GOPACS aims to mitigate congestion in the grid in an efficient way. The collaboration also prevents an action performed by one grid operator from aggravating another grid operator’s problem.
What does GOPACS do?
GOPACS is not a market platform, but it uses orders on existing electricity market platforms. ETPA is the first market platform that has joined GOPACS. Participating parties trade electricity by placing buy orders and sell orders on the ETPA market platform. GOPACS quickly calculates if the order meets the following conditions:
1. It solves the congestion situation.
2. It does aggravate congestion elsewhere in the electricity grid.
In the event of a price difference between the buy order and a sell order, the grid operators pay the price difference (the spread), bringing about a match between the orders on the market platform. Result: the congestion is solved.
What are the participation requirements?
Every order has to include location data for GOPACS to be able to use it. Per order you can decide whether or not the location data is made available for GOPACS. This means that you cannot place any orders on GOPACS directly. To be allowed to trade, you need to have an agreement with ETPA or, in the near future, with one of the other market platforms joining GOPACS.
Are there any purchase guarantees?
Unfortunately, we cannot provide any purchase guarantees. The use of orders via GOPACS depends on the orders and prices, the location, and whether we can make a match to solve congestion in one of our areas.
We expect that orders on GOPACS contribute to the most cost-efficient congestion solution possible and then TenneT will use GOPACS for this purpose first.The existing RESIN system at TenneT will be used only as a second step, if this is still necessary. It is expected that in 2019 a significant percentage of the congestion demand of TenneT will be purchased via GOPACS and that this percentage will increase in the years ahead.
Can the grid operators indicate which congestion locations are involved?
The grid operators can provide some rough indications – for instance on the basis of the recent past – but they cannot provide an exact forecast. Grid operators continuously determine if congestion is expected anywhere in the network. If there is a threat of congestion somewhere, GOPACS comes in. Via GOPACS, market messages are sent, stating that orders are requested for specific areas and for a specific period, if these are not yet available.
Is it only about intraday trade?
GOPACS has started with intraday trade via the ETPA market platform. The aim is to collaborate with more market platforms will be achieved in the short term.
Does a match via GOPACS provide a higher financial yield than a match via the market platform?
The prices are determined by the market, not by GOPACS. A match via GOPACS results in a match that probably would not have taken place otherwise, because the grid operator pays the spread between two orders. Both market parties involved receive or pay the amount of the order they have placed. This amount is paid via the market platform. Grid operators only use orders if these come with the proper location data and if these contribute to solving congestion in the electricity grid cost-efficiently. An order can only be used for preventing congestion if it comes with the location data.
How do I know if my order has been matched via GOPACS and not in regular trade?
When an order has been matched via GOPACS, you as a market party will receive a message from the market platform. The financial settlement is also handled via the market platform.
For whom is participating in GOPACS interesting?
Participation in GOPACS is interesting for every market party with the ability to influence electricity consumption or the generation of electricity, which can offer this flexibility to trade.
Are you interested in participating in GOPACS and would you like more information? Please fill out the contact form below. We will contact you as soon as possible and share further details.