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Interactions between frequency response markets - can’t get enough

Luke Ansell Analyst

Frequency response markets are in a period of transition, as the Electricity System Operator (ESO) looks to usher in a new suite of three faster-acting frequency response services that can better manage frequency changes on a low inertia, high renewables system. Dynamic Containment (DC), the first of these new services, had a soft launch in October 2020, the low frequency component of DC (DC-LF) is live alongside the existing suite of slower-acting frequency services: Firm Frequency Response (FFR), the weekly auction trial and Mandatory Frequency Response (MFR). In this 'Chart of the week', we look at trends in the procurement of frequency response services, discuss how they interact today and where they will move in the future. The FFR and weekly auction services provide both dynamic and static response to manage system frequency. The weekly auction was introduced as a two-year trial in June 2019 to meet National Grid ESO’s aim to procure flexibility closer to real-time. Each month, the ESO publish their requirement for dynamic and static response per EFA block—four hourly chunks of the day—for the monthly FFR tender. The chart shows the average dynamic (across the three variants of response – primary, secondary and high response) and static requirement for the past five months, along with the average volumes procured per EFA block for that month. The requirement for DC and accepted volumes are also shown, which are assumed to be available 24/7, rather than per EFA block. The average procurement of dynamic FFR ...

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