NEURC raised price caps for day-ahead / intraday electricity market
The National Energy and Utilities Regulation Commission (NEURC) raise the maximum marginal prices for day-ahead and intraday electricity market in the Integrated power System of Ukraine up to 4000 UAH/MWh for daytime hours (07:00-23:00), and up to 2000 UAH/MWh for nighttime hours (23:00-07:00) effective August 1, 2021.
The corresponding decision was made at NEURC’s weekly meeting on July 30, 2021.
"We are taking consistent steps towards market liberalization. In fact, this is the termination of price restrictions, if we have price caps at 2000 UAH/MWh and 4000 UAH/MWh. We are giving a signal to the market, I think this is a very right step," commented Valerii Tarasiuk, Chairman of the NEURC.
As it was pointed out at the NEURC’s meeting, the raise of the upper price cap was caused by the tendency of rising fuel prices for electricity generation and the need for switching Ukrainian fast-start load following and restoration facilities to operate on coal.
Accordingly, the upper price cap for the balancing market should be changed. From August 1, the upper price cap for peak loads will be 4600 UAH/MWh, while off-peak loads will be price-capped at 2300 UAH/MWh.
As previously reported by ExPro, before the decision was made on July 30, from June 18, 2021, at day-ahead and intraday electricity in the Integrated Power System were under the price caps at the level of 1243.71 and 2655.99 UAH/MWh for the hours of minimum and maximum load, respectively. Subsequently, the NEURC planned to adjust the marginal prices up to 1500 UAH/MWh and 3000 UAH/MWh.