1503-44 said:
How would the Swedish electricity market respond when enough power cannot be provided to meet demand? <assuming interconnections at borders are closed off, I.e. supply is finite, demand is effectively infinite.>
I am not shore if this answers your question..
Svenska kraftnät provides a fixed remuneration for the resources in accordance with the agreement entered into.
Upon activation, variable compensation is paid.
The costs for power reserves are paid through an additional fee on the consumption of companies responsible for the balance, excluding network losses in networks subject to concession.
The additional fee is charged weekdays between 06 - 22 during the period 16 November - 15 March.
The additional fee is charged to finance Svenska kraftnät's procurement and management of the power reserve.
How does it work when the power reserve is activated in the regulating power market?
To avoid power shortages in the electrical system, the power reserve can be activated for the power balance.
Activation and deactivation of bids takes place by Svenska kraftnät calling the contact specified by the plant owner.
It can be, for example, a balance manager or an operations center.
The offer can be activated and deactivated by Svenska kraftnät during the entire delivery hour.
The management is based on the guidelines that the Nordic system operators transmission network companies have jointly developed:
"Guidelines for implementation of transitional peak load arrangements"
The power reserve is called up only after all commercial bids have been accepted.
Power reserve and the day before market
The power reserve is put into Nord Pool by Svenska kraftnät and it is only called off if there is a risk of shortening.
Today, only Fingrid in Finland and Svenska kraftnät in Sweden procure power reserves for cold winters in the Nordic countries.
How is the production part of the power reserve priced on the day before the market?
When activating the power reserve at Nord Pool, the power reserve price is set at the ceiling price at Nord Pool, which is 3000 Euro / MWh.
Best Regard A
“Logic will get you from A to Z; imagination will get you everywhere.“
Albert Einstein