Decision to grant the ESO a derogation under Article 6(14) from the requirements of Article 6(2) of the Regulation (EU) 2019/943 for Dynamic Regulation

Decision

Publication date

Industry sector

Generation and Wholesale Market

On the 30 November 2021, we received a request from the Electricity System Operator (ESO) for a derogation under Article 6(14) from the requirements of Article 6(2) of Regulation (EU) 2019/943 (Electricity Regulation) for the new specific Frequency Containment Reserve (FCR) product Dynamic Regulation (DR).

The ESO have requested the derogation from the requirements of Article 6(2) to allow DR to be launched with the price of balancing energy pre-determined in the balancing capacity contract.

This letter sets out our decision to approve the derogation requests in accordance with Article 6(14) of the Electricity Regulation and also outlines the necessary next steps that must be taken.