Knowledge

What is an energy-only market?

What is an energy-only market? You don't need to look far to find an energy-only market (EOM). Since power markets were liberalized in the late 1990s, the energy-only market has become a well-established market design in many European countries. In terms of the underlying concepts, an energy-only market is the opposite of a capacity market. More… (Published: 2. May 2018 by Christian Sperling)
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Balancing markets

Balancing markets In real-time, the BRPs might face imbalances. These imbalances are calculated for the settlement periods which is a quarter of an hour in Belgium. This means that their net quarter-hourly sum of injection, off-take and power exchange trade in the balancing group, differs from the nominated value. The grid operator will resolve these More… (Published: 28. July 2016 by adminbe)
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Power market players

Power market players The liberalized electricity system is one of many parties, that need to work together and at the same time all aim to be profitable companies. An overview of the most important players in our current system is given below. Player Function (short) Function in the unbundled European energy system (long) Examples for More… (Published: 28. July 2016 by adminbe)
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Virtual Power Plant

Virtual Power Plant A Virtual Power Plant is a pooled set of decentralized units in a power network. They are operated by a common, centralized control system. The units can be power producers (such as biogas, wind, solar, CHP, or hydro power plants), power consumers, power storage units, and power-to-X plants (power-to-gas, power-to-heat). The Virtual More… (Published: 28. July 2016 by adminbe)
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Value of flexibility

Increasing value of flexibility Flexibility is the ability to increase or reduce the production of power plants or the consumption of demand processes. It is a valuable good in today’s energy markets and many expect that it will become even more so in the future. There are two major assumptions supporting this expectation: overall demand More… (Published: 28. July 2016 by adminbe)
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Merit order curve

Merit order curve Power exchange markets are operated by a middleman to whom generators and consumers submit their bids. In Belgium, the intermediate party for both the day-ahead and the intra-day market is EPEX Spot Belgium. As discussed in the section on energy markets, the day ahead market is a power exchange market, while the More… (Published: 28. July 2016 by adminbe)
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BRPs and imbalances

The role of the BRP The responsibility for maintaining the instantaneous balance between generation and consumption lies with the transmission system operator. It has to assure that the control area they are responsible for is in balance. In Belgium there is only one control zone that is covering the whole country and is overlooked by More… (Published: 28. July 2016 by adminbe)
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Market types

Types of electricity markets Electricity markets can not only be distinguished based on time, but also regarding their properties. There are three common types of markets: power exchange, over-the-counter (OTC) and an organized OTC which is cleared continuously. Power Exchanges Power Exchanges are used for anonymous and transparent trading. A multilateral trading platform is set More… (Published: 28. July 2016 by adminbe)
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Consecutive markets

Consecutive electricity markets Electricity is one of the most versatile forms of energy. It can be used to produce light, heat and mechanical power in an efficient way. It is very different from other energy commodities due to the fact that electricity can still not be stored cost-efficiently. This means that in our power system More… (Published: 28. July 2016 by adminbe)
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The European market

From a regulated to a competitive market Electricity travels a long way from the place where it is generated to where it is consumed. In the current European electricity system, the different stages of in power provision are split up. There are the generation companies who take care of the production of electricity in their More… (Published: 28. July 2016 by adminbe)
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