NPC Ukrenergo has offered large industrial consumers, which can control and manage their capacity, to become providers of balancing and ancillary services in the electricity market. Enterprises such as JSC Nikopol Ferroalloy Plant, JSC Ukrtransnafta, PJSC Carlsberg Ukraine and others took part in the meeting dedicated to this issue.
Large industrial enterprises with the ability to change their consumption by more than 1MW can participate in the balancing and ancillary service markets using demand response technologies. The ability to manage their power consumption allows them to quickly decrease or increase their power consumption manually or automatically. This is actually a service that can be provided to the balancing or ancillary service markets, and enables the consumer to earn additional profit.
Enhancing energy efficiency and implementing demand management tools allow consumers to reduce their own energy consumption and optimise their costs, while providing energy system flexibility, as well as stability and security of energy supply.
At the meeting, Ukrenergo presented the technical requirements and the amount of reserves required to operate in them, as well as the principles of setting marginal prices, etc. to consumers, which consider the possibility of operation in these market segments. This information will allow potential participants to develop a feasibility study to determine the economic feasibility of participating in the balancing and ancillary service markets.
Ukrenergo will keep on working with electricity consumers, which consider the possibility to participate in the balancing and ancillary service markets. For information about the interaction between the transmission system operator and the participants of the balancing and ancillary service markets, as well as for sending questions for discussion, please use the following email address firstname.lastname@example.org.
It should be noted that the first auction for the purchase of ancillary services was held at Ukrenergo on December 12, and DTEK Skhidenergo LLC (Kurakhivska TPP) took part in it.
In addition, to further develop the ancillary service market and improve the regulatory framework, Ukrenergo has permanent working groups, which address these issues, including certification and monitoring of ancillary service provision. The minutes of the meetings can be found on the Ukrenergo’s website in the section “Working groups on improving the regulatory framework” – “Proposals and MoMs”.