At the 16th meeting of the Advisory Committee on Electric Power Industry, the parties agreed on the principles for the distribution of transfer capabilities of the interstate crossections for the common electric power market of the EAEU

At the 16th meeting of the Advisory Committee on Electricity, chaired by the Minister for Energy and Infrastructure of the EEC, Temirbek Asanbekov, the parties agreed on how the available transfer capability of interstate transmission lines (ISTL) would be distributed in the common electricity market (CEM) of the EAEU.

Thus, clarity has appeared in a rather important part of the package of rules for the common electric power market of the EAEU, which should be operational by January 1, 2025. By the same date, the countries of the Eurasian "five" will have to harmonize their national legislation with the rules of the EAEU common market. The purpose of this package of documents (includes four rules) is to prescribe an algorithm of actions for market participants, minimizing the possible risks of the new, “sixth” energy market of the EAEU.

Representatives of government agencies and energy companies agreed that for each method of electricity trading (under free bilateral contracts, exchange futures contracts and day-ahead transactions), a share of the available capacity of the ISTL will be allocated. Moreover, for the conclusion of fixed-term contracts, the total share will be provided without splitting into types of such contracts, depending on the delivery period (year, quarter, month, week). The meeting participants also agreed that the shares established for the methods of trading will be taken into account in the daily planning of supply volumes. And in the event that the shares allocated for trading under free bilateral agreements or fixed-term contracts are not fully claimed, then their balances will be transferred to conclude transactions for the day ahead.

In addition, at the meeting, representatives of the EAEU countries agreed on the obligation to conclude an agreement for the interstate transmission of electricity across the territory of one member state in order to ensure the functioning of the electricity market of another EAEU country.

The need to resolve these issues arose in connection with the development of draft rules for determining and distributing the transmission capability of interstate crossections in the common electricity market of the Eurasian Economic Union and rules for access to services for interstate power transmission.

These documents, along with the rules for mutual electricity trade and rules for information exchange in the common electricity market of the EAEU, will regulate its functioning.

For reference

Available transmission capability is a part of transmission capability of interstate cross-sections (ISTL), which can be used for the supply of electricity within the framework of the CEM.

The available transmission capability will be determined by the system operators for each interstate section for each hour of the planned period (next year) and for both directions of electricity flow. During the year, system operators can change the available transmission capability for the remainder of the year if there are any system changes.