Commission Regulation (EU) 2016/1388 of 17 August 2016 establishing a Network Code on Demand Connection (Text with EEA relevance)

COMMISSION REGULATION (EU) 2016/1388 of 17 August 2016 establishing a Network Code on Demand Connection (Text with EEA relevance)

THE EUROPEAN COMMISSION,

Having regard to the Treaty on the Functioning of the European Union,

Having regard to Regulation (EC) No 714/2009 of the European Parliament and of the Council of 13 July 2009 on conditions for access to the network for cross-border exchanges in electricity and repealing Regulation (EC) No 1228/2003 (1), and in particular Article 6(11) thereof,

Whereas:

(1) The swift completion of a fully functioning and interconnected internal energy market is crucial to maintaining security of energy supply, increasing competitiveness and ensuring that all consumers can purchase energy at affordable prices.

(2) Regulation (EC) No 714/2009 sets out non-discriminatory rules governing access to the network for cross-border exchanges in electricity with a view to ensuring the proper functioning of the internal market in electricity. In addition Article 5 of Directive 2009/72/EC of the European Parliament and of the Council (2) requires that Member States or, where Member States have so provided, regulatory authorities ensure, inter alia, that objective and non-discriminatory technical rules are developed which establish minimum technical design and operational requirements for the connection to the system. Where requirements constitute terms and conditions for connection to national networks, Article 37(6) of the same Directive requires regulatory authorities to be responsible for fixing or approving at least the methodologies used to calculate or establish them. In order to provide system security within the interconnected transmission system, it is essential to establish a common understanding of the requirements for grid connection applicable to demand facilities and distribution systems, including closed distribution systems. Those requirements that contribute to maintaining, preserving and restoring system security in order to facilitate proper functioning of the internal electricity market within and between synchronous areas, and to achieve cost efficiencies, should be regarded as cross-border network issues and market integration issues.

(3) Harmonised rules for grid connection for demand facilities and distribution systems should be set out in order to provide a clear legal framework for grid connections, facilitate Union-wide trade in electricity, ensure system security, facilitate the integration of renewable electricity sources, increase competition, and allow more efficient use of the network and resources, for the benefit of consumers.

(4) System security cannot be ensured independently from the technical capabilities of all users. Historically, generation facilities have formed the backbone of providing technical capabilities. However, in this regard, demand facilities are expected to play a more pivotal role in the future. Regular coordination at the level of the transmission and distribution networks and adequate performance of the equipment connected to the transmission and distribution networks with sufficient robustness to cope with disturbances and to help to prevent any major disruption or to facilitate restoration of the system after a collapse are fundamental prerequisites.

(5) Regulatory authorities should consider the reasonable costs effectively incurred by system operators in the implementation of this Regulation when fixing or approving transmission or distribution tariffs or their methodologies or when approving the terms and conditions for connection and access to national networks in accordance with Article 37(1) and (6) of Directive 2009/72/EC and with Article 14 of Regulation (EC) No 714/2009.

(6) Different synchronous electricity systems in the Union have different characteristics which need to be taken into account when setting the requirements for demand connection. It is therefore appropriate to consider regional specificities when establishing network connection rules as required by Article 8(6) of Regulation (EC) No 714/2009.

(7) In view of the need to provide regulatory certainty, the requirements of this Regulation should apply to new transmission-connected demand facilities, new transmission-connected distribution facilities, new distribution systems and new demand units used by a demand facility or a closed distribution system to provide demand response services to relevant system operators and relevant transmission system operators (‘TSOs’). The requirements of this Regulation should not apply to existing transmission-connected demand facilities, existing transmission-connected distribution facilities, existing distribution systems and existing demand units that are or can be used by a demand facility or a closed distribution system to provide demand response services to relevant system operators and relevant TSOs. The requirements of this Regulation also should not apply to new or existing demand facilities connected at the distribution level unless they provide demand response services to relevant system operators and relevant TSOs. However, the requirements of this Regulation should apply in case the relevant regulatory authority or Member State decides otherwise based on evolution of system requirements and a full cost-benefit analysis, or in case a substantial modernisation or replacement of equipment impacting the technical capabilities of an existing transmission-connected demand facility, an existing transmission-connected distribution facility, an existing distribution system, or an existing demand unit within a demand facility or a closed distribution system connected at a voltage level above 1 000 V has been performed.

