Electricity Balancing

Electricity Balancing

The EB Regulation

Electricity transmission line

The Electricity Balancing Regulation establishes the common principles for procuring, activating and exchanging of the balancing services.

These binding requirements implement and ensure a proper functioning of the integrated electricity market in the balancing timeframe and regulate the activities of Transmission System Operators (TSOs), national regulatory authorities and ACER.

What are its core elements?

  • Rules for Balancing Service Providers and Balancing Responsible Parties: the terms and conditions related to balancing defined at national level should provide fair, transparent and non-discriminatory rules for all actors involved in the balancing markets, ensuring adequate and fair competition.

  • Exchange of balancing capacity and cross-zonal capacity allocation: these rules enable TSOs to jointly procure and use balancing capacity, forming broader cooperation, benefiting from economic reserve providing resources outside their area.

  • Common European balancing energy platforms: the integration of balancing energy markets is facilitated by European platforms that apply common merit order list to ensure cost-efficient activation of balancing energy bids across Europe.

  • Harmonisation of imbalance settlement: The imbalance settlement is a national mechanism, and its harmonisation at European level provides a consistent application of the rules across member states. This ensures that market participants have the same incentives to deliver energy, increasing the balancing markets’ overall efficiency.

  • Settlement rules between TSOs: The EB Regulation also ensures that all the exchanges between TSOs are settled with common rules, guaranteeing a fair and non-discriminatory approach.

EB Regulation