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Splitting of the German-Austrian Bidding Zone – A Necessary Precondition for Solving the Issue of Unplanned Power Flows

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On 23 March 2012, transmission system operators (TSOs) of the Czech Republic, Hungary, Poland and Slovakia issued their joint report, which analyses the issue of unplanned power flows and provides suggestions for solving the serious situation.

In recent months, electricity systems of the Czech Republic, Hungary, Poland and Slovakia have repeatedly faced critical situations caused by electricity generated in northern Germany. Due to a combination of several factors, power does not directly reach its consumers in southern Germany, Austria or further south in Europe, but rather flows through electricity systems of the Czech Republic, Poland, Slovakia and Hungary. These unplanned power flows cause serious problems in Germany´s neighbouring countries to the east. For example, such flows endanger their network security conditions and limit cross-border energy trade.

TSOs of four Central and Eastern European (CEE) countries, namely ČEPS, a.s., MAVIR ZRt., PSE Operator S.A. and SEPS, a.s., have compiled a joint report focused on trading aspects of the power flows issue. The report analyses bidding zones in the CEE region and the German-Austrian bidding zone, particularly in the context of unplanned flows.

The report clearly concludes that solving the issue of unplanned power flows is preconditioned by the splitting of the current German-Austrian bidding zone. Concurrently, the report provides a number of suggestions for further measures, especially in the context of the common endeavour for completion of the internal EU energy market by 2014.

The full text of the joint report can be downloaded here.

The report also provides a response to a study commissioned by the German national regulatory authority (Bundesnetzagentur) published in October 2011, which stated that splitting the German-Austrian market would not solve the situation.

Slovenská elektrizačná prenosová sústava, a. s.
Slovenská elektrizačná prenosová sústava, a. s., was established on 21 January 2002 as an independent joint-stock company to fulfill the responsibilities of the Slovak Transmission System Operator. The Company’s mission is to ensure Slovak transmission system’s reliable operation, dispatch control, maintenance, upgrade and development so as to provide high-quality electricity supply for its customers at any time. The Company is responsible for reliable parallel operation with neighboring transmission systems while respecting transparent and non-discriminatory principles for access to the network with minimum impact on the environment. The Company is committed to respecting the requirements resulting from national and EU legislation, decisions of the national Regulatory Office, and relevant rules for transmission system operation and international cooperation with synchronously interconnected power systems within the EU electricity network. Additional information is available on www.sepsas.sk.

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