(8) Demand response is an important instrument for increasing the flexibility of the internal energy market and for enabling optimal use of networks. It should be based on customers' actions or on their agreement for a third party to take action on their behalf. A demand facility owner or a closed distribution system operator (‘CDSO’) may offer demand response services to the market as well as to system operators for grid security. In the latter case, the demand facility owner or the closed distribution system operator should ensure that new demand units used to provide such services fulfil the requirements set out in this Regulation, either individually or commonly as part of demand aggregation through a third party. In this regard, third parties have a key role in bringing together demand response capacities and can have the responsibility and obligation to ensure the reliability of those services, where those responsibilities are delegated by the demand facility owner and the closed distribution system operator.

(9) The requirements should be based on the principles of non-discrimination and transparency as well as on the principle of optimisation between the highest overall efficiency and lowest total cost for all involved parties. TSOs and distribution system operators (‘DSOs’) including CDSOs can take those elements into account when defining the requirements in accordance with the provisions of this Regulation, whilst recognising that the thresholds which determine whether a system is a transmission system or a distribution system are established at the national level.

(10) The requirements applicable to a demand facility connected to a transmission system should set out the capabilities at their interfaces and the necessary automated responses and data exchange. These requirements aim at ensuring the operability of the transmission system, and the capacity to utilise the generation and demand response embedded in these networks over system operational ranges and critical events.

(11) The requirements applicable to a distribution system connected to a transmission system or another distribution system should set out the operational range of these systems and the necessary automated responses and data exchange. These requirements should ensure the effective development and operability of the transmission system, and the capacity to utilise the generation and demand response embedded in these networks over system operational ranges and critical events.

(12) The requirements applicable to a demand unit used by a demand facility or a closed distribution system to provide demand response services to relevant system operators and relevant TSOs should ensure the capacity to use the demand response over system operational ranges thereby minimising critical events.

(13) The administrative burdens and costs associated with providing demand response should be kept within reasonable limits, in particular as regards domestic consumers, who will play an increasingly important role in the transition to low carbon society and their uptake should not be unnecessarily burdened with administrative tasks.

(14) Due to its cross-border impact, this Regulation should aim at the same frequency- related requirements for all voltage levels, at least within a synchronous area. That is necessary because, within a synchronous area, a change in frequency in one Member State would immediately impact frequency and could damage equipment in all other Member States.

(15) Voltage ranges should be coordinated between interconnected systems because they are crucial to secure planning and operation of a power system within a synchronous area. Disconnections because of voltage disturbances have an impact on neighbouring systems. Failure to specify voltage ranges could lead to widespread uncertainty in planning and operation of the system with respect to operation beyond normal operating conditions.

(16) Appropriate and proportionate compliance testing should be introduced so that system operators can ensure operational security. In accordance with Article 37(1)(b) of Directive 2009/72/EC, regulatory authorities are responsible for ensuring that system operators are compliant with this Regulation.

(17) The regulatory authorities, Member States and system operators should ensure that, in the process of developing and approving the requirements for network connection, they are harmonised to the extent possible, in order to ensure full market integration. Established technical standards should be taken into particular consideration in the development of connection requirements.

(18) System operators should not specify technical requirements for equipment that hinder the free movement of goods in the internal market. Where system operators make technical specifications resulting in requirements for the placing on the market of equipment, the respective Member State should follow the procedure referred to in Articles 8 and 9 of Directive 98/34/EC of the European Parliament and of the Council (3).

(19) A process for derogating from the rules should be set out in this Regulation to take into account local circumstances where exceptionally, for example, compliance with those rules could jeopardise the stability of the local network or where the safe operation of a transmission-connected demand facility, a transmission-connected distribution facility, a distribution system, or a demand unit used by a demand facility or a closed distribution system to provide demand response services to relevant system operators and relevant TSOs, might require operating conditions that are not in line with this Regulation.

(20) Subject to approval by the relevant regulatory authority, or other authority where applicable in a Member State, demand facility owners and relevant system operators should be allowed to propose derogations for certain classes of transmission-connected demand facilities, transmission-connected distribution facilities, distribution systems and demand units used by a demand facility or a closed distribution system to provide demand response services to relevant system operators and relevant TSOs.

