The week in flexibility: Madness Visits After Midnight – Market Decoupling Provides Peak Price Opportunities


Each week, we take a look at the week in flexibility trading that has just been, and at what’s next. Enjoy our latest instalment:

Let’s address this right away, last Friday provided the world of flexible energy trading with a jolt of excitement.

The Day-Ahead market showed such a significant decoupling of prices between the hours of 23.00-04.00 that a technical issue with the clearing algorithm was suspected – with prices on N2EX hitting huge highs. At 23:00 on Friday night the N2EX auction closed peculiarly high at £276 while EPEX cleared at just £46 for exactly the same time period.epex_vs_n2ex

This significant event followed a particularly erratic week. Tuesday’s System Price was on a roller coaster ride with swinging highs and lows after over forecast demand in the morning combined with under forecast conditions during the afternoon. Overall, System Price averaged £43.43/MWh while NIV turned out marginally short at 30MWh, but the highest System Price was found in period 35 and 36 at £104/MWh and the lowest System Price in period 10 at £1/MWh: with Spalding CCGT being the lowest accepted bid at £0/MWh. Limejump expected these dynamic shifts and received £1,400 from strategic pricing during this time period.

Wednesday was no calmer, as low wind generation combined with a lack of solar generation and under-forecast demand taking a toll on System Price stability. The highest System Price was in SP35 at £62/MW although the National Grid control room called a number of offers at £84/MWh. Interestingly both the lowest System Price was in period 12 at £14.1/MWh and the price setter was actually a trade performed by National Grid themselves.

This volatility particularly benefited Limejump assets who can embrace flexibility.

Thursday delivered some sunny interest on the system and a high dip in the System Price during the day due to high generation. At its maximum, solar generation was providing almost 20% of the national electricity supply. Prices dropped during the afternoon before recovering to £79.97/MWh at 20:00 pm. The price setter for this settlement period was pumped storage plant Cruachan Power Station.

On Sunday, a fall in wind generation caused National Grid to accept more offers than bids through the balancing mechanism. System Prices peaked between 21:00-21:30 pm at £74/MWh. Limejump’s asset portfolio was instructed a total of 15 times during these volatile time periods.


Flex in numbers:

  • Total number of instructions for Limejump: 131
  • Top System Price of the week: £104
  • Lowest System Price: – £60.10




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  • June 11, 2019

    On June 7, technical issues in the day-ahead auction caused a partial decoupling of the European Market Coupling. As the provider of the European Market Coupling algorithm EUPHEMIA, N-SIDE support team didn’t have to react on this incident. The encountered technical issues were indeed not related to the algorithm. More info, read the latest N-SIDE news.

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