EU-SysFlex blog: Design options of TSO/DSO coordination and their interface to flexibility markets


The efficient use of flexibilities requires smooth TSO/DSO coordination, but also raises the question of interface to the flexibility markets and their role. Recently published Deliverable D3.2 on “Conceptual market organisations for the provision of innovative system services” gives answers to these questions.

As not only the vast majority of renewable energy, but also increasing levels of flexibility will be connected to distribution grids, TSO/DSO coordination becomes more important. If the sourcing of flexibilities is market-based, the role of flexibility market operators (MO) also needs to be determined, including the interfaces of the different actors and the question, how the optimization of the electricity system is carried out (centralized versus decentralized), and which tasks shall be allocated to which actors. These topics also play a role in recent discussions, such as the TSO-DSO report “An Integrated Approach to Active System Management” (2019, CEDEC et. al). Deliverable 3.2 addresses these topics in a qualitative way, whereas Deliverable 3.4 carried out selected quantitative assessments.

The first very important insight is the fact that the optimization of the electricity system, avoiding the violation of operational security limits(such as frequency, voltage and thermal limits), consists of the selection of flexibilities (from generation, demand and storage) and switching measures(e.g. topology changes and tap shifting). It was acknowledged by the two WP3 deliverables – D3.2 and D3.4 – that the combination of both measures leads to optimal results. it is especially true,…read more


Written by: Jan Budke (innogy SE), having worked on TSO-DSO coordination, role models and flexibility market design in Task 3.2 on “Conceptual market organisations for the provision of innovative system services”.