Elia Group SA/NV · EURONEXT:ELI
Elia Group SA/NV — Investor Presentation (May 2022)
30 slides from Elia Group SA/NV's investor presentation, May 12, 2022
Slide 1: CRM Prequalification process
CRM Prequalification process Introduction 12/05/2022 (v2.1)
Slide 2: Disclaimer
Disclaimer This document constitutes a presentation for the Belgian Capacity Remuneration Mechanism (CRM) and is to be considered as an educational document facilitating understanding of all other CRM documents, which together form the official legal and operational framework. As an introduction to
Slide 3: Agenda
Agenda • Introduction to the Capacity Remuneration Mechanism (hereafter ‘CRM’) • Who is participating in the CRM and with which capacities? • What’s in it for me? • Prequalification Process • Auction • Capacity Contract & Connection Contract 3 v2.1 – 12/05/2022
Slide 4: General overview
General overview The main objective of the presentation is to highlight the customer obligations and possibilities in the Capacity Remuneration Mechanism (hereafter ‘CRM’) phases foreseen in 2022. The two first phases of 2022 are composed of the: - Prequalification Process allowing a participation i
Slide 5: Introduction
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Slide 6: Introduction to the Capacity Remuneration Mechanism (‘CRM’)
Introduction to the Capacity Remuneration Mechanism (‘CRM’) The Belgian Authorities developed the CRM mechanism in a Law to provide a financial supporting mechanism tto compensate the missing money of the participating capacities (existing or new ones) and guarantee the security of supply of Belgi
Slide 7: CRM - 2022 phases & processes
CRM - 2022 phases & processes By Law, there is a mandatory prequalification for the production units > 1MW (after derating) and not having variable subsidies. It is never mandatory to submit bids (processes) TODAY May ‘22 Prequalification Process Auction Preparation with candidates (01/02-15/06)
Slide 8: Introduction to the Capacity Remuneration Mechanism (‘CRM’)
Introduction to the Capacity Remuneration Mechanism (‘CRM’) Who & What • Before May ‘22 A successful Prequalification Process is required to No Contractual access to the Auction. commitment • May ‘22 – Also, for some Capacity Holders, it is a mandatory phase Prequalification process with a possibili
Slide 9: Who’s participating
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Slide 10: Who is participating to the CRM? (1/2)
Who? Who is participating to the CRM? (1/2) Prequalifica tion Auction The Prequalification Process is mandatory for the capacity holder when four Capacity conditions are simultaneously met: Contract Pre- delivery Delivery The with a capacity capacity is above 1MW* a threshold production measured a
Slide 11: Who is participating to the CRM? (2/2)
Who? Who is participating to the CRM? (2/2) Prequalifica tion Auction Capacity Contract Pre- delivery The CRM Candidate is: Delivery The capacity is connected at The Capacity Holder, by Optional: default: GUD In this case: TSO - level The Grid User 1) All rights and (*) obligations in the CRM are tr
Slide 12: What’s in it for me
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Slide 13: Prequalification Process terminology: derating factors
Prequalification Process terminology: derating factors All technologies may participate in the CRM Auction but each comes with its own added-value to the Security of Supply: The derating factors of technologies For the next Auction, the derating factors are not settled yet (31/03/2022) Elia publ
Slide 14: What’s in it for me? (example)
What’s in it for me? (example) ELIA can perform with you a review of your current assets and analyze the customer possibilities: Capacity unit Technology measured MW Production Existing or Derated MW No Mandatory Possible to CMU has to be unit (Y/N) Additional in above 1MW Subsidies prequalificati
Slide 15: Prequalification Process
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Slide 16: Prequalification Process terminology: Delivery Points
Prequalification Process terminology: Delivery Points “A (future) point on an electricity grid The Delivery Point (‘DP’) is the smallest granularity of or within electrical installations of a the CMU (‘Capacity Market Unit’) which is the generic Grid User where the Service is or will unit of the CRM
Slide 17: Prequalification Process terminology: CMU
Prequalification Process terminology: CMU A CMU (‘Capacity Market Unit’) is the CRM participation unit DP1 DP2 Composition Status Constraints • Individual CMU • The CMU is Existing if it • The CMU has to be > 1MW contains solely Existing derated • = One capacity (DP) delivery points • A CMU with a D
Slide 18: CRM Prequalification Process: objectives
Who? CRM Prequalification Process: objectives Prequalifica tion Auction Capacity Contract The Prequalification Process aims to Pre- The objectives of the Prequalification delivery ensure, for the Capacity Holder, its process(es) are the following Delivery compliancy with Functioning Rules requiremen
Slide 19: CRM Prequalification Process: possibilities
CRM Prequalification Process: possibilities SCN1. Fast Track Prequalification Process No (CRM exit-door) Plan to participate to the Auction? Yes Yes / Capacity Mandatory Maybe SCN 2. Standard / SCN3. Specific participation? Prequalification Process(es) Yes / Maybe No Maybe: at any time prior the Auc
Slide 20: Prequalification Process: Application Form & Prequalification Files
Prequalification Process: Application Form & Prequalification Files SCN1 Fast Track SCN2 Standard Prequal. SCN3 Specific Prequal. Capacity Holder 1. Application Form (1/Actor): To be approved by ELIA - Set of information related to the Capacity Holder (or mandate counterparty) - To be provided by th
Slide 21: SCN1. Fast Track Prequalification File
SCN1. Fast Track Prequalification File In this Framework, the CRM actor has no plan to offer volume in the Auction: the operational effort is limited. One Prequalification File for each Delivery Point under a Fast Track Prequalification Process • List of required information related to a Delivery Po
Slide 22: SCN 2. Standard Prequalification Process
SCN 2. Standard Prequalification Process In this Framework, the CRM actor has plan to offer volume in the Auction with determined Delivery Points: operational effort in function of CMU The Prequalification File (1/CMU) of a Standard Prequalification Process = flow for a CMU having Delivery Points (E
Slide 23: SCN3. Specific Prequalification Process for VIRTUAL CMU
SCN3. Specific Prequalification Process for VIRTUAL CMU In this Framework, the CRM actor has plan to offer volume in the Auction with No Delivery Points (yet): operational effort is very limited A maximum of The Prequalification File (1/Actor) of a Specific Prequalification Process is to be followed
Slide 24: CRM Prequalification - Key requirements to participate
CRM Prequalification - Key requirements to participate (according to Functioning Rules proposal & current framework) The CRM financial support is only accessible through a successful selection in an Auction or Secondary Market for which a prequalification applies. The prequalification process and da
Slide 25: CRM Auction
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Slide 26: CRM Auction
Who? CRM Auction Prequalificat ion Auction The access to the Auction is granted to the CRM Prequalified Candidates CMUs Capacity Contract The CRM actor enters one or more offers related to each prequalified CMUs to bid in the Eligible Volume as Pre-delivery determined in the Prequalification Pro
Slide 27: Capacity Contract
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Slide 28: The Pre-Delivery and Delivery Period
Who? The Pre-Delivery and Delivery Period Prequalificat ion Auction Capacity Contract with Elia for the Service Capacity Contract Pre-delivery Payments of the Transaction(s) after the month of Delivery Period 2026-2027 (settlement and invoicing modalities) Delivery Contractual obligations (Service
Slide 29: The Capacity Contract (proposal)
Who? The Capacity Contract (proposal) Prequalificat ion Auction Following a positive selection of the offers, is concluded between the Capacity Provider and Elia: Capacity Contract Within 40 WD after the Auction results Pre-delivery In case of Additional capacity, where applicable the Connecti
Slide 30: Thank you !
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