Nord Pool, Europe’s leading power market, has announced plans to launch a new market concept for cross-border intraday auctions in the Nordics, Baltics and Germany, timed for the second half of January 2018.
The intraday auctions will be a new market for trading physical power, complementing the continuous intraday market; creating a clear intraday price signal, increasing transparency in the market, and providing new trading opportunities.
The concept will comprise two new daily intraday auctions, running at 22:00 and 10:00 CET, to enable trading across bidding zones using cross-border capacities. The 22:00 auction covers all the 24 hourly products for the upcoming day, while the morning auction covers the last 12 hours of the day.
Erling Thiis, Acting CEO at Nord Pool, said: “Nord Pool will be launching intraday auctions to support the increasing volumes of renewable power and to pioneer cross-border intraday auctions as an efficient way to balance positions closer to delivery. We anticipate that our new auctions will increase liquidity in the intraday market to the benefit of both producers and consumers.”
The cross-border transmission capacities available to the intraday auction will be determined by the day-ahead results for the delivery day, and trading results from the continuous market. In practice, the capacities in continuous trading will be frozen shortly before gate closure of the intraday auction. Capacities may be changed by the results of the auction calculation, with the updated capacities subsequently returned to the continuous market once the auction is completed. The continuous market will stay open for trading inside each price zone during the auctions.
The intraday auction system will be based on Nord Pool’s established day-ahead system and Euphemia algorithm.
About Nord Pool
Nord Pool, Europe’s leading power market, delivers efficient, simple and secure trading across Europe. The company offers day-ahead and intraday trading, clearing and settlement to customers regardless of size or location. Today 380 companies from 20 countries trade on Nord Pool’s markets.
Nord Pool operates markets in the Nordic and Baltic regions, Germany and the UK, and is a Nominated Electricity Market Operator (NEMO) in 15 European countries, while also servicing power markets in Croatia and Bulgaria. In 2016 Nord Pool had a total turnover of 505 TWh traded power. The company has offices in Oslo, Stockholm, Helsinki, Tallinn, London and Berlin.
Lysaker, 6 November 2017
For further information, please contact:
Stuart Disbrey, Communications Manager, +44 7887 409044 (for press enquiries)