Day-ahead and Intraday

The mandate of the Nordic CCM project is to develop a Nordic Capacity Calculation Methodology (CCM) in line with the requirements laid down in the CACM GL for both the DA and ID market timeframes.

Timeline of the DA/ID CCM:

  • July 16, 2018 – The Nordic NRAs approved the DA/ID CCM
  • December 20, 2018 – The Danish, Finnish, and Swedish NRA issued a request for amendment for the DA/ID CCM
  • June 20, 2019 – Amended DA/ID CCM (“first amendment”) submitted by Energinet, Fingrid, and Svenska kraftnät. The CACM Regulation is not yet formally in force in Norway and thus the CCM is not legally applicable for Statnett until CACM has been adopted.
  • October / November 2019 – The Danish, Finnish, and Swedish NRA have agreed to approve the amended DA/ID CCM (“first amendment”)
  • November 2019 – The TSOs of the CCR Nordic initiated the process of amending the DA/ID CCM (“second amendment”), in line with ACER’s decision on the LT CCM. This second amendment of the DA/ID CCM is intended to replace fully all earlier legal documents.

Methodology: Nordic CCR Day-ahead and intraday capacity calculation methodology

Supporting document: CCM - Supporting doc - second amendment - final.pdf

  • Disclaimer – The reader should be aware that the supporting document for the second amendment of the Nordic CCRS’s proposal for DA/ID capacity calculation methodology was published in Q1 2020. Hence, some information regarding input parameters, timeline for EPR etc. is outdated. The document is still valid for its main purpose to provide explanation, and background on the legal text in the CCM.

Day-ahead

In the day-ahead market, Nordic TSOs have successfully implemented a flow-based capacity calculation approach. Flow-based was taken into operational use on energy delivery day (EDD) 29.10.2024. 

Before the go-live, Flow-based capacity calculation and market coupling processes were simulated in internal and external parallel runs. The external parallel run lasted approximately two years. During the parallel run data was collected on network topology, generation and load forecasts and evaluated to understand the impact of new methodology. Also, market results were simulated using NTC order books as a basis to the market coupling calculations. 

Since the go-live, the Nordic TSOs have been monitoring and improving their tools, models, and data to enhance the efficiency and reliability of the capacity calculation process. Based on operational experience, updating the Flow Reliability Margin (FRM) values has been one important element. This ensures adequate risk levels for operational security.

The day-ahead implementation project has led to higher integration of national electricity markets, contributing to the harmonization of electricity prices across the Nordic region. This integration helps maximize welfare gained via exchanges between bidding zones.

Links:

Stakeholder presentation of the basics of Flow-based and Day-ahead market affects: FB implementation project presentation 2018

External Parallel Run Handbook

External parallel run evaluation report

TSO operational learning points from day-ahead Flow-based external parallel run: Operational learning points

Intraday ATCE

At the same time that Flow-based was taken into operational use in the day-ahead market, the ATC (Available Transfer Capacity) Extraction was taken into use in the intraday market. 

Until the time that the intraday market platform is technically able to utilize Flow-based parameters, ATC capacity will be extracted from the Intraday Flow-based domain as a transitional solution for calculation and allocation of intraday cross-zonal capacities. Intraday capacity is calculated and allocated after the day-ahead market has closed, allowing market participants to adjust their positions based on real-time conditions and updated forecasts.

ATC is calculated through a coordinated process involving Transmission System Operators (TSOs). The TSOs collect input data, including network topology, generation forecasts, and load forecasts which is used to calculate the initial intraday ATC values. An algorithm is applied to determine the available capacity for intraday trading. This algorithm considers the physical constraints of the network and the impact of transactions on these constraints.

Intraday ATC includes cross-border capacity, enabling electricity to flow between different bidding zones. This helps optimize the use of the transmission network and manage congestion.

The goal of intraday ATC calculation is to maximize the available capacity for trading while ensuring the security and stability of the transmission network.

Links:

ATC Extraction description