Electricity Market Opening – assessment of latest regulations

Status before market opening:

  • Bidding caps for DAM, IDM are established for 9 months – at the level of UAH 2/kWh for peak hours, UAH 0.96/kWh for night hours.
  • Bidding caps for balancing market (BM) and auxiliary services market are set until full synchronization with ENTSO-E. BM is limited within a range of 0.85 – 1.15 x DAM.
  • Market Operator and Guaranteed Buyer received licenses and starts signing agreements.
  • Not all metering points are registered, not all market players took part in testing.
  • IT platforms were not thoroughly tested.
  • PSO adopted to ensure stability of tariffs for households, but the mechanism may not be optimal.
Author(s):
Oleksii Mykhailenko, ABT

What is a Policy Briefing?

Similar to Policy Papers, current or possible future policy topics are discussed. The economic analysis and policy recommendations are presented in a concise manner, focussing on the core arguments and results.