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EFET requests delay of German-Austrian power zone split until 2019

Friday, May 12, 2017


#Germany #Austria #Bidding-Zone #Split #Implementation #Transparency

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The European Energy Trader association (EFET) released a statement, addressed to the German regulator, BNetzA, calling for more transparency on the main elements of the German-Austrian power zone split and for a delayed implementation date.

EFET considers that delaying the date of the split by six months – from 03 July 2018 to 01 January 2019 – would be beneficial for the efficient operation of the system since the association expects this to minimise the effects on trading activities. According to them, delaying the split would leave adequate time for planning, TSO testing, adjustment of market participants to the new capacity calculation and allocation methodologies, and would reduce the negative effects on existing contracts.

In addition, the association demanded more transparency in the rupture process. Indeed, EFET found out that: (ii) there is a no precise timeline for the process; and (ii) there is a lack of information on the day-ahead capacity calculation methodology expected to be used for the day-ahead timeframe, and its impact on forward and intraday capacity allocation.

It should also be noted that a decision on the split of the German-Austrian joint pricing zone could be made by the end of 2017, when ENTSO-E submits its comprehensive bidding zone review, under which the pros and cons of splitting the region are being considered. A potential split of the single power price zones in France and Poland is also being studied.

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