Commercial and market outlook

SEM articles of the year: All I want for Christmas is RESS-2

With COVID-19 dominating our everyday lives, we saw similar trends in our most popular articles for the year. Demand shifts were observed in domestic and industrial settings with working patterns shifting from offices to homes all around the country. It was also a landmark year for the renewables industry with...

Energy storage and flexibility

System operators warn of System Alerts risk this winter

EirGrid and SONI issued their Winter Outlook for 2020-21 on 15 October in which they warned that if high generator forced outage rates continue over the winter period there is a risk of System Alerts. The transmission system operators (TSOs) said the all-island capacity margin this winter is predicted to be 929MW...

Low carbon generation

Ireland to fall short of existing climate targets under BaU approach

Published on 13 September, a report by the Irish Wind Energy Association (IWEA) has called for a new policy system to enable the rapid deployment of renewable electricity. The third in a series of four studies which make up the 70by30 Implementation Plan, Building Onshore Wind identifies policy changes required for Ireland to deliver the...

Energy storage and flexibility

Imbalance prices rise for sixth consecutive month

This week we delve into system imbalance pricing, and look at the latest movements from the Balancing Market (BM). The BM ultimately reflects the actions taken by the transmission system operator to keep the system balanced. These actions determine the Imbalance Settlement Price (ISP) for each of the half-hourly settlement...

Low carbon generation

New policy measures needed to drive renewable generation

Published on 24 August, a new report by Energy Storage Ireland and the Irish Wind Energy Association (IWEA) called for action to strengthen Ireland’s electricity grid. The second of a series of four studies which make up the government’s 70 by 30 Implementation Plan, Saving Power outlines how to minimise dispatch down and increase the use...

Low carbon generation

All-Island wind dispatch-down rises year-on-year

On 17 September, EirGrid published its Annual Renewable Energy Constraint and Curtailment Report 2019 which sets out the amount of wind and, for the first time, solar energy, that is available but cannot be used by the system (i.e. the dispatch-down of energy). Overall, the dispatch-down of energy from wind in Ireland...

Energy storage and flexibility

EirGrid and SONI assess future demand and generation landscape

Transmission system operators (TSOs) EirGrid and SONI have issued the All-Island Generation Capacity Statement 2020-29 that sets out expected electricity demand together with the level of generation capacity that will be required over the next ten years.  Issued on 27 August, the Statement said RoI demand is increasing, and is forecast...

Low carbon generation

Demand trends: August sees highest demand since March

This article was originally published on 25 August 2020 in our ‘SEM and commodity pricing report’.   In this week’s blog we take a look at the latest fundamental developments impacting power prices in the SEM. This will see us take a look at wind generation in the SEM this year, while...

Low carbon generation

Parties pledge a “revolution in renewables” in draft Programme for Government

This article was originally published on 14 July 2020 in our ‘Energy Spectrum Ireland’ publication.  The leaders of the Green Party, Fianna Fáil and Fine Gael signed off the draft Programme for Government (PfG) on 15 June. According to the PfG, energy will play a “central role in the creation of...

Low carbon generation

RESS-won: renewables on the march

Yesterday will be remembered as a good day for the Irish renewables industry, with the level of supported renewables capacity set to grow by over a quarter in the next 2-3 years. After years of waiting, the first Renewable Energy Support Scheme auction (RESS-1) results are here (provisionally, pending appeals)....

Low carbon generation

EU COVID-19 stimulus plan – EU ETS impacts and environmental policy developments

This article was originally published on 28 July 2020 in our ‘Irish energy market bulletin’ publication.   Two weeks ago saw the European Commission’s proposed €750bn stimulus plan and revised €1.1tn proposal for the EUs next long-term budget (2021-2027) agreed upon by EU member states at the European Council. The plan...

Commercial and market outlook

Changes: how our Spectrum service is evolving

This article was originally published on 9 June 2020 in our ‘Energy Spectrum Ireland’ publication.  Since Cornwall Insight launched the Energy Spectrum Ireland Service in 2015, it has been providing insight on key developments in the energy markets in Ireland. With the macro market trends of decarbonisation, decentralisation and digitilisation,...

Low carbon generation

Demand changes since the easing of COVID-19 measures

In this week’s focus we will have another look at the ongoing impact on demand from COVID-19 mitigation measures. This comes in the light of the easing of restrictions in both Northern Ireland (NI) and Ireland. On 18 May, the Irish government started its Roadmap for Reopening Society and Business, which...

Energy storage and flexibility

SEM Focus: Day-ahead power turns negative to record low

Last weekend saw the day-ahead power price average negative for only the second time since the new trading arrangements commenced back in October 2018. The first such negative pricing event occurred on 5 April, when the day-ahead power price averaged -€2.5/MWh. Saturday 23 May saw the power price outturn lower...