(21) According to Article 28 of Directive 2009/72/EC, Member States may provide for the classification of a system which distributes electricity as a closed distribution system in certain circumstances. The provisions of this Regulation should apply to closed distribution systems only where Member States have so provided according to Article 28 of Directive 2009/72/EC.

(22) This Regulation has been adopted on the basis of Regulation (EC) No 714/2009 which it supplements and of which it forms an integral part. References to Regulation (EC) No 714/2009 in other legal acts should be understood as also referring to this Regulation.

(23) The measures provided for in this Regulation are in accordance with the opinion of the Committee referred to in Article 23(1) of Regulation (EC) No 714/2009,

HAS ADOPTED THIS REGULATION:

TITLE I

GENERAL PROVISIONS

Article 1

Subject matter

(a) transmission-connected demand facilities;

(b) transmission-connected distribution facilities;

(c) distribution systems, including closed distribution systems;

(d) demand units, used by a demand facility or a closed distribution system to provide demand response services to relevant system operators and relevant TSOs.

Article 2

Definitions

For the purposes of this Regulation, the definitions in Article 2 of Directive 2012/27/EU of the European Parliament and of the Council (4), Article 2 of Regulation (EC) No 714/2009, Article 2 of Commission Regulation (EU) 2015/1222 (5), Article 2 of Commission Regulation (EU) 2016/631 (6), Article 2 of Commission Regulation (EU) No 543/2013 (7) and Article 2 of Directive 2009/72/EC shall apply.

In addition, the following definitions shall apply:

(1) ‘demand facility’ means a facility which consumes electrical energy and is connected at one or more connection points to the transmission or distribution system. A distribution system and/or auxiliary supplies of a power generating module do no constitute a demand facility;

(2) ‘transmission-connected demand facility’ means a demand facility which has a connection point to a transmission system;

(3) ‘transmission-connected distribution facility’ means a distribution system connection or the electrical plant and equipment used at the connection to the transmission system;

(4) ‘demand unit’ means an indivisible set of installations containing equipment which can be actively controlled by a demand facility owner or by a CDSO, either individually or commonly as part of demand aggregation through a third party;

(5) ‘closed distribution system’ means a distribution system classified pursuant to Article 28 of Directive 2009/72/EC as a closed distribution system by national regulatory authorities or by other competent authorities, where so provided by the Member State, which distributes electricity within a geographically confined industrial, commercial or shared services site and does not supply household customers, without prejudice to incidental use by a small number of households located within the area served by the system and with employment or similar associations with the owner of the system;

(6) ‘main demand equipment’ means at least one of the following equipment: motors, transformers, high voltage equipment at the connection point and at the process production plant;

(7) ‘transmission-connected distribution system’ means a distribution system connected to a transmission system, including transmission-connected distribution facilities;

(8) ‘maximum import capability’ means the maximum continuous active power that a transmission-connected demand facility or a transmission-connected distribution facility can consume from the network at the connection point, as specified in the connection agreement or as agreed between the relevant system operator and the transmission-connected demand facility owner or transmission-connected distribution system operator respectively;

(9) ‘maximum export capability’ means the maximum continuous active power that a transmission-connected demand facility or a transmission-connected distribution facility, can feed into the network at the connection point, as specified in the connection agreement or as agreed between the relevant system operator and the transmission-connected demand facility owner or transmission-connected distribution system operator respectively;

(10) ‘low frequency demand disconnection’ means an action where demand is disconnected during a low frequency event in order to recover the balance between demand and generation and restore system frequency to acceptable limits;

(11) ‘low voltage demand disconnection’ means a restoration action where demand is disconnected during a low voltage event in order to recover voltage to acceptable limits;

(12) ‘on load tap changer’ means a device for changing the tap of a winding, suitable for operation while the transformer is energised or on load;

(13) ‘on load tap changer blocking’ means an action that blocks the on load tap changer during a low voltage event in order to stop transformers from further tapping and suppressing voltages in an area;

(14) ‘control room’ means a relevant system operator's operation centre;

(15) ‘block loading’ means the maximum step active power loading of reconnected demand during system restoration after black-out;

(16) ‘demand response active power control’ means demand within a demand facility or closed distribution system that is available for modulation by the relevant system operator or relevant TSO, which results in an active power modification;

(17) ‘demand response reactive power control’ means reactive power or reactive power compensation devices in a demand facility or closed distribution system that are available for modulation by the relevant system operator or relevant TSO;

