Self-Dispatch System (Electricity Balancing Market)


The Self-Dispatch System represents one of the two types of dispatching arrangements currently in parallel existence in the European electricity markets (the other being the Central Dispatch System).


ACER's Recommendation No 03/2015 of 20 July 2015 on the Network Code on Electricity Balancing observes the dispatching model is essentially an approach to how the generation schedules and consumption schedules for dispatchable Power Generating Facilities or Demand Facilities are determined.


Pursuant to the ENTSO-E Supporting Document for the Network Code on Electricity Balancing of 23 December 2013 (amended by version of 6 August 2014Self Dispatch is a dispatch arrangement where resources determine a desired dispatch position for themselves based on their own economic criteria to provide commercial independence within a market.


The physical dispatch can be either carried out by the resource directly, tracking their desired output nomination or by following dispatch instructions from the TSO which has been determined based on resources' nominations.


Imbalance charges/penalties are levied on market parties which deviate from their notified position. Commitment decisions, which take into account generating unit constraints, are made by the generators in conjunction with the demand elements they are Balancing with.


Generators alter their output to maintain the balance between generation and served demand.


Before real-time, generators submit bids to the TSO which corresponds with self-schedules of their units.


Bids are used by the TSO to dispatch additional generation needed to balance and secure the system in real-time.


Most of the energy markets in Europe are based on the Self Dispatch principle.



Last Updated on Thursday, 24 March 2016 13:26


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