Balancing Mechanism Wider Access
The Balancing Mechanism (BM) has so far only been accessible to energy suppliers and licenced generators; through the introduction of a new market structure, Virtual Lead Parties (VLP), National Grid ESO is opening up access to this real-time balancing market for all sources of electrical flexibility. This is a huge opportunity for those flexible energy users and small generators who previously haven’t been able to access the full range of revenue streams available to flexibility.
A big milestone
On 23rd April 2020, Flexitricity completed the first ever Balancing Mechanism transaction as a Virtual Lead Party through Balancing Mechanism Wider Access route to market by dispatching two batteries owned by Philip Dennis Foodservice.
Click HERE to read the press release.
- Roadmap – widening access to the BM in the context of broader market changes, how it came about and what’s to follow.
- Regulatory landscape and Flexitricity’s new VLP role in widening the market access.
- Concepts – we define some key concepts, including the Balancing Mechanism, Virtual Lead Parties, Secondary BMUs and more.
- Participation - what types and size of assets can participate.
- Range of opportunities - The difference between accessing the BM through Flexitricity+ Energy Supply and through Flexiticity’s VLP offering.
- Revenue agility – strategies for optimising revenue from the energy markets.
- Practicalities – registration requirements, metering / settlement and payments.