Capacity Allocation & Congestion Management

The Guideline on Capacity Allocation and Congestion Management sets out the methods for calculating how much space can market participants use on cross border lines without endangering system security. It also harmonises how cross border markets operate in Europe to increase competitiveness but renewables’ integration. CACM is the cornerstone of a European single market for electricity.

Current Status
Entered into force
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Published Regulation

The published network codes become regulations. Use this section for a handy way to jump to a particular article of the network code.

COMMISSION REGULATION