Balance management services in the electricity market
In the physical electricity market balance management is the process of forecasting, planning, and adjusting the electricity supply and demand to minimize the costs and maximize the revenues of electricity trading.
Our 24/7 energy desk offers optimized balance management services to the operators in the physical electricity markets. This entails forecasting of consumption and/or production, trading in day-ahead –markets (spot), reporting, and services related to us operating as a balance responsible party, such as open supply, balance settlement and messaging services. With the help of our experts, you can lower the risks in case of disruptions but also seize the opportunities the markets offer.
Gasum's balance management services
- Management of production and consumption forecasts
- Day ahead and intraday market trading
- Services of Balance Responsible Party
- Customer reporting and information systems for electricity trading
Management of production and consumption forecasts
Our 24/7 energy desk specialists make, and update customer-specific consumption and production forecasts based on historical, weather and market data, and customer contracts. Consumption forecast includes e.g. electricity load on the grid, properties and industry, and production can be forecasted e.g. for CHP and wind power. Fixed trades and production shares are taken into account in the forecast. Alternatively, you can forecast your own production and consumption with our Feria reporting system.
Trading in day-ahead and intraday markets
Based on the production and consumption forecasts our energy market experts operate in the Nord Pool Day-ahead market (Elspot) on behalf of our customers. Day-ahead market is a closed auction where customers can sell or buy energy for the next 24 hours. The spot prices are determined based on supply and demand. In Nord Pool there are more than 300 buyers and sellers trading in 15 different countries across 21 bidding zones.
In the Day-ahead market members submit orders before the specific cut-off point, after which the market calculates the electricity price for each hour of the next day. The result is used as the baseline for planning the next 24-hours of electricity consumption and production. Adjustments to the forecasts and capitalization of emerging opportunities can occur within the Nord Pool’s intraday market, which is a continuous trading environment up until an hour before delivery. This market is also instrumental when any unexpected shifts in consumption and production occur.
Gasum as a Balance Responsible Party
Every participant in the electricity market has to ensure that its power balance is always maintained. This means keeping the electricity production, procurement, consumption and sales in continuous power balance. In practice, electricity consumers and producers rely on balance responsible parties (BRPs) to handle this responsibility.
Gasum operates as a Balance Responsible Party (BRP) in the electricity markets in Finland and Sweden, with an important role to ensure that the production and consumption of electricity is balanced in real-time. Fingrid and Svenska Kraftnät are the open suppliers that adjust participants’ power balance. In case the actual production or consumption deviates from the planned, the surplus energy will be sold or more energy bought.
What we deliver
- Customized balance management services in physical electricity markets, adjusted to minimize costs and maximize revenues
- Consumption and production forecasting conducted by specialized 24/7 energy desk
- Trade facilitation in both day-ahead and intraday markets on behalf of the clients
- Operations as a Balance Responsible Party (BRP), ensuring a balanced electricity production and consumption in real-time
- Provide customer-specific reports and information systems for electricity trading
- Management of balance settlements and messaging services
- Make your own forecasts with Feria reporting system
- Handle power balance adjustments when actual production or consumption deviates from the plan.