ACER’s monitoring finds much at stake as grid operators are still far off making 70% transmission capacity available for cross-zonal electricity trade

ACER’s monitoring report shows grid operators are falling well short of the EU’s mandated target of making 70% of cross-zonal transmission capacity available for electricity trading with neighboring countries by the end of 2025. This target holds immense importance as it serves as a linchpin for achieving essential energy goals. The report underscores that this capacity is vital for bolstering security of supply, mitigating price fluctuations, and facilitating the flexibility required by a dynamic energy market, particularly for integrating renewable energy sources.
The report delves into a comprehensive assessment of the progress, barriers, and implications related to cross-zonal capacity. It advocates for a more efficient utilization of existing infrastructure to realize the 70% target, emphasizing the potential benefits of this optimization. However, it acknowledges that attaining this goal is fraught with challenges and trade-offs, necessitating careful consideration.
In terms of potential solutions, the report highlights several avenues. One approach is expedient grid investment, targeting reinforcement of the grid where congestion occurs, which can enhance commercial cross-zonal capacity at specific locations. Additionally, strategic bidding zone reviews are suggested to address situations where achieving the 70% target is not feasible or cost-efficient. Remedial actions, both costly and non-costly, such as redispatching and countertrading, are presented as means to improve capacity. The deployment of advanced flow-based capacity calculation methods is also recommended, particularly in large, interconnected coordination areas.
ACER is actively seeking input from stakeholders by inviting feedback on the report’s findings through a public consultation until 15 September 2023. Furthermore, ACER plans to host a webinar on 6 September 2023 to discuss the report’s conclusions alongside the recently published Emergency Measures report. The insights gained from these interactions will culminate in a formal opinion, which will be submitted to the EC and EP by the end of the year.
The report serves as a clarion call for collaborative efforts to enhance cross-zonal capacity, highlighting the pivotal role it plays in realizing the EU’s ambitious energy objectives. It underscores the necessity of a concerted approach to surmount challenges, ensure robust energy trading, and propel the continent towards a more sustainable energy future.