1. Pentalateral Energy Forum
Penta Flexibility SG3 Kick Off Phase III
Brussels, 20. November 2017
PENTA 20. Nov. 2017

2. Introduction Welcome Background SG3 Penta work (past and present)
Objective of todays meeting
DG ENER learnings from R&I projects
Next steps in H2020 and PENTA participation
Conclusions and next steps
PENTA 20.Nov. 2017

3. Background / Ministerial mandate
Second Political Declaration (8 June 2015)
Par 16: “to foster the discussions on flexibility, by identifying options, with a first outline by June 2016 for more efficient balancing arrangements, increased demand responsiveness on every segment of the market and increased storage, as set out in Annex 1”
PENTA 20.Nov. 2017

4. Background and time schedule
SG III phase Oct – May 2016
Penta DGs meeting – new mandate 6 June 2016
SG III phase Sept – May 2017
Ministerial meeting June 2017
SG III phase 3 Nov – May 2018
Kick off workshop Nov. 2017
H2020 project call and selection Dec – April 2018
Liaison with project team ????????
Work stream draft concluded May 2018
Work stream 1. report to DG June 2018
PENTA 20.Nov. 2017

5. Work done so far - mandate of Expert teams
Elaborate roles & responsibilities and their interactions in the wholesale market considering new players and national balancing responsibility scheme.
Identify the main barriers and effects for harmonisation of roles & responsibilities
Summarize results in a DSR-report
Identify harmonisation of products in Balancing and ID-markets and evaluate the optimal lead time in the ID-Market and Gate Closure time in the BAL-Market and possibility of ID-auctions
Prepare for leading role in Implementation of NC
PENTA 20.Nov. 2017

6. Conclusion of Minister Meeting 26 June 2017
PENTA countries should keep the leading role in impelementing new rules and processes in Balancing and Intraday markets based on NC
On demand side response, further work is needed on a clear definition of roles and responsibilities, with a comparable scheme for the Penta region.
A holistic approach shall be schosen by a liaison with the Horizon 2020 programme to ensure a structural exchange between possible pilot projects in the Penta region and identify possible new political measures on national, regional or European level. Increased demand responsiveness on every segment of the market including storage shall be achieved including a common vision of the market integration of renewable energies
PENTA 20.Nov. 2017

7. Way forward in BAL and ID
Valuable input from frontrunners and expert groups to the issues identified as barriers to deploying flexibility
Penta members will use this input in the implementation of the EBGL and the market design legislation
Continue to monitor the process of implementation and where need give guidance
PENTA 20.Nov. 2017

8. Way forward in other issues (DSR, RES, storage) Objective of Kick Off Meeting
Introduce next process steps to fulfil the mandate
– enhance framework for flexibility
Involve new stakeholders and liaise with H2020
Testing the issues + questions on ongoing R&D&I projects
Introduce H2020 program and liaison with PENTA
Identify practical way for further PENTA-work
Discuss possible organisation of the work
Next steps
PENTA 20.Nov. 2017

9. Motivation
High TRL projects that involve innovation need to be supported by corresponding regulations since there are always tasks at the limits of the existing rules and norms
Normative future deployment of replicating projects in the next phase for broadening deepening and scaling up
Definition of important issues or classes crucial example: the definition of storage
Innovative projects deliver the new norms and regulatory framework establish more secure safe and efficient energy for European citizens Involve a large group of stakeholders
Source: BRIDGE H2020, Panagiotis KTENIDIS (Chair Regulations WG)
PENTA 20.Nov. 2017

10. Presentation of ongoing projects and deliberate on our previous findings (issues and questions)
Need for scarcity prices
Prosumers/consumers to react to prices through implicit Demand Side Response
Market framework for explicit Demand Side Response
Non-discriminatory access to all markets – for all participants for offering products/services ensuring the secure operation of the system (holistic approach)
PENTA 20.Nov. 2017

11. Discussion Presentation of H2020 and future work
Learnings for flexibility regulation and implementation in future PENTA context
H2020 ( ), Mark van Stiphout (DG ENER)
Proposal process, Robert Goodchild (INEA)
PENTA 20.Nov. 2017

12. Role of SG III / participation in a new project - Discussion -
Experience on added value of political guidance
Discussion during project execution enough?
Setting of work during project execution?
How regular should be discussed?
Who should discuss?
How to share results with ministries?
Sharing with other working groups (ENTSO-E, ACER)
Next steps?
PENTA 20.Nov. 2017

13. Conclusion
SG3 will ensure that the lessons are disseminated and further discussed in 2018
Encourage PENTA stakeholders to take part in new innovative pilots of H2020 ( )
Setting up link of SG3 with innovative projects to ensure the dissemination of knowledge to policy questions
explore if this format can also be used in an EU-wide discussion
PENTA 20.Nov. 2017