Incentive scheme for efficient grid utilization in the Swedish revenue cap regulation from 2020

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CIRED 2019 - 948.pdf (523.95 KB)

Paper number

948

Working Group Number

Conference name

CIRED 2019

Conference date

3-6 June 2019

Conference location

Madrid, Spain

Peer-reviewed

Yes

Short title

Convener

Authors

Wallnerström, Carl Johan, The Swedish Energy Markets Inspectorate , Sweden
Wigenborg, Gustav , The Swedish Energy Markets Inspectorate , Sweden
Huang, Yalin, The Swedish Energy Markets Inspectorate , Sweden
Ström, Lars , The Swedish Energy Markets Inspectorate , Sweden
Johansson, Tommy , The Swedish Energy Markets Inspectorate , Sweden

Abstract

The national regulatory authority (NRA) for energy in Sweden, the Swedish Energy Markets Inspectorate (Ei), determines a revenue cap for each distribution system operator (DSO) and for the transmission system operator (TSO) for a regulatory period of four years at a time. The revenue cap is adjusted based on e.g. the performance regarding efficient grid utilization and continuity of supply. Ei aims to continuously evaluate and improve the regulatory framework for DSOs and the TSO.​This paper describes the efficient grid utilization incentive scheme with extra focus on upcoming changes from next regulatory period 2020-2023. This incentive scheme is divided into two parts: 1) reducing network losses and 2) reducing load flow peaks in connections to other grids (load). The most significant change about the first part (losses) is the introduction of a benchmarking method when calculating norm values taking the DSO’s individual objective conditions into consideration. The second part (load) has got a completely new structure, from comparing costs (that indirect partly depends on the load) to more directly comparing real achievements of the load. The indicator (average load factor) used to measure the load will remain the same but will evaluated further within the long-term development work at Ei.

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Publisher

AIM

Date

2019-06-03

Published in

CIRED 2019 Conference

Permanent link to this record

https://cired-repository.org/handle/20.500.12455/213
http://dx.doi.org/10.34890/419

ISSN

2032-9644

ISBN

978-2-9602415-0-1