- allocation constraints
means the constraints to be respected during capacity allocation to maintain the transmission system within operational security limits and have not been translated into cross-zonal capacity or that are needed to increase the efficiency of capacity allocation;
- capacity calculation region
means the geographic area in which coordinated capacity calculation is applied;
- capacity management module
means a system containing up-to-date information on available cross-zonal capacity for the purpose of allocating intra-day cross-zonal capacity;
- central counter party
means the entity or entities with the task of entering into contracts with market participants, by novation of the contracts resulting from the matching process, and of organising the transfer of net positions resulting from capacity allocation with other central counter parties or shipping agents;
- clearing price
means the price determined by matching the highest accepted selling order and the lowest accepted buying order in the electricity market;
- common grid model
means a Union-wide data set agreed between various TSOs describing the main characteristic of the power system (generation, loads and grid topology) and rules for changing these characteristics during the capacity calculation process;
- congestion income
means the revenues received as a result of capacity allocation;
- contingency
means the identified and possible or already occurred fault of an element, including not only the transmission system elements, but also significant grid users and distribution network elements if relevant for the transmission system operational security;
- continuous trading matching algorithm
means the algorithm used in single intraday coupling for matching orders and allocating cross-zonal capacities continuously;
- coordinated capacity calculator
means the entity or entities with the task of calculating transmission capacity, at regional level or above;
- coordinated net transmission capacity approach
means the capacity calculation method based on the principle of assessing and defining ex ante a maximum energy exchange between adjacent bidding zones;
- day-ahead firmness deadline
means the point in time after which cross-zonal capacity becomes firm;
- day-ahead market gate closure time
means the point in time until which orders are accepted in the day-ahead market;
- day-ahead market time-frame
means the time-frame of the electricity market until the day-ahead market gate closure time, where, for each market time unit, products are traded the day prior to delivery;
- economic surplus for the single day-ahead or intraday coupling
means the sum of (i) the supplier surplus for the single day-ahead or intraday coupling for the relevant time period, (ii) the consumer surplus for the single day-ahead or intraday coupling, (iii) the congestion income and (iv) other related costs and benefits where these increase economic efficiency for the relevant time period, supplier and consumer surplus being the difference between the accepted orders and the clearing price per energy unit multiplied by the volume of energy of the orders.
- firmness
means a guarantee that cross-zonal capacity rights will remain unchanged and that a compensation is paid if they are nevertheless changed;
- flow-based approach
means a capacity calculation method in which energy exchanges between bidding zones are limited by power transfer distribution factors and available margins on critical network elements;
- force majeure
means any unforeseeable or unusual event or situation beyond the reasonable control of a TSO, and not due to a fault of the TSO, which cannot be avoided or overcome with reasonable foresight and diligence, which cannot be solved by measures which are from a technical, financial or economic point of view reasonably possible for the TSO, which has actually happened and is objectively verifiable, and which makes it impossible for the TSO to fulfil, temporarily or permanently, its obligations in accordance with this Regulation;
- generation shift key
means a method of translating a net position change of a given bidding zone into estimated specific injection increases or decreases in the common grid model;
- individual grid model
means a data set describing power system characteristics (generation, load and grid topology) and related rules to change these characteristics during capacity calculation, prepared by the responsible TSOs, to be merged with other individual grid model components in order to create the common grid model;
- intraday cross-zonal gate closure time
means the point in time where cross-zonal capacity allocation is no longer permitted for a given market time unit;
- intraday cross-zonal gate opening time
means the point in time when cross-zonal capacity between bidding zones is released for a given market time unit and a given bidding zone border;
- intraday market time-frame
means the time-frame of the electricity market after intraday cross-zonal gate opening time and before intraday cross-zonal gate closure time, where for each market time unit, products are traded prior to the delivery of the traded products;
- market congestion
means a situation in which the economic surplus for single day-ahead or intraday coupling has been limited by cross-zonal capacity or allocation constraints;
- market coupling operator (MCO) function
means the task of matching orders from the day-ahead and intraday markets for different bidding zones and simultaneously allocating cross-zonal capacities;
- market time
means central European summer time or central European time, whichever is in effect;
- matched orders
means all buy and sell orders matched by the price coupling algorithm or the continuous trade matching algorithm;
- matching
means the trading mode through which sell orders are assigned to appropriate buy orders to ensure the maximisation of economic surplus for single day-ahead or intraday coupling;
- net position
means the netted sum of electricity exports and imports for each market time unit for a bidding zone;
- nominated electricity market operator (NEMO)
means an entity designated by the competent authority to perform tasks related to single day-ahead or single intraday coupling;
- non-standard intraday product
means a product for continuous intraday coupling not for constant energy delivery or for a period exceeding one market time unit with specific characteristics designed to reflect system operation practices or market needs, for example orders covering multiple market time units or products reflecting production unit start-up costs;
- operational security limits
means the acceptable operating boundaries for secure grid operation such as thermal limits, voltage limits, short-circuit current limits, frequency and dynamic stability limits;
- order
means an intention to purchase or sell energy or capacity expressed by a market participant subject to specified execution conditions;
- physical congestion
means any network situation where forecasted or realised power flows violate the thermal limits of the elements of the grid and voltage stability or the angle stability limits of the power system;
- price coupling algorithm
means the algorithm used in single day-ahead coupling for simultaneously matching orders and allocating cross-zonal capacities;
- reliability margin
means the reduction of cross-zonal capacity to cover the uncertainties within capacity calculation;
- remedial action
means any measure applied by a TSO or several TSOs, manually or automatically, in order to maintain operational security;
- scenario
means the forecasted status of the power system for a given time-frame;
- scheduled exchange
means an electricity transfer scheduled between geographic areas, for each market time unit and for a given direction;
- scheduled exchange calculator
means the entity or entities with the task of calculating scheduled exchanges;
- shared order book
means a module in the continuous intraday coupling system collecting all matchable orders from the NEMOs participating in single intraday coupling and performing continuous matching of those orders;
- shipping agent
means the entity or entities with the task of transferring net positions between different central counter parties;
- single day-ahead coupling
means the auctioning process where collected orders are matched and cross-zonal capacity is allocated simultaneously for different bidding zones in the day-ahead market;
- single intraday coupling
means the continuous process where collected orders are matched and cross-zonal capacity is allocated simultaneously for different bidding zones in the intraday market;
- structural congestion
means congestion in the transmission system that can be unambiguously defined, is predictable, is geographically stable over time and is frequently reoccurring under normal power system conditions;
- trade
means one or more matched orders;