18.2.2020 08:32
Electricity Market

Fast Frequency Reserve market opens in May

The Nordic Transmission System Operators will introduce a new reserve product, Fast Frequency Reserve (FFR), in May 2020 to handle low inertia situations. Fingrid will open a national market for Fast Frequency Reserve. Reserve providers interested in participating in the FFR market are requested to contact the contact persons listed at the end of this article.

Operating conditions with low inertia have become more frequent in the Nordic power system and at times the inertia is so low that the current reserve products alone are not sufficiently fast to handle a large disturbance in electricity generation. Due to this, the Nordic Transmission System Operators are implementing Fast Frequency Reserve. The needed amount of FFR will depend on the amount of power system inertia. Fingrid will procure 20 % of the total amount of FFR needed in the Nordic power system. Fingrid will open a market for FFR in May.

Fingrid organized a public hearing for the terms and requirements for FFR provision at the end of 2019. Based on the feedback received, Fingrid has finalized below attached documents Terms and conditions for providers of Fast Frequency Reserve (FFR) and The technical requirements and the prequalification process of Fast Frequency Reserve (FFR). Fingrid has submitted the terms and conditions of FFR to Energy Authority for approval.

A reserve provider can participate in the FFR market after signing a FFR market agreement. Participation in the market requires demonstration of fulfillment of technical requirements set for FFR by means of a prequalification test. Prequalification tests can now be performed by following the process described in the technical requirements. On prequalification tests and participation in the FFR markets, Fingrid encourages interested reserve providers to contact below mentioned contact persons.

In case FFR is not yet needed in May due to high enough system inertia, Fingrid plans to carry out test procurement in order to test the market processes.

Click for more information on Fast Frequency Reserve.

Further information:

Mikko Kuivaniemi, Fingrid, mikko.kuivaniemi[at]fingrid.fi, tel. +358 30 395 5188

Pia Ruokolainen Fingrid, pia.ruokolainen[at]fingrid.fi, tel. +358 30 395 5105

Anders Lundberg, Fingrid, anders.lundberg[at]fingrid.fi, tel. +358  30 395 4171

Attachments:

Terms and conditions for providers of Fast Frequency Reserve (FFR)

The technical requirements and the prequalification process of Fast Frequency Reserve (FFR)

Fast Frequency Reserve is typically needed when the inertia of the power system decreases approximately below 150 GWs. Fast Frequency Reserve is procured only for the hours when it is needed. The procurement need depends on the inertia of the power system and the size of the reference incident. FFR will be procured based on forecasted inertia and the procured amount varies according to the forecasted inertia. The real-time value of inertia is available at Fingrid Online and historical values can be accessed on Fingrid’s webpage.