Consumers exempt from frequency reserves costs for 5 months
Consumers and producers will not have to pay electricity frequency reserve costs from February until the end of June when Estonia disconnects from the Russian grid.
On January 10, the Competition Authority approved amendments to Elering's methodology for calculating electricity balancing service prices. This means consumers and producers will be exempt from bearing frequency reserve costs for five months.
Instead, the company will foot the bill for the relief measure between February 1 to June 30.
"In our assessment, the relief measure provided in the methodology is justified, taking into account the interests of market participants," said Marilin Tilkson, head of the Competition Authority's energy markets department.
The disconnection of Estonia's electricity grid from the Russian and Belarusian frequency area (BRELL) and synchronization with the continental European grid will take place in early February.
As a result, Elering needs to procure frequency reserves to manage the electricity system. Frequency reserves are used to maintain balance between electricity consumption and production within the system.
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Editor: Marko Tooming, Helen Wright