(18) ‘demand response transmission constraint management’ means demand within a demand facility or closed distribution system that is available for modulation by the relevant system operator or relevant TSO to manage transmission constraints within the system;

(19) ‘demand aggregation’ means a set of demand facilities or closed distribution systems which can operate as a single facility or closed distribution system for the purposes of offering one or more demand response services;

(20) ‘demand response system frequency control’ means demand within a demand facility or closed distribution system that is available for reduction or increase in response to frequency fluctuations, made by an autonomous response from the demand facility or closed distribution system to diminish these fluctuations;

(21) ‘demand response very fast active power control’ means demand within a demand facility or closed distribution system that can be modulated very fast in response to a frequency deviation, which results in a very fast active power modification;

(22) ‘demand response unit document’ (DRUD) means a document, issued either by the demand facility owner or the CDSO to the relevant system operator for demand units with demand response and connected at a voltage level above 1 000 V, which confirms the compliance of the demand unit with the technical requirements set out in this Regulation and provides the necessary data and statements, including a statement of compliance.

Article 3

Scope of application

(a) new transmission-connected demand facilities;

(b) new transmission-connected distribution facilities;

(c) new distribution systems, including new closed distribution systems;

(d) new demand units used by a demand facility or a closed distribution system to provide demand response services to relevant system operators and relevant TSOs.

The relevant system operator shall refuse to allow the connection of a new transmission-connected demand facility, a new transmission-connected distribution facility, or a new distribution system, which does not comply with the requirements set out in this Regulation and which is not covered by a derogation granted by the regulatory authority, or other authority where applicable in a Member State pursuant to Article 50. The relevant system operator shall communicate such refusal, by means of a reasoned statement in writing, to the demand facility owner, DSO, or CDSO and, unless specified otherwise by the regulatory authority, to the regulatory authority.

Based on compliance monitoring in accordance with Title III, the relevant TSO shall refuse demand response services subject to Articles 27 to 30 from new demand units not fulfilling the requirements set out in this Regulation.

(a) demand facilities and distribution systems connected to the transmission system and distribution systems, or to parts of the transmission system or distribution systems, of islands of Member States of which the systems are not operated synchronously with either the Continental Europe, Great Britain, Nordic, Ireland and Northern Ireland or Baltic synchronous area;

(b) storage devices except for pump-storage power generating modules in accordance with Article 5(2).

Article 4

Application to existing transmission-connected demand facilities, existing transmission-connected distribution facilities, existing distribution systems and existing demand units used to provide demand response services

(b) a regulatory authority or, where applicable, a Member State decides to make an existing transmission-connected demand facility, an existing transmission-connected distribution facility, an existing distribution system, or an existing demand unit subject to all or some of the requirements of this Regulation, following a proposal from the relevant TSO in accordance with paragraphs 3, 4 and 5.

(a) it is already connected to the network on the date of entry into force of this Regulation; or

(b) the demand facility owner, DSO, or CDSO has concluded a final and binding contract for the purchase of the main demand equipment or the demand unit by two years after the entry into force of the Regulation. The demand facility owner, DSO, or CDSO must notify the relevant system operator and relevant TSO of the conclusion of the contract within 30 months after the entry into force of the Regulation.

The notification submitted by the demand facility owner, DSO, or CDSO to the relevant system operator and the relevant TSO shall at least indicate the contract title, its date of signature and date of entry into force, and the specifications of the main demand equipment or the demand unit to be constructed, assembled or purchased.

A Member State may provide that in specified circumstances the regulatory authority may determine whether the transmission-connected demand facility, the transmission-connected distribution facility, the distribution system, or the demand unit is to be considered existing or new.

For that purpose a sound and transparent quantitative cost-benefit analysis shall be carried out, in accordance with Articles 48 and 49. The analysis shall indicate:

(a) the costs, in regard to existing transmission-connected demand facilities, existing transmission-connected distribution facilities, existing distribution systems and existing demand units, of requiring compliance with this Regulation;

(b) the socioeconomic benefit resulting from applying the requirements set out in this Regulation; and

(c) the potential of alternative measures to achieve the required performance.

(a) carry out a preliminary qualitative comparison of costs and benefits;

(b) obtain approval from the relevant regulatory authority or, where applicable, the Member State.

