SET Plan The 10th Year Anniversary Central European Energy Conference 2017

Transcription

1 MARKET COUPLING: UKRAINIAN WAY SET Plan The 10th Year Anniversary Central European Energy Conference 2017

2 UKRENERGO 2 TRANSMISSION COMPANY (state-owned, consists of 8 regional systems) Substations kv 92 ( ) kv 37 ( ) kv km of HV lines 750 kv km ( ) kv km 220 kv km 444 autotransformers (78553,1 MVA) Net profit in m EUR Personnel 9600 as of November 2017

3 NEW LAW ON ELECTRICITY MARKET 3 On April 13, 2017 the Parliament of Ukraine adopted the Law of Ukraine On Electricity Market, aimed at transposing the Third Energy Package in electricity sector New Electricity Market Model implies: operation of bilateral agreement market, day-ahead market, intraday market, balancing market, ancillary services market (regulation frequency, keeping reliability parameters and electric power quality) and retail market separation of monopoly activities (transmission, distribution) from the competitive ones (production, supply) defining Ukrenergo as a certified independent transmission system operator free choice and change of electricity supplier by the consumer direct contracts between electricity supplier and producer Main secondary legislation was developed in advance (until December 2017); Regulator has to approve it (until April 2018) Coordinated auctions should be arranged in December 2018 Start of the Ukrainian Electricity Market End of the transition period

4 AGREEMENT WITH ENTSO-E 4 On June 28, 2017 in Brussels Agreement on the Conditions for Future Interconnection of Power System of Ukraine with Power System of Continental Europe was signed The Agreement came into force on July 7, 2017 Integration into ENTSO-E will give possibility to realize high-level competition in new electricity market model and will give all benefits from market coupling Benefits of the integration into ENTSO-E: Security aspect Strengthening of the reliability and stability of the Ukrainian power system, minimizing the dependence on the primary energy sources; Diversification of the energy sources; Transparent conditions to get the emergency mutual aid from the ENTSO-E members. Economic aspect Possibility to increase the energy exchange with Europe up to 4 times to bln kwh/year; Containment of price increase in line with supply quality improvement; Increase in the investment attractiveness of the Ukrainian power system. Institutional aspect Strengthening of the competitiveness and demonopolization of the Ukrainian electricity market; Lower dependence of the customers on the suppliersmonopolists.

5 COST OF ACTIONS WITHIN INTEGRATION INTO ENTSO-E m EUR Estimated costs of integration into ENTSO-E Grid development Actions to ensure operations of the generation plants in compliance with ENTSO-E requirements Organization of communication channels for the technological control of the Ukrainian power system Additional studies on the static and dynamic stability Compliance with the ENTSO-E Operational Handbook 130 m EUR 130 m EUR 95 m EUR 5 m EUR 5 m EUR 65 m EUR Current financing projects of the IFIs

6 INTEGRATION OF THE UKRAINIAN POWER SYSTEM INTO ENTSO-E: WHAT WE CAN OFFER 6 PROVISIONS FOR BALANCING a. FCR - placing 180 MW FCR at the Ukrainian TPP b. FRR MW afrr and up to 1500 MW afrr c. RR - HPSPP (Dniester HPSPP, Tashlykskaya HPSPP, Kyivska HPSPP) 1843 MW PEAK SHIFT EFFECT: EFFECTIVE USE OF GENERATION CAPACITIES a. 40 min - the difference between the beginning of the evening twilight between the Eastern and Western borders of Ukraine b. 60 min - time zone difference between Ukraine and East EU countries

7 MARKET COUPLING STEP-BY-STEP 7 STAGE 1: BURSHTYN ISLAND a. Transmission lines capacities - up to 1700 MW b. Import from ENTSO-E - up to 1000 MW (limited by island load) c. Export to ENTSO-E - up to 650 MW (limited by island generation) d. Start time STAGE 2: UKRAINIAN POWER SYSTEM a. Transmission lines capacities - totally up to 4500 MW b. Import from ENTSO-E - up to 2220 MW (limited by European grid) c. Export to ENTSO-E - up to 2350 MW (limited by European grid) d. Start time

8 THANK YOU FOR ATTENTION!