The price coupling of North-Western Europe was implemented on 4 February. This enabled the coupling of the Nordic and UK power markets with the continental markets in a joint algorithm that, in turn, will ensure the optimum flow of power between the countries. Following the coupling, the average daily volume in this market has been 3.2 TWh, worth more than 180 million Euros. With the coupling of South-Western Europe, even greater sections of the European power market will be connected.
“EU needs to enhance the competitive ability and reduce greenhouse gas emissions. We create a larger and more liquid European market. In addition, the European price coupling ensures that we optimise the return on investments in grids and international interconnectors,” says Executive Vice President Bente Hagem in Statnett.
With the price coupling in South-Western Europe implemented and the two areas connected, the price coupling will include 17 countries: Germany, Austria, France, Belgium, the Netherlands, Luxemburg, the UK, Denmark, Finland, Sweden, Norway, Estonia, Latvia, Lithuania, Spain and Portugal. Poland is also connected through the SwePol interconnector.
In total, approx. 2 400 TWh of annual power generation is included, representing approx. 75 per cent of Europe’s power consumption.
The next step for the price coupling in Europe will be to connect Italy through the Italian Borders market coupling project (IBWT), and the Czech Republic, Slovakia, Hungary and Romania through the 4M MC price coupling project.