Article 5

Application to pump-storage power generating modules and industrial sites

Article 6

Regulatory aspects

(a) apply the principles of proportionality and non-discrimination;

(b) ensure transparency;

(c) apply the principle of optimisation between the highest overall efficiency and lowest total costs for all parties involved;

(d) respect the responsibility assigned to the relevant TSO in order to ensure system security, including as required by national legislation;

(e) consult with relevant DSOs and take account of potential impacts on their system;

(f) take into consideration agreed European standards and technical specifications.

Article 7

Multiple TSOs

Article 8

Recovery of costs

Article 9

Public consultation

(a) proposals to extend the applicability of this Regulation to existing transmission-connected demand facilities, existing transmission-connected distribution facilities, existing distribution systems and existing demand units in accordance with Article 4(3);

(b) the report prepared in accordance with Article 48(3);

(c) the cost-benefit analysis undertaken in accordance with Article 53(2);

(d) the requirements for demand units specified in accordance with Article 28(2)(c),(e),(f),(k) and (l) and Article 29(2)(c) to (e).

The consultation shall last at least for a period of one month.

Article 10

Stakeholder involvement

The Agency for the Cooperation of Energy Regulators (the Agency), in close cooperation with the European Network of Transmission System Operators for Electricity (ENTSO for Electricity), shall organise stakeholder involvement, regarding the requirements for the grid connection of transmission-connected demand facilities, transmission-connected distribution facilities, distribution systems and demand units used by a demand facility or a closed distribution system to provide demand response services to relevant system operators and relevant TSOs, and other aspects of the implementation of this Regulation. This shall include regular meetings with stakeholders to identify problems and propose improvements notably related to the requirements for grid connection of transmission-connected demand facilities, transmission-connected distribution facilities, distribution systems and demand units used by a demand facility or a closed distribution system to provide demand response services to relevant system operators and relevant TSOs.

Article 11

Confidentiality obligations

TITLE II

CONNECTION OF TRANSMISSION-CONNECTED DEMAND FACILITIES, TRANSMISSION-CONNECTED DISTRIBUTION FACILITIES AND DISTRIBUTION SYSTEMS

CHAPTER 1

General requirements

Article 12

General frequency requirements

Article 13

General voltage requirements

Article 14

Short-circuit requirements

Article 15

Reactive power requirements

(a) for transmission-connected demand facilities, the actual reactive power range specified by the relevant TSO for importing and exporting reactive power shall not be wider than 48 percent of the larger of the maximum import capacity or maximum export capacity (0,9 power factor import or export of active power), except in situations where either technical or financial system benefits are demonstrated, for transmission-connected demand facilities, by the transmission-connected demand facility owner and accepted by the relevant TSO;

(c) the relevant TSO and the transmission-connected distribution system operator shall agree on the scope of the analysis, which shall address the possible solutions, and determine the optimal solution for reactive power exchange between their systems, taking adequately into consideration the specific system characteristics, variable structure of power exchange, bidirectional flows and the reactive power capabilities in the distribution system;

(d) the relevant TSO may establish the use of metrics other than power factor in order to set out equivalent reactive power capability ranges;

(e) the reactive power range requirement values shall be met at the connection point;

(f) by way of derogation from point (e), where a connection point is shared between a power generating module and a demand facility, equivalent requirements shall be met at the point defined in relevant agreements or national law.

Article 16

Protection requirements

(a) external and internal short circuit;

(b) over- and under-voltage at the connection point to the transmission system;

(c) over- and under-frequency;

(d) demand circuit protection;

(e) unit transformer protection;

(f) back-up against protection and switchgear malfunction.

Article 17

Control requirements

(a) isolated (network) operation;

(b) damping of oscillations;

(c) disturbances to the transmission network;

(d) automatic switching to emergency supply and restoration to normal topology;

(e) automatic circuit-breaker re-closure (on 1-phase faults).

(a) transmission network protection;

(b) transmission-connected demand facility or transmission-connected distribution system protection;

(c) frequency control (active power adjustment);

(d) power restriction.