Energy storage and flexibility

CRU implements COVID-19 supply suspension scheme

On 1 May, the CRU set out the details of its decision to implement a temporary supply suspension scheme for eligible SME electricity and gas customers due to the impact of the pandemic. It said that the unique and extraordinary circumstances of the current situation require a modification to the current approach...

Low carbon generation

Yes, and..? Fast tracking Irish offshore wind

The Irish Government’s announcement of seven offshore wind projects being able to apply for planning permission under the (yet to be enacted) Marine Planning and Development Management Bill, 2020 (MPDM) is positive for the Irish offshore wind sector. A consenting regime is one of the key pillars of any successful...

Power and gas networks

Wholesale energy prices fell to record lows in April

This week we look back at wholesale power price developments throughout April, a month which saw notable bearish price movements. The most prominent of these were the movements in the day-ahead power price. Across April the price averaged €28.0/MWh, the lowest monthly average since the commencement of project I-SEM back...

Water

Ofwat proposes widening retail margins from 2020

Limits on the margin that water retailers may earn from their customers in the business market may be loosened from April 2020 under new proposals from the regulator. Ofwat issued a consultation on 11 December in which it set out plans that would see the cap on allowed margins for...

Low carbon generation

Impacts of COVID-19 on the renewable energy support scheme

With a lot of uncertainty around the impacts of Covid-19 on global supply chains and renewable project delivery we are starting to see the effects in the Irish Energy market, notably the announcement that prequalification for the Renewable Energy Support Scheme in Ireland will be extended. The global energy sector...

Low carbon generation

Will the neighbourhood get a windmill?

With the Renewable Energy Support Scheme (RESS) auction scheduled to kick off this June, community projects have been given a special preference category as part of the auction design. The question remains, will this be enough to spark a change in how we develop, operate and own assets in the...

Commercial and market outlook

Five things we learnt from Energy Spectrum | 659

In this week’s Energy Perspective, we set out the main developments in the GB Capacity Market since the November 2018 ruling by the European Court of Justice that led to its suspension including, most recently, the European Commission’s confirmation it is to undertake a full investigation into the scheme. The business case...

Home supply and services

Smart export guarantee

This summary outlines Cornwall Insight’s response to BEIS’ January consultation on the Smart Export Guarantee (SEG). It expresses support for the broad thrust of the SEG proposals and identifies key issues for further consideration. Overview The proposals set out in the 8 January document The Future for Small-scale Low-carbon Generation...

Low carbon generation

SSE to close unit at Fiddler’s Ferry

SSE’s announcement to close a unit at its Fiddler’s Ferry coal-fired power station has come as little surprise as challenging market conditions continue for the technology, and the government remains committed to phasing out coal-fired generation by 2025. The Fiddler’s Ferry plant in Warrington, Cheshire, has a capacity of almost...

Water

Innovation in the Retail Water Market

Cornwall Insight has published a research paper, which is supported by Water Plus, where we discuss the results of our recent research into innovation in the market, informed by interviews with a mix of nine retailers, customers and third-party intermediaries (TPIs) representing a broad cross-section of the market. The liberalisation of the...

Low carbon generation

Imbalance prices turn negative for six straight hours

Imbalance prices turned negative for 13 consecutive settlement periods on Sunday, as low electricity demand and high levels of wind output led the System Operator to reduce generation output from a variety of wind, combined cycle gas turbines (CCGT) and biomass power stations. The imbalance price dropped below zero in...

Home supply and services

Challengers grow share in domestic energy market again despite exits

Supplier failures, Ofgem provisional orders, price caps and complaints about customer service levels have all hit the energy headlines since the start of 2019. But anyone expecting these developments to encourage customers to return to the Big Six will be disappointed. The latest figures from our Domestic Market Share Survey...

Regulation and policy

Getting to grips with the future balancing market

Modification P344 Project TERRE Implementation into GB Market Arrangements was implemented into the BSC on 28 February, having been approved in August 2018. The change will introduce the Trans-European Replacement Reserves Exchange (TERRE) products to the GB market while simultaneously widening the range of parties that can participate in the...

Commercial and market outlook

Five things we learnt from Energy Spectrum | 657

An increasing number of interventions, including new mutualisation events, are likely to cause shocks in energy third party charges in the coming years. That is the conclusion of this week’s Energy Perspective, in which we explore the current level of these costs for policy and networks, focussing on changes for...

Commercial and market outlook

Five things we learnt from Energy Spectrum | 656

With an Ofgem review of the microbusiness sector in the offing, the increasingly competitive nature of the business energy market – which is also being radically overhauled by innovation – means that the regulator would be wise to take a wider, overall market view in its review process. This is...

Commercial and market outlook

Five things we learnt from Energy Spectrum | 655

A programme as complex as the smart meter roll-out was always going to be subject to significant challenges. Last week BEIS Committee Chair Rachel Reeves commented that the roll-out would not meet its 2020 notional deadline, echoing growing sentiment in the industry but, in this week’s Energy Perspective we suggest that...