International collaboration is a powerful tool in understanding issues around flexibility market design. Understanding the implications of design decisions is greatly enhanced by access to insights from the widest possible range of existing markets and the ability to capture the whole spectrum of different market contexts, which will help generate a body of evidence that is rich and diverse in scope. It is foreseen that this body of evidence will in turn be useful to all partner countries in evaluating different architectures for their own systems.
The scope of this Annex is all aspects of market design for power system flexibility. This includes:
- the whole range of market timescales, from long term investment signals to second-to-second balancing and response;
- the whole physical system from large centralized generation to behind the meter sources of flexibility within domestic settings and interfaces with other vectors;
- all sources of value that flexibility conceivably could capture, going beyond MWh to include characteristics like voltage control, repeatability, inertia, locational constraint alleviation;
- and aspects of the market that go beyond the trading rules such as consumer support, or how obligations (such as with respect to grid stability) are understood and checked
The new operating agent will be Dr. Iliana Cardenes from the UK Department for Business, Energy & Industrial Strategy (BEIS).
Beneficiaries of this Annex will be all ISGAN participants, the IEA and the Clean Energy Ministerial, colleagues working in related campaigns such as the Power Systems Flexibility Campaign and Mission Innovation, and any stakeholders involved in the design and operation of energy markets. These comprise government departments at supranational, national and sub-national level (including cities), as well as regulatory authorities, and potential market participants who are currently experiencing difficulties in getting flexibility to market.
Results will be made available in the form of webinars, workshops, publications (Policy briefs, white papers, etc.), scientific publications, presentations at conferences, and social-media facilitated peer-to-peer discussion groups.