Article 18

Information exchange

Article 19

Demand disconnection and demand reconnection

(a) each transmission-connected distribution system operator and, where specified by the TSO, transmission-connected demand facility owner, shall provide capabilities that enable automatic ‘low frequency’ disconnection of a specified proportion of their demand. The relevant TSO may specify a disconnection trigger based on a combination of low frequency and rate-of-change-of-frequency;

(b) the low frequency demand disconnection functional capabilities shall allow for disconnecting demand in stages for a range of operational frequencies;

(d) the AC voltage supply used in providing low frequency demand disconnection functional capabilities, shall be provided from the network at the frequency signal measuring point, as used in providing functional capabilities in accordance with paragraph 1(c), so that the frequency of the low frequency demand disconnection functional capabilities supply voltage is the same as the one of the network.

(a) the relevant TSO may specify, in coordination with the transmission-connected distribution system operators, low voltage demand disconnection functional capabilities for the transmission-connected distribution facilities;

(b) the relevant TSO may specify, in coordination with the transmission-connected demand facility owners, low voltage demand disconnection functional capabilities for the transmission-connected demand facilities;

(c) based on the TSO's assessment concerning system security, the implementation of on load tap changer blocking and low voltage demand disconnection shall be binding for the transmission-connected distribution system operators;

(d) if the relevant TSO decides to implement a low voltage demand disconnection functional capability, the equipment for both on load tap changer blocking and low voltage demand disconnection shall be installed in coordination with the relevant TSO;

(e) the method for low voltage demand disconnection shall be implemented by relay or control room initiation;

(a) if required by the relevant TSO, the transformer at the transmission-connected distribution facility shall be capable of automatic or manual on load tap changer blocking;

(b) the relevant TSO shall specify the automatic on load tap changer blocking functional capability.

(a) with regard to the capability of reconnection after a disconnection, the relevant TSO shall specify the conditions under which a transmission-connected demand facility or a transmission-connected distribution system is entitled to reconnect to the transmission system. Installation of automatic reconnection systems shall be subject to prior authorisation by the relevant TSO;

(b) with regard to reconnection of a transmission-connected demand facility or a transmission-connected distribution system, the transmission-connected demand facility or the transmission-connected distribution system shall be capable of synchronisation for frequencies within the ranges set out in Article 12. The relevant TSO and the transmission-connected demand facility owner or the transmission-connected distribution system operator shall agree on the settings of synchronisation devices prior to connection of the transmission-connected demand facility or the transmission-connected distribution system, including voltage, frequency, phase angle range and deviation of voltage and frequency;

(c) a transmission-connected demand facility or a transmission-connected distribution facility shall be capable of being remotely disconnected from the transmission system when required by the relevant TSO. If required, the automated disconnection equipment for reconfiguration of the system in preparation for block loading shall be specified by the relevant TSO. The relevant TSO shall specify the time required for remote disconnection.

Article 20

Power quality

Transmission-connected demand facility owners and transmission-connected distribution system operators shall ensure that their connection to the network does not result in a determined level of distortion or fluctuation of the supply voltage on the network, at the connection point. The level of distortion shall not exceed that allocated to them by the relevant TSO. TSOs shall coordinate their power quality requirements with the requirements of adjacent TSOs.

Article 21

Simulation models

(a) steady and dynamic states, including 50 Hz component;

(b) electromagnetic transient simulations at the connection point;

(c) structure and block diagrams.

(a) power control;

(b) voltage control;

(c) transmission-connected demand facility and transmission-connected distribution system protection models;

(d) the different types of demand, that is to say electro technical characteristics of the demand; and

(e) converter models.

CHAPTER 2

Operational notification procedure

Article 22

General provisions

(a) an energisation operational notification (EON);

(b) an interim operational notification (ION);

(c) a final operational notification (FON).

Article 23

Energisation operational notification

Article 24

Interim operational notification

(a) an itemised statement of compliance;

(b) detailed technical data of the transmission-connected demand facility, the transmission-connected distribution facility or the transmission-connected distribution system relevant to the grid connection as specified by the relevant TSO;

(c) equipment certificates issued by an authorised certifier in respect of transmission-connected demand facilities, transmission-connected distribution facilities and transmission-connected distribution systems, where these are relied upon as part of the evidence of compliance;

(d) simulation models, as specified in Article 21 and required by the TSO;

(e) studies demonstrating expected steady-state and dynamic performance as required in Articles 43, 46 and 47;

(f) details of intended practical method of completing compliance tests according to Chapter 2 of Title IV.

Article 25

Final operational notification

(a) an itemised statement of compliance; and

(b) an update of the applicable technical data, simulation models and studies as referred to in points (b), (d) and (e) of Article 24(3), including the use of actual measured values during testing.

