Integration of the Italian electricity market with Single Intra-Day Coupling (SIDC).

Intra-day markets are an important tool for market participants who are thus able to balance their positions as injections and/or withdrawals can change between the day-ahead market and real-time transactions. The growth of intermittent energy sources has increased the importance of efficient intra-day markets.

The European regulatory context has established a Target Model for intra-season markets, determining that the European "Single Intra-Day Coupling" (SIDC) is based on energy trading according to a continuous trading mechanism, in which the interconnection capacity available between the various areas that compose the CIS is implicitly allocated in the context of the combination of purchase and sale offers located in different areas. In addition to the continuous trading method, the Target Model also provides that inter-zonal transmission capacity can also be allocated through complementary regional implicit auctions (CRIDA), if requested by the individual National Regulatory Authorities (NRA).

In order to implement the SIDC Target Model, the main European NEMOs (including GME), together with the transmission system operators (TSO) of 12 countries, have launched an initiative called XBID Market Project, which went into operation in central Europe in 2018, with the aim of creating a European intra-day market based on continuous trading that would allow implicit capacity allocation.

The XBID project is based on a common IT system that acts as the backbone of the European solution, as it connects the Local Trading System managed by the individual NEMOs and allows combinations between the various local trading books to take place in compliance with the cross-zonal transmission capacities that are provided to XBID by TSOs. In this way, the offers to buy and sell energy submitted by market participants in a country/market zone can be coupled with those submitted by other participants from other countries/market zones taking part in XBID, provided that there is available interconnection capacity.

In the regional context of interest for Italy, on the basis of resolution 350/2019/R/EEL of 30 July 2019, ARERA has also set up continuous trading. In Italy implicit auctions (CRIDA) must also take place, as foreseen by the Target Model. Implementation of the CRIDA, in which the NEMOs and TSOs of Slovenia and Greece also participate, takes place in Italy through the performing of three implicit auctions (MI-CRIDA), which replace the previous 7 auctions of which the MI was composed.

ARERA has also provided that in addition to the LTS platform - through which Italian participants can complete negotiations and interface with the XBID systems - and the CRIDA, GME should additionally manage the "Nomination platform", through which market participants can appoint the commercial positions accrued during trading on XBID on the offer points for injection and withdrawal which they own.

For these purposes, GME has prepared the appropriate amendments to the Rules and to the related Technical Rules of the Electricity Market.

3rd wave Launch event

Cross-Border Intraday: Questions & Answers  

Xbid Launch Information Package  

Go live details for Market Participants - Trading Opportunities