European Market Coupling Company, EMCC or emcc, is a provider of congestion management services for cross-border

electrical Electricity is the set of physical phenomena associated with the presence and motion of matter possessing an electric charge. Electricity is related to magnetism, both being part of the phenomenon of electromagnetism, as described by Maxwel ...

interconnectors. EMCC is a

joint venture A joint venture (JV) is a business entity created by two or more parties, generally characterized by shared ownership, shared returns and risks, and shared governance. Companies typically pursue joint ventures for one of four reasons: to acce ...

of the following

transmission system operator File:Electricity grid simple- North America.svg, 380px, Simplified diagram of AC electricity grid from generation stations to consumers in North America rect 2 243 235 438 Power station rect 276 317 412 556 Transformer rect 412 121 781 400 Elect ...

s (TSOs) and

electricity exchange An electricity market is a system that enables the exchange of electrical energy, through an electrical grid. Historically, electricity has been primarily sold by companies that operate electric generators, and purchased by consumers or Electrici ...

s (PXs) in North-Western Europe: Energinet.dk, TenneT TSO GmbH, 50Hertz Transmission GmbH,

European Energy Exchange European Energy Exchange (EEX) AG is a central European electric power and related commodities exchange located in Leipzig, Germany. It develops, operates and connects secure, liquid and transparent markets for energy and related products, inc ...

AG, Nord Pool Spot AS. It was established in

Hamburg Hamburg (, ; ), officially the Free and Hanseatic City of Hamburg,. is the List of cities in Germany by population, second-largest city in Germany after Berlin and List of cities in the European Union by population within city limits, 7th-lar ...

Germany Germany, officially the Federal Republic of Germany, is a country in Central Europe. It lies between the Baltic Sea and the North Sea to the north and the Alps to the south. Its sixteen States of Germany, constituent states have a total popu ...

, in August 2008.

Purpose and functioning

The purpose of EMCC is to promote an efficient

electricity market An electricity market is a system that enables the exchange of electrical energy, through an electrical grid. Historically, electricity has been primarily sold by companies that operate electric generators, and purchased by consumers or electr ...

between regions by using market coupling and to promote the integration of a Europe-wide wholesale electricity market. EMCC calculates optimal electricity flows, based on available transmission capacities (ATC) from the TSOs and anonymous order books (OBK) from the exchanges. Afterwards, EMCC places market coupling bids at the PXs in order to achieve a power flow from the low-price area into the high-price area. Subsequently, EMCC creates schedules and carries out the financial settlement with the PXs. EMCC's calculation algorithm is based on the

economic welfare The welfare definition of economics is an attempt by Alfred Marshall, a pioneer of neoclassical economics, to redefine his field of study. This definition expands the field of economic science to a larger study of humanity. Specifically, Marshall' ...

criterion.

Development

Market coupling on two interconnectors between

Denmark Denmark is a Nordic countries, Nordic country in Northern Europe. It is the metropole and most populous constituent of the Kingdom of Denmark,, . also known as the Danish Realm, a constitutionally unitary state that includes the Autonomous a ...

and Germany first started in 2008 and was stopped after ten days as it became clear that the algorithms used by EMCC and the PXs were not perfectly aligned. Danish-German market coupling was relaunched successfully in November 2009 with a revised convex optimiser as algorithm.

Baltic Cable The Baltic Cable is a monopolar HVDC power line running beneath the Baltic Sea that interconnects the electric power grids of Germany and Sweden. Its maximum transmission power is 600 megawatts (MW). The Baltic Cable uses a transmission volt ...

between Sweden and Germany was integrated in May 2010. In January 2010, EMCC was asked by TSOs and PXs in the Central Western European (CWE) and Nordic region to develop a system to integrate CWE price coupling and Nordic market splitting. The new scheme is called Interim Tight Volume Coupling (ITVC). It is based on the existing Nordic-German tight volume coupling and is a further enhancement. On 9 November 2010, day-ahead market coupling for the extended region was launched. This region covers

Belgium Belgium, officially the Kingdom of Belgium, is a country in Northwestern Europe. Situated in a coastal lowland region known as the Low Countries, it is bordered by the Netherlands to the north, Germany to the east, Luxembourg to the southeas ...

France France, officially the French Republic, is a country located primarily in Western Europe. Overseas France, Its overseas regions and territories include French Guiana in South America, Saint Pierre and Miquelon in the Atlantic Ocean#North Atlan ...

Luxembourg Luxembourg, officially the Grand Duchy of Luxembourg, is a landlocked country in Western Europe. It is bordered by Belgium to the west and north, Germany to the east, and France on the south. Its capital and most populous city, Luxembour ...

, the

Netherlands , Terminology of the Low Countries, informally Holland, is a country in Northwestern Europe, with Caribbean Netherlands, overseas territories in the Caribbean. It is the largest of the four constituent countries of the Kingdom of the Nether ...

, the Nordic region and

Estonia Estonia, officially the Republic of Estonia, is a country in Northern Europe. It is bordered to the north by the Gulf of Finland across from Finland, to the west by the Baltic Sea across from Sweden, to the south by Latvia, and to the east by Ru ...

. It represents the world's largest single power market of 1,816

TWh TWH or twh could refer to: * Tai Dón language, a language of Vietnam, Laos, and China * Tai Wo Hau station, Hong Kong; MTR station code * Tennessee Walking Horse, a breed of horse * Toronto Western Hospital, a hospital in Toronto, Canada * Tun ...

, about 60% of European power consumption. The second step adding the

NorNed NorNed is a long high-voltage direct current submarine power cable between Feda, Norway and the seaport of Eemshaven in the Netherlands, which interconnects both countries' electrical grids. It was once the longest submarine power cable in the ...

cable between Norway and the Netherlands started on 12 January 2011. The TSOs between Finland and Spain are preparing to operate a common electricity market in November 2013, and in May 2014 Spain and Portugal were included.

Italy Italy, officially the Italian Republic, is a country in Southern Europe, Southern and Western Europe, Western Europe. It consists of Italian Peninsula, a peninsula that extends into the Mediterranean Sea, with the Alps on its northern land b ...

was added in February 2015.ITALIAN BORDERS SUCCESSFULLY COUPLED
'' Energinet.dk'' 24 February 2015

References

{{Reflist, 2 Organizations established in 2008 Electric power in Europe Companies of Europe

Purpose and functioning

Development

See also

References