Where a request for a derogation is rejected, the relevant TSO shall have the right to refuse to allow the operation of the transmission-connected demand facility, the transmission-connected distribution facility, or the transmission-connected distribution system until the transmission-connected demand facility owner or transmission-connected distribution system operator and the relevant TSO resolve the incompatibility and the relevant TSO considers that the transmission-connected demand facility, the transmission-connected distribution facility, or the transmission-connected distribution system complies with the provisions of this Regulation.

If the relevant TSO and the transmission-connected demand facility owner or transmission-connected distribution system operator do not resolve the incompatibility within a reasonable time frame, but in any case not later than six months after the notification of the rejection of the request for a derogation, each party may refer the issue for decision to the regulatory authority.

Article 26

Limited operational notification

(a) the facility is temporarily subject to either significant modification or loss of capability affecting its performance; or

(b) equipment failure leading to non-compliance with some relevant requirements.

A longer time period to inform the relevant TSO can be agreed with the transmission-connected demand facility owner or transmission-connected distribution system operator depending on the nature of the changes.

(a) the unresolved issues justifying the granting of the LON;

(b) the responsibilities and timescales for expected solution; and

(c) a maximum period of validity which shall not exceed 12 months. The initial period granted may be shorter with the possibility of an extension if evidence is submitted to the satisfaction of the relevant TSO demonstrating that substantial progress has been made towards achieving full compliance.

TITLE III

CONNECTION OF DEMAND UNITS USED BY A DEMAND FACILITY OR A CLOSED DISTRIBUTION SYSTEM TO PROVIDE DEMAND RESPONSE SERVICES TO SYSTEM OPERATORS

CHAPTER 1

General requirements

Article 27

General provisions

Article 28

Specific provisions for demand units with demand response active power control, reactive power control and transmission constraint management

(a) be capable of operating across the frequency ranges specified in Article 12(1) and the extended range specified in Article 12(2);

(b) be capable of operating across the voltage ranges specified in Article 13 if connected at a voltage level at or above 110 kV;

(c) be capable of operating across the normal operational voltage range of the system at the connection point, specified by the relevant system operator, if connected at a voltage level below 110 kV. This range shall take into account existing standards and shall, prior to approval in accordance with Article 6, be subject to consultation with the relevant stakeholders in accordance with Article 9(1);

(d) be capable of controlling power consumption from the network in a range equal to the range contracted, directly or indirectly through a third party, by the relevant TSO;

(e) be equipped to receive instructions, directly or indirectly through a third party, from the relevant system operator or the relevant TSO to modify their demand and to transfer the necessary information. The relevant system operator shall make publicly available the technical specifications approved to enable this transfer of information. For demand units connected at a voltage level below 110 kV, these specifications shall, prior to approval in accordance with Article 6, be subject to consultation with the relevant stakeholders in accordance with Article 9(1);

(f) be capable of adjusting its power consumption within a time period specified by the relevant system operator or the relevant TSO. For demand units connected at a voltage level below 110 kV, these specifications shall, prior to approval in accordance with Article 6, be subject to consultation with the relevant stakeholders in accordance with Article 9(1);

(g) be capable of full execution of an instruction issued by the relevant system operator or the relevant TSO to modify its power consumption to the limits of the electrical protection safeguards, unless a contractually agreed method is in place with the relevant system operator or relevant TSO for the replacement of their contribution (including aggregated demand facilities' contribution through a third party);

(h) once a modification to power consumption has taken place and for the duration of the requested modification, only modify the demand used to provide the service if required by the relevant system operator or relevant TSO to the limits of the electrical protection safeguards, unless a contractually agreed method is in place with the relevant system operator or relevant TSO for the replacement of their contribution (including aggregated demand facilities' contribution through a third party). Instructions to modify power consumption may have immediate or delayed effects;

(i) notify the relevant system operator or relevant TSO of the modification of demand response capacity. The relevant system operator or relevant TSO shall specify the modalities of the notification;

(j) where the relevant system operator or the relevant TSO, directly or indirectly through a third party, command the modification of the power consumption, enable the modification of a part of its demand in response to an instruction by the relevant system operator or the relevant TSO, within the limits agreed with the demand facility owner or the CDSO and according to the demand unit settings;

