Electrification System: (1) Otherwise known as the power grid, this includes all devices necessary for generating electricity and its transmission and distribution all the way to individual appliances. This includes alternators in power plants, the transmission system and the distribution system.
Alternator: (1) An electric machine or generator which employs a rotating magnetic field to convert mechanical energy into electrical energy. Alternators are a source of alternating current and voltage.
Transmission System: (1) A system that carries electrical energy from power plants to large electrical stations or nodes, usually of a higher voltage. The local Transmission System consists of 400 and 220 kV networks. The task of the Transmission System (2) is to ensure the distribution of electricity to subordinate distribution systems and authorized customers.
Distribution System: (3) A network of interconnected power lines of very high, high and low voltage, as well as the equipment necessary for the distribution of electricity to all parts of a defined territory. The Distribution System also includes measuring, protection, control, security, information and telecommunication equipment necessary for its operation, including power lines and electric power equipment, which ensure the transmission of electricity.
Local Distribution System (LDS): (4) A distribution system with no more than 100,000 delivery points connected. An LDS is usually connected to the superior regional distribution system. LDS operations in the energy sector require a state permit.
Settlement Entity: (3) A participant in the electricity market personally responsible for deviations of electricity under contract with the deviation settlement agent, i.e. the short-term electricity market operator. The entities of settlement are, for example, electricity suppliers, large manufacturing enterprises or electricity producers.
Deviation of the Settlement Entity: (3) The difference between the amount of electricity planned and the actual amount of electricity consumed and produced by the balance group in MWh, rounded to three decimal places after considering the amount of regulated electricity procured. The settlement entity's deviation is positive if the settlement entity causes an excess of electricity in the power grid and negative if a shortage is produced.
System Deviation: (5) Any excess or lack of electricity in the power grid calculated every quarter-hour. Deviations occur when there is a difference between the actual amount of electricity consumed and the total amount of electricity planned. Each settlement entity creates a plan for the consumption and production of electricity by its balancing group one day in advance and is responsible for any deviations which are the result of faulty planning. System deviation for each trading quarter is calculated as the combined deviations of all settlement entities. System bias can be positive or negative. It is positive if the total consumption in the system is lower than agreed, or the planned amount of all settlement entities, resulting in a surplus of electricity in the power grid. On the contrary, if total consumption is higher than planned and there is a shortage of electricity in the power grid, the bias is negative.
Regulation Electricity (RE): (3) Electricity procured in real time by the transmission system operator (TSO) to balance system deviations, ensuring the stability of the transmission system and the quality of electricity. Regulation electricity can be positive or negative. Positive regulation electricity balances positive system deviations (i.e. excess electricity in the power grid) and requires an increase in electricity production from energy sources or a decrease in consumption on the part of customers. Negative regulation electricity compensates for negative deviations in the system (i.e. a lack of electricity in the power grid), and necessitates a reduction by producers or an increase in consumption by consumers.
Settlement Price of Deviation: (5) This cost is higher than the price of the regulation electricity itself. Income from deviations is passed from the short-term electricity market operator to the transmission system operator for payment of regulation electricity. The latter must pay the costs of activated regulation electricity, but also for the reserved capacity. In the case of a low deviation price, the Energy Regulatory Office will adjust the final limit price.
Counter-Deviation: (5) This arises in the situation where system deviation is positive and the settlement entity deviation is negative, or vice versa. This means that the balance group of the settlement entity consumed / produced more or less electricity relative to the plan, but this, in fact, helped to balance the system deviation and thus reduce the need for regulation electricity. Counter-deviations represent a way in which billing entities, such as electricity suppliers, can generate a profit.
Ancillary Services: (6) These are energy services that the transmission system operator purchases to maintain the quality of electricity supply and the operational reliability of the power grid during system deviations. Ancillary services supply regulation electricity.
Certified Ancillary Service: This is the contractual provision of regulation electricity (positive or negative) by an entity that meets the technical and commercial conditions determined by TSO regulations. A contractual commitment to the minimum availability of regulation electricity is required. Financial rewards are offered for the regulation electricity provided, as well as for availability even when regulation electricity is not provided. In the event that the TSO detects an entity's inability to comply with the agreed availability period, the entity is fined. Certified ancillary service is mainly provided by entities burning fossil-fuels, such as heating plants and diesel generators. Green providers of certified ancillary services can be transfer tanks or entities burning biomass, and now also battery storage systems.
Non-certified Ancillary Service: This is the provision of regulation electricity (positive or negative) in the delivery or at the production point (i.e. behind the smart meter) without any contractual commitment to availability. An entity providing non-certified ancillary services does not have to meet the technical and business conditions determined by TSO regulations. Regulation electricity is provided for a financial reward at a time when it is technically possible and financially advantageous. The provision of regulation electricity occurs by charging / discharging batteries and/or reducing / increasing the power output of energy-intensive technologies, also known as Flexibility. Regulation takes place in the direction of counter-deviation and is billed through the electricity supplier.
The provision of regulation electricity (positive or negative) in the delivery or at the production point (i.e. behind the smart meter) without any contractual commitment to availability. An entity providing non-certified ancillary services does not have to meet the technical and business conditions determined by TSO regulations. Regulation electricity is provided for a financial reward at a time when it is technically possible and financially advantageous. The provision of regulation electricity occurs by charging / discharging batteries and/or reducing / increasing the power output of energy-intensive technologies, also known as Flexibility. Regulation takes place in the direction of counter-deviation and is billed through the electricity supplier.
