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ACM: system operators must use congestion management more often

In order to utilize the existing grids better, system operators will be able to use congestion management more often. That is why the Netherlands Authority for Consumers and Markets (ACM) wishes to lay down in the Dutch Grid Code more clearly how, when, and under what conditions system operators must use congestion management.

The changes proposed by ACM have been included in the draft decision regarding transmission capacity scarcity and congestion management, which will be published in the Dutch Government Gazette on August 19, 2021, and will be made available for public consultation among interested parties. Interested parties can submit their opinions about this draft decision to ACM.

Congestion management means that system operators address the scarcity on the grid by, if necessary, compensating suppliers and buyers of electricity if they help relieve congestion on the grid, for example by temporarily reducing injection into the grid. Congestion management is a temporary measure for the period when a system operator strengthens the grid. Congestion management helps towards realizing the energy transition by increasing capacity on the grid, so that more wind and solar farms can be connected to the grid.

ACM wishes to amend the Grid Code so that, in areas with congestion, system operators, when asked to do so, make offers for electricity transmission sooner and more frequently. The most important amendment is that the system operators no longer have to make offers for the transmission of electricity, only if the costs of congestion management exceed a financial threshold or if a technical threshold is met, as a result of which the system operator is no longer able to guarantee the security of the grid.

The draft decision with the proposed changes will be published in the Dutch Government Gazette on August 19, 2021. Interested parties will then have 6 weeks for submitting their opinions. ACM will subsequently finalize its decision.

See also

19-8-2021 Draft decision regarding amendments to Grid Code in connection with congestion management (in Dutch)