(k) have the withstand capability to not disconnect from the system due to the rate-of-change-of-frequency up to a value specified by the relevant TSO. With regard to this withstand capability, the value of rate-of-change-of-frequency shall be calculated over a 500 ms time frame. For demand units connected at a voltage level below 110 kV, these specifications shall, prior to approval in accordance with Article 6, be subject to consultation with the relevant stakeholders in accordance with Article 9(1);

(l) where modification to the power consumption is specified via frequency or voltage control, or both, and via pre-alert signal sent by the relevant system operator or the relevant TSO, be equipped to receive, directly or indirectly through a third party, the instructions from the relevant system operator or the relevant TSO, to measure the frequency or voltage value, or both, to command the demand trip and to transfer the information. The relevant system operator shall specify and publish the technical specifications approved to enable this transfer of information. For demand units connected at a voltage level below 110 kV, these specifications shall, prior to approval in accordance with Article 6, be subject to consultation with the relevant stakeholders in accordance with Article 9(1).

Article 29

Specific provisions for demand units with demand response system frequency control

(a) be capable of operating across the frequency ranges specified in Article 12(1) and the extended range specified in Article 12(2);

(b) be capable of operating across the voltage ranges specified in Article 13 if connected at a voltage level at or above 110 kV;

(c) be capable of operating across the normal operational voltage range of the system at the connection point, specified by the relevant system operator, if connected at a voltage level below 110 kV. This range shall take into account existing standards, and shall, prior to approval in accordance with Article 6, be subject to consultation with the relevant stakeholders in accordance with Article 9(1);

(d) be equipped with a control system that is insensitive within a dead band around the nominal system frequency of 50,00 Hz, of a width to be specified by the relevant TSO in consultation with the TSOs in the synchronous area. For demand units connected at a voltage level below 110 kV, these specifications shall, prior to approval in accordance with Article 6, be subject to consultation with the relevant stakeholders in accordance with Article 9(1);

(e) be capable of, upon return to frequency within the dead band specified in paragraph 2(d), initiating a random time delay of up to 5 minutes before resuming normal operation. The maximum frequency deviation from nominal value of 50,00 Hz to respond to shall be specified by the relevant TSO in coordination with the TSOs in the synchronous area. For demand units connected at a voltage level below 110 kV, these specifications shall, prior to approval in accordance with Article 6, be subject to consultation with the relevant stakeholders in accordance with Article 9(1). The demand shall be increased or decreased for a system frequency above or below the dead band of nominal (50,00 Hz) respectively;

(f) be equipped with a controller that measures the actual system frequency. Measurements shall be updated at least every 0,2 seconds;

(g) be able to detect a change in system frequency of 0,01 Hz, in order to give overall linear proportional system response, with regard to the demand response system frequency control's sensitivity and accuracy of the frequency measurement and the consequent modification of the demand. The demand unit shall be capable of a rapid detection and response to changes in system frequency, to be specified by the relevant TSO in coordination with the TSOs in the synchronous area. An offset in the steady-state measurement of frequency shall be acceptable up to 0,05 Hz.

Article 30

Specific provisions for demand units with demand response very fast active power control

(a) a change of active power related to a measure such as the rate-of-change-of-frequency for that portion of its demand;

(b) the operating principle of this control system and the associated performance parameters;

(c) the response time for very fast active power control, which shall not be longer than 2 seconds.

CHAPTER 2

Operational notification procedure

Article 31

General provisions

(a) demand units within a demand facility or a closed distribution system connected at a voltage level of or below 1 000 V;

(b) demand units within a demand facility or a closed distribution system connected at a voltage level above 1 000 V.

Article 32

Procedures for demand units within a demand facility or a closed distribution system connected at a voltage level of or below 1 000 V

(a) the location at which the demand unit with demand response is connected to the network;

(b) the maximum capacity of the demand response installation in kW;

(c) the type of demand response services;

(d) the demand unit certificate and the equipment certificate as relevant for the demand response service, or if not available, equivalent information;

(e) the contact details of the demand facility owner, the closed distribution system operator or the third party aggregating the demand units from the demand facility or the closed distribution system.

Article 33

Procedures for demand units within a demand facility or a closed distribution system connected at a voltage level above 1 000 V

TITLE IV

COMPLIANCE

CHAPTER 1

General provisions

Article 34

Responsibility of the demand facility owner, the distribution system operator and the closed distribution system operator