International Frequency Containment Reserve (FCR) cooperation

Belgium joins the coupled German, Dutch, Swiss & Austrian markets

02.08.2016

APG, together with its TSO partners, announces the succesful go-live of the first common cross border FCR auction, including Belgian demand, held on the 26th of July for the delivery period of the first week of August. As announced via the previous joint market information in mid-June, the common cross border FCR auction now includes participation of German, Dutch, Swiss, Austrian and Belgian balancing service providers (BSPs). The Belgian BSPs can participate to the common FCR market via the German tendering platform . This common FCR market is the largest FCR market in Europe, with a total demand of +/- 800MW,which ismore than a quarter of the total demand of the synchrounous area. It is planned that the French & Danish TSO’s will also join in a later stage.


With Elia joining the international cross border FCR cooperation, the total Belgian FCR obligation (73MW in 2016) will now be auctioned on a weekly basis via both a national  and a cross border common auction (weekly variable volume of maximum 51MW). The FCR cooperation creates a more liquid market for the TSO demand side and unlocks new sales options to the participating BSPs. The FCR-obligations are shifted between countries while respecting the current & future ENTSO-E and European Network Code obligations. The FCR common market should result in a more efficient procurement of FCR and should at the same time reduce the risk of shortage in FCR supply for TSO’s, which increases overall system security.