bid size is an important step to lower the entry barrier to the balancing energy market. The smaller bid size also enables a more efficient use of distributed flexibilities to balancing of the power system.
The Nordic transmission system operators consider piloting of the smaller bid size as a smooth transition towards the European balancing energy markets, since the minimum bid size of the European balancing energy market is on megawatt.
The plan is to open the pilot for all interested balancing service providers. The participants could place one smaller bid per hour given that electronic activation is used. The pilot is likely to start after summer and continue at least for six months. If pilot experiences are positive, the aim is to take the one megawatt minimum bid size as a permanent practice.
The pilot requires an approval from the regulator. We will inform more about the pilot later.
Heidi Uimonen, Fingrid, specialist, market solutions, tel. +358 30 395 4143
Otso-Ville Rinne, Fingrid, specialist, system operation development, tel. +358 30 395 4142