This podcast features our experts, Tom Edwards, Senior Modeller and BSC Panel member, and our Head of Training, Ed Reed. They introduce the new arrangements that allow more asset owners and operators to provide balancing services to National Grid ESO. Specifically, they discuss the introduction of the new “Virtual Lead Party” (VLP) into the balancing services market place. Consequentially, they detail the role of a VLP in terms of providing services to the National Grid Electricity System Operator (ESO) and what this means for the wider wholesale electricity traded markets.
Tom Edwards also explains why Virtual Lead Party arrangements may be attractive to aggregators, large energy consumers with onsite storage or generation and electricity suppliers. They touch upon the additional balancing and market services that a VLP may or may not be able to access. In addition, rules and market processes are being changed to allow for the GB ESO to procure some balancing services from interconnected European markets from the EU-wide ‘Project TERRE’ initiative. Tom explains what Trans European Replacement Reserve Exchange (TERRE) means for the GB market. He also explores the aims and operation of the TERRE platform at a high level.
Below is a 90-second extract from our full podcast.
Cornwall Insight provides a number of products and services on GB electricity market balancing (aka ancillary) services, including training courses. These cover VLPs and more, including the operation of the Balancing Mechanism, System Imbalance Price creation, Project TERRE and settlement.
Our current courses which cover these topics include our ‘Balancing Mechanism – Commercial Opportunities’ and ‘Flexibility Fundamentals’ one-day training sessions. Contact Emily at firstname.lastname@example.org for more information or have a look at our training page.
The GB Frequency Response Markets Report
Updated monthly, this report provides an overview of the frequency response market. It looks at the relevant regulatory and policy developments, the technical and commercial elements of each competitive frequency response service. Alongside this, you will receive Cornwall Insight’s latest forecast of value obtainable from non-bilateral frequency response services.
It also includes a market intelligence section covering partnerships, projects and innovation trials currently active in the frequency response markets. For more information on the report, contact Joe on email@example.com or view it on our website here.
Balancing Mechanism Service
Our Balancing mechanism service monitors developments in the market. This also includes the implementation of Wider BM Access at the end of 2019 and project TERRE.
The service provides a one-stop-shop for commercial and regulatory coverage of the BM, data access, analytical detail including competitor analysis, detail on generator activity and expert views from our team.
In addition, the service includes a monthly webinar, providing Q&A opportunities with our market experts. This is also a great platform to share our views on how regulatory developments may impact the market. Subscribers will have access to the slide packs to share, as well as receiving a short daily update.