3/4 of the wind generation capacity in Finland has been constructed based on market incentives and PPAs – without mechanisms driven by government or system operator.
There are several examples of investments in flexibility, incentivized by market price variations: batteries, electric boilers and other price-flexible electrification of district heating, as well as heat storages. There are also emerging signals of new investments in peak power generation, partly related to the current increase in data center consumption.
It is obvious that a capacity mechanism in one country will affect the electricity market in an interconnected neighbouring country. However, it is very difficult to estimate cross-border effects on the Finnish electricity market based on the data in the material commissioned by Elering. Apparently, the scheme is still subject to major further development.
We request an opportunity to comment the more developed market-wide capacity mechanism definitions and rules drafted after this preliminary consultation.
We’d also ask you to kindly notify us of any next consultation or other further developments (janne.kauppi@energia.fi, pekka.salomaa@energia.fi, and info@energia.fi). Unfortunately, we did not get any notification on the current consultation, until a hint yesterday from our NRA.
Finnish Energy represents companies that produce, acquire, transmit and sell electricity, gas, district heat and district cooling and offer related services in Finland.
Asiantuntijamme tällä aihealueella
Sähkön tukkumarkkinat, finanssisääntely ja -markkinat