General Provisions
Terms and conditions or methodologies
TSOs shall apply the following methodologies, any amendments thereof shall be subject to approval by the Agency for the Cooperation of Energy Regulators. The Articles mentioned below refer to Commission Regulation (EU) 2017/2195, links are provided to the respective approved methodologies:
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the frameworks for the establishment of the European platforms pursuant to Articles 20(1), 21(1) and 22(1) (mFRR, aFRR; Imbalance Netting);
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the modifications of the frameworks for the establishment of the European platforms pursuant to Articles 20(5) and 21(5);
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the standard products for balancing capacity pursuant to Article 25(2);
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the classification methodology for the activation purposes of balancing energy bids pursuant to Article 29(3);
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the assessment on the possible increase of the minimum volume of balancing energy bids that shall be forwarded to the European platforms pursuant to Article 29(11);
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the methodologies for pricing balancing energy and cross-zonal capacity used for the exchange of balancing energy or operating the imbalance netting process pursuant to Article 30(1) and (5);
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the harmonised methodology for the allocation process of cross-zonal capacity for the exchange of balancing capacity or sharing of reserves pursuant to Article 38(3);
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the methodology for a co-optimised allocation process of cross-zonal capacity pursuant to Article 40(1);
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the TSO-TSO settlement rules for the intended exchange of energy pursuant to Article 50(1);
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the harmonisation of the main features of imbalance settlement pursuant to Article 52(2);
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the framework, for the geographical area concerning all TSOs performing the reserve replacement process pursuant to Part IV of Regulation (EU) 2017/1485, for the establishment of the European platform for replacement reserves pursuant to Article 19(1);
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for the geographical area comprising all TSOs intentionally exchanging energy within the Continental Europe synchronous area, the TSO-TSO settlement rules for the intended exchange of energy pursuant to Article 50(3);
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for the Continental Europe synchronous area, the TSO-TSO settlement rules for the unintended exchange of energy pursuant to Article 51(1);
The proposals for the following terms and conditions or methodologies and any amendments thereof shall be subject to approval by all regulatory authorities of the concerned region:
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for the geographical area concerning two or more TSOs exchanging or mutually willing to exchange balancing capacity, the establishment of common and harmonised rules and process for the exchange and procurement of balancing capacity pursuant to Article 33(1);
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for the geographical area covering TSOs exchanging balancing capacity, the methodology for calculating the probability of available cross-zonal capacity after intraday cross-zonal gate closure time pursuant to Article 33(6);
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the exemption, for the geographical area in which the procurement of balancing capacity has taken place, for not allowing balancing service providers to transfer their obligations to provide balancing capacity;
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the application of a TSO-BSP model, in a geographical area comprising two or more TSOs pursuant to Article 35(1);
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the cross-zonal capacity calculation methodology for each capacity calculation region pursuant to Article 37(3);
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in a geographical area comprising two or more TSOs, the application of the allocation process of cross-zonal capacity for the exchange of balancing capacity or sharing of reserves pursuant to Article 38(1) (co-optimisation, market-based or economic efficiency);
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for the geographical area comprising two or more TSOs exchanging balancing capacity, the principles for balancing algorithms pursuant to Article 58(3).
The proposals for the following terms and conditions or methodologies and any amendments thereof shall be subject to approval by each regulatory authority of each concerned Contracting Party on a case-by-case basis:
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the exemption to publish information on offered prices of balancing energy or balancing capacity bids due to market abuse concerns pursuant to Article 12(4);
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where appropriate, the methodology for allocating costs resulting from actions taken by DSOs pursuant to Article 15(3);
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the terms and conditions related to balancing pursuant to Article 18;
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the definition and the use of specific products pursuant to Article 26(1);
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the limitation on the amount of bids that is forwarded to the European platforms pursuant to Article 29(10);
Where TSOs deciding on proposals for terms and conditions or methodologies that are subject to approval by all regulatory authorities in the concerned region are not able to reach an agreement, and where the regions concerned are composed of more than three Member States and/or Contracting Parties, they shall decide by two third majority voting. Where the concerned region is composed of three Member States and/or Contracting Parties or less the concerned TSOs shall decide based on consensus.
No later than six months after entry into force of this Regulation and for all scheduling areas of a Contracting Party, the TSOs of this Contracting Party shall develop a proposal regarding:
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the terms and conditions for balancing service providers;
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the terms and conditions for balance responsible parties.
The terms and conditions for balancing service providers shall contain:
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the rules for the determination of the volume of balancing energy to be settled with the balancing service provider pursuant to Article 45;
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the rules for the settlement of balancing service providers;
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a maximum period for the finalisation of the settlement of balancing energy with a balancing service provider for any given imbalance settlement period;
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the consequences in case of non-compliance with the terms and conditions applicable to balancing service providers.
Derogations
A regulatory authority in accordance with Article 59 of Directive (EU) 2019/944 may, at the request of a TSO or at its own initiative, grant the relevant TSOs a derogation from one or more provisions of this Regulation.
A TSO may request a derogation from the following requirements:
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the deadlines by which a TSO shall use the European platforms for replacement reserves, restoration reserves with manual activation, restoration reserves with automatic activation and for imbalance netting;
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the definition of the integrated scheduling process gate closure time in a central dispatching model and the possibility to change the integrated scheduling process bids;
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the maximum volume of cross-zonal capacity allocated on a market-based process or a process based an economic efficiency analysis;
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the harmonisation of the imbalance settlement period;
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the implementation of the requirements for settlement of balancing energy, settlement of exchanges of energy between TSOs, settlement of balancing capacity and imbalance settlement.
Where the relevant regulatory authority grants a derogation, it shall specify its duration. The derogation may be granted only once and for a maximum period of two years, except for the derogations from the provisions on maximum volume of cross-zonal capacity allocated on a market-based process or a process based an economic efficiency analysis and from harmonisation of the imbalance settlement period which may be granted until 1 January 2030.
