DK1-DE/LUMinimum capacities from Joint Declaration

1

Linette Linnemann Nielsen, Senior Economist

EXPORT CAPACITY FROM DK1 TO DE

2

0

10

20

30

40

50

60

70

jan-

2014

mar

-201

4

maj

-201

4

jul-

2014

sep-

2014

nov-

2014

jan-

2015

mar

-201

5

maj

-201

5

jul-

2015

sep-

2015

nov-

2015

jan-

2016

mar

-201

6

maj

-201

6

jul-

2016

sep-

2016

nov-

2016

jan-

2017

mar

-201

7

maj

-201

7

jul-

2017

sep-

2017

nov-

2017

jan-

2018

mar

-201

8

maj

-201

8

jul-

2018

% o

f N

TC

Export capacity

Joint Declaration is implemented

TSO WORKPLAN

Common Energinet and TenneT workplan is presented in 2015

The plan is continouslyupdated.

DG ENERGY DEVELOPMENT

As a response to NordEnergi’s letter, DG

Energy invited all involvedparties to a meeting in the

spring of 2016.

A follow-up meeting wasarranged in the fall of 2016.

POLITICALNEGOTAITION

The Danish Ministry of Energy, Utilities and Climate

and German Federal Ministry for Economic

Affairs and Energy negotiates a political agreement in 2017

Joint DeclarationIS A POLITICAL AGREEMENTWhich will secure more capacity for the electricitymarket

THE MINIMUM CAPACITY INCREASES OVER TIME

5

0

200

400

600

800

1000

1200

jul-17 aug-17 sep-17 okt-17 nov-17 2018 Q1 +Q2 2019

Q3 +Q4 2019

2020M

W in

eve

ry h

our

Minimum capacity

The capacity has to be secured in both import and export direction for every hour.

THE AMOUNT OF COUNTERTRADE

3/4/2017Aktørmøde DK1-DE, Erritsø 6

MWh

Day-ahead NTC

Minimum capacity

Time

Mwh for countertrade

If day-ahead prices are higher in Germany, and a full export flow from DK1. If flow decreases, the MWh for countertrade decreases.

MWh for countertrade

PHYSICAL CONGESTIONSARE COUNTERTRADED

7

7

Depending on the flow, Energinet and TenneT increase and decrease the power on either side of the congestion after the day-ahead market.

Energinet uses “special regulation” in DK1 and DK2.

TenneT uses the German intraday market.

REQUESTED COUNTERTRADED IN DK1

8

-

50 000

100 000

150 000

200 000

250 000

300 000

350 000

MW

h

Joint Declaration countertrade Regular countertrade

Regular countertrade is countertrade requested from TenneT, which is not related to the minimum capacities.

Energinet ensures transparency towards the market by publishing:

The amount of countertrade requested:https://energinet.dk/El/Nyheder-som-systemydelser/Data-for-specialregulering

Monthly average prices for countertrade:https://energinet.dk/El/Indkoeb-og-udbud-af-systemydelser/Pris-paa-reserver

The final impact assessment prepared by Energinet and TenneT:https://en.energinet.dk/About-our-news/News/2017/12/01/Energinet-and-TenneT-publish-final-impact-assessment-of-different-countertrade-models-for-DK1-DE

The solutionis a stronger gridAnd the short term solutions shallnever hinder this development

10

West coast lineUnder Planning

Expected in operation 2022East coast lineUnder constructionIn operation in 2020

Kriegers FlakUnder constructionIn operation in 2019

PLANNED GRID EXPANSIONS

LATEST DEVELOPMENTSIn the spring of 2018, the EU Commission Directorate General for Competition opened an investigation into German grid operator TenneT for limiting cross-border electricity capacity with Denmark.

At the same time the Commission invited comments on TenneT’s proposed commitments to increase cross-border capacity with Denmark.

The result form the consultation is still unknown.