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POWER: Dutch-Norwegian Cross-Border Hedging Dispute to Be Resolved by Acer

POWER

Norway and the Netherlands have asked energy regulators ESA and Acer to resolve a dispute on the cross-border power hedging via the NorNed interconnector, a letter seen by Montel showed. 

  • The Dutch National Regulatory Authority and Autoriteit Consument & Markt requested a six-month extension from ACER on 18 February 2024 to adopt coordinated decisions with the Norwegian NRA, NVE-RME, on electricity cross-zonal risk hedging opportunities. 
  • The deadline for the extension expired on Monday. 
  • The countries are discussing whether LTRs should be introduced on the 700MW NorNed interconnector, which is favoured by the Dutch regulator. 
  • Norway on the other hand is saying that LTRs are not the best option for the Nordic market due to its small bidding zones, and it could weaken market liquidity. 

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