Flexibility (Demand Side Response): (7) Flexibility describes the increasing or decreasing of power output of operating technologies and energy sources and/or shifting the electricity consumption of the delivery point through battery storage in real time in order to reduce the load on the transmission system. Flexibility helps to balance peaks (peak shaving) and shift the load (load shifting) of the transmission system and results in additional income for the delivery point from the provision of Non-certified Ancillary Services. Flexibility plays an important role in the transition to low-carbon energy by including a higher share of renewable energy sources.
Aggregator of Flexibility: (8) A physical person or legal entity that combines, manages and represents several delivery points and/or production points in the electricity market.
Delivery Point: (2) An end user and buyer of electricity for personal consumption. It can be a household or a company, and is usually the same place where electricity consumption is measured. The consumption of one customer can also be measured at several delivery points.
Production Point: (8) A place of production and physical supplier of electricity to the transmission system consisting of one measurement point.
Smart-Metering: A measurement taken using an intelligent electricity meter, or so-called smart meter, which automatically sends data to the operator of the distribution system. This is a certified meter owned by the distribution system operator, which is used for invoicing purposes.
Sub-Metering: The installation of an additional electricity meter after the smart meter, used to provide online data on the consumption and production of electricity of selected technologies. Data from this secondary measurement is compared with the invoicing data from the smart meter. The measurement accuracy is 99.9%.
Regulated Energy Consumer: (9) A physical person or legal entity under contract to receive electricity from a supplier and maintaining the legal right to a fixed cost for gas or electricity supply as regulated by the Regulatory Office for Network Industries. This concerns households and small businesses with an annual consumption of up to 30 MWh of electricity or 100 MWh of gas. Also included are communities of apartment owners with private own boiler rooms, social service facilities, rental and social apartments.
Unregulated Energy Consumer: All entities with an annual consumption of more than 30 MWh of electricity or 100 MWh of gas which do not fall into the category of regulated energy consumers and purchase electricity from a supplier according to a contract on the joint supply of electricity at prices not subject to price regulation.
Balance Group: (3) A group of delivery points and production points for which one common billing entity, for example, an electricity supplier, has taken over the responsibility for deviations.
Production Plan: A plan for the production of electricity at a production point for the following day, containing a daily diagram of electricity supply.
Consumption Plan: A plan for the consumption of electricity at a delivery point for the following day, containing a daily diagram of electricity consumption.
Daily Diagram: (3) A sequence of planned amounts of electricity consumption or production for the delivery or consumption point for each hour of the business day, divided into 15-minute intervals.
Reactive Power: (4) This phenomenon arises in delivery points operating the appliances with inductive electricity consumption (such as electric motors, transformer welding machines, etc.) which are causing a phase shift between voltage and electric current. Voltage vectors precede electric current vectors, and the magnitude of this shift is expressed by the “power factor”. The power factor expresses the ratio between active and reactive energy measured at the delivery point. In an ideal case, the power factor value is equal to 1. Then only active energy flows and no reactive energy. If the power factor is lower than 1, reactive energy, which does not do work, flows through the customer's delivery point and the distribution system, unnecessarily loading electrical distribution systems. A tariff for non-compliance with the prescribed power factor value can be prevented by installing a compensation device.
Maximum Reserved Capacity (MRC): (4) At voltage level VHV and HV (very high voltage, high voltage), it is the maximum volume of electricity that delivery point can consume from the power grid. More precisely, it is the average value of the quarter-hourly active power negotiated in the contract for connection to the distribution system, or determined in the connection conditions for one delivery point. The MRC at the low voltage (LV) level is determined by the amperage value of the main circuit breaker in front of the electricity meter or the value of the MRC in kilowatts converted into electric current in amperes negotiated in the contract for connection to the distribution system, or determined in the connection conditions for one delivery point.
Reserved Capacity (RC): (10) A monthly, quarterly or annual capacity of electricity supply at the VHV and HV level for each 15-min interval that must be supplied to the delivery point under the contract on electricity distribution or contract on the joint supply of electricity. The tariff for reserved capacity is charged monthly. If a customer exceeds the RC value, the supplier charges a fee. Reserved capacity can be increased during the calendar year to the level of the Maximum Reserved Capacity.
Measurement and Regulation (MaR): A system that ensures the control and smooth performance of operating technologies such as heating, ventilation, air conditioning, cooling or lighting for the delivery point. MaR manages comfort, safety, technology management, monitoring and, last but not least, the optimization of energy consumption.
Uninterruptible Power Supply (UPS): (11) A UPS ensures the safety and operation of critical computer systems, IT and other electronic equipment during power surges and power outages by providing immediate backup power from batteries when the power flow drops to insufficient voltage or stops.
Backup Power Source: This ensures a supply of electricity in the event of any failure of the main source of electricity. Backup sources can be UPS battery systems, characterized by a quick start-up but only lasting a limited time. Another is a local power plant or a diesel unit, using a synchronous generator and diesel combustion engine, which can run for an unlimited time, but the onset of electricity production can be calculated in minutes.
Are you ready to be part of the renewable energy revolution and take your energy independence to the next level? Contact us today! Our experts are here to help you find a solution tailored to your needs.
New dimension of energy optimization
