The CNMC approved a revision of the technical rules (operating procedures) that regulate the operation of the electrical system services (adjustment services) on June 12th to modernize and provide a remunerative framework for the existing voltage control service (DCOOR/DE/005/24).
Revision of the voltage control service
Synchronous and asynchronous generation currently have voltage control obligations (since 2000 and 2014 respectively). The CNMC has now completed the revision of the technical rules (operating procedures) that regulate the operation of the voltage control service necessary for the operation of the electrical system.
Traditionally, synchronous generation (thermal and hydraulic) has provided this service, while asynchronous generation (such as solar or wind) and demand (electricity consumers) only had the obligation to maintain their reactive energy generation or consumption within certain limits.
This revision introduces dynamism into the voltage control service, encouraging the development of capabilities to provide greater resources from all generation and demand technologies. Local markets are also created for the contracting of additional capacity to enhance the service’s efficiency.
The design of the service was developed based on an initial proposal from the electrical system operator in June 2021. The Resolution Memorandum of September 8, 2022, expressed concerns about the proposed model and other technical aspects related to its adaptation.
In order to better align the proposal with the requirements of the European regulatory framework (specifically Directive (EU) 2019/944 and Regulation (EU) 2019/943) and to take into account the effective capacities of all technologies, particularly renewable energies and demand, two regulatory demonstration projects were launched on July 28, 2022, and November 2, 2023, respectively. These projects allowed for the implementation of a voltage control service provision through a market model, providing evidence on the economic efficiency of the service provision based on a market mechanism.
The first demonstration project highlighted the ability of renewable generation to provide the service dynamically with high economic efficiency, particularly emphasizing the additional reactive capacity of renewable generation, especially at low active power production levels that current regulations do not incentivize.
The second project demonstrated the responsiveness of demand to the introduction of economic incentives. By resolution of January 16, 2025, this project has recently been extended until February 2026 to further advance the understanding of the industry’s potential to contribute to solving voltage control issues. During its development, it was noted that participating consumers significantly modified their power factor, beginning to consume reactive power, which is beneficial for voltage control.
Based on the experiences gained from these projects, in March 2024, the system operator submitted a new service design proposal to the CNMC that incorporates economic incentives for dynamic provision. This proposal has now been approved after the public consultation process (launched on November 18, 2024) and the subsequent analysis and consideration of comments.
Action plan in the field of wholesale electricity market rules
The adaptation of this service is part of the CNMC’s efforts to align national regulations in the electricity market with the methodologies and criteria established in Directive (EU) 2019/944 and Regulation (EU) 2019/943, and its 2024 reform. These efforts aim to harmonize all segments of the market, including daily and intraday segments, where parties negotiate energy exchanges, as well as the adjustment services of the electrical system, to promote greater competition and efficiency.
Resolutions for the development of the European electricity market
In recent years, the CNMC has approved numerous resolutions aimed at deepening the creation of an efficient, competitive, homogeneous, and integrated European market. These resolutions regulate aspects such as:
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