Information note on arrangements concerning more than one NEMO in one bidding zone

On 17 January 2017, the Utility Regulator received a formal request of Nord Pool’s intention to operate as Nominated Electricity Market Operator (NEMO) in Northern Ireland.

The notification was submitted in accordance with the guideline on Capacity Allocation and Congestion Management (CACM) and considers the day-ahead and intraday timeframes.

We have reviewed the notification in line with the requirements of the CACM regulation and in line with its statutory duties and obligations. On that basis, the we provided our response to Nord Pool’s intention to operate on 2 March 2017 (see [1] below), including the following:

“The Utility Regulator has reviewed the notification which is in line with the CACM regulation and in line with the its statuary(sic) duties and obligations. On that basis, the Utility Regulator considers that the Nord Pool’s notification meets the requirements set out in the CACM Regulation with regard to NEMO designation”.

Articles 45 and 57 of CACM require Transmission System Operators (TSO) in bidding zones where more than one NEMO is designated and/or offers trading services to develop a proposal for cross-zonal capacity allocation and other necessary arrangements for such bidding zones. The TSOs are required to submit a proposal to the relevant national regulatory authorities for approval within four months as requested under Articles 45 and 57.

In line with the specific requirements of the SEM, working in conjunction with the Commission for Energy Regulation (CER), we required SONI (see [2[ below) (the designated NEMO and TSO) to work together with Eirgrid (being TSO and designated NEMO for the Republic of Ireland) to develop the terms, conditions and methodologies needed to implement the I-SEM Project within an agreed fixed timescale. These timelines have been agreed with stakeholders, the European Commission and the relevant Departments also.

In line with the requirements under CACM Article 45 and 57 and our commitment to the I-SEM Project delivery date, we requested from SONI, in its role as a TSO in Northern Ireland, a proposal to be developed for multi-NEMO arrangements and timescales for their implementation for the day-ahead and intraday electricity market coupling in Ireland by 2 July 2017[2].

Once the proposal has been received, we, in conjunction with CER, will evaluate the proposal as required by CACM Article 9(8) and within our statutory duties and obligations.

[1]  Letter to Nord Pool 2 March 2017 (PDF 30 KB)

[2]  Letter to SONI 2 March 2017 (PDF 35 KB)