Our key tasks

We are primarily tasked with providing power transmission services, system services and facilitating the energy market. Our core tasks follow from our appointment as grid operator under the Dutch 'Elektriciteitswet' (E-wet) and the German 'Energiewirtschaftsgesetz' (EnWG).

 

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Innovation

TenneT presents Hub and Spoke concept for large scale wind energy on the North Sea.

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Our grid

TenneT manages the high-voltage grid in the Netherlands and large parts of Germany. TenneT transmits electricity at 110,000 volts (110 kV) and higher. With over 22,000 kilometres of high-voltage lines, we cross borders and connect countries.

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Grid maps

Maps of our onshore and offshore high-voltage grid.

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Electricity market

The energy sector is developing rapidly. The process of European market integration began some years ago. Its purpose is to create a single European market that enables market parties to trade gas and electricity across national borders easily and efficiently.

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Transparency data

We provide transparency data on our operations on our Dutch and German transparency page and on ENTSO-E. 

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Congestion management

Congestion management uses price mechanisms and market forces to manage electricity supply and demand. TenneT works with the regional grid operators to operate the system.

Managing electricity supply and demand

The number of electricity producers in the Netherlands is set to increase in the coming years. Experience shows producers tend to cluster together in certain regions (e.g. at the Maasvlakte 2 site in the Port of Rotterdam and around the Ems estuary in the North Sea), significantly increasing the electricity output in these areas. To avoid a situation where the electricity supply exceeds the grid capacity (congestion), we implement a congestion management system. 

Congestion management uses price mechanisms and market forces to manage electricity supply and demand. TenneT works with the regional grid operators to operate the system. 

Example

A producer wants to supply six megawatts (MW) of electricity that he has already sold on the energy exchange. By adding up all the electricity produced in a particular region and subtracting the expected usage, the number of megawatts this region is willing to supply can be estimated in advance. For instance, if 600 MW has been planned while there is only scope for 400 MW, the producer can offer to refrain from supplying the 6 MW he has produced. The producer makes this offer through his Programme-Responsible Party (BRP). In this way, the producer contributes to a reduction of the demand for transmission capacity. The producer indicates the price he is willing to pay for not producing electricity. On balance, this is advantageous for the producer, as he saves on variable costs while retaining his revenue from the sale of 6 MW of capacity on the energy exchange.

Although the problem of excessively high supply has now been tackled, another problem has come into being: the missing 6 MW still have to be supplied, but from another region that still has sufficient transmission capacity. Therefore, a party willing to produce the additional 6 MW is sought elsewhere.

Once all the arrangements have been made, we have to check whether the producer abides by them. After all, the risk remains that the producer who agreed not to supply his 6 MW of capacity will do so nevertheless, for instance because he sees on the energy exchange that an electricity shortage exists in the Netherlands. Meeting that shortage can be very profitable. However, this is technically not possible, as there is insufficient transmission capacity in the producer’s region. Consequently, a producer who supplies capacity in violation of the agreement, will not receive any payment.

In the final analysis, this approach results in a new balance between the available transmission capacity and the capacity supplied by electricity producers. This will enable grid operators to take adequate measures to adjust the transmission capacity, so that the grid has sufficient capacity to meet the increasing demand.

Related

Market coupling

TenneT works closely with other European TSOs and electricity exchanges to couple electricity markets in North West Europe. 

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Balance responsibility

Connected parties are responsible for informing grid administrators of their planned electricity production, consumption and transport needs.

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Tariffs

The TenneT tariffs exist of two components: the connection and transport tariffs.

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