Ljubljana, 26 July 2024
Today, ACER releases its first interactive dashboard on monitoring the implementation of the Imbalance Settlement Harmonisation (ISH) methodology.
What is the ISH methodology?
The ISH methodology, introduced in 2017 by the Electricity Balancing (EB) Regulation and approved by ACER in 2020, aims at harmonising the main features of electricity imbalance settlement across the EU.
Each Transmission System Operator (TSO) calculates the difference between the forecasted and actual electricity consumption or production for each Balance Responsible Party (BRP) in its area. By identifying these imbalances, BRPs can take actions to support the power grid’s balance, helping to maintain or restore the balance between electricity supply and demand.
With the implementation of the ISH methodology, the TSOs were required to harmonise the main features of the imbalance settlement, including the imbalance calculation, the main components for calculating the imbalance price, and the use of single or dual imbalance pricing.
What did ACER monitoring find?
ACER’s 2024 analysis is based on the data received from the TSOs of 23 EU Member States (the methodology is not applicable in Malta and Cyprus, while Austria and Bulgaria did not submit their data).
The ACER monitoring found:
- The ISH methodology has been fully or largely implemented in nearly all observed Member States (22).
- 5 TSOs do not use any additional components, 19 TSOs (from 16 Member States) are using one or more additional components, and 2 TSOs are in the process of implementing the use of additional component/s.
- 20 TSOs (from 17 Member States) use single imbalance pricing, 5 TSOs use dual pricing, while 1 TSO is in the process of implementing the use of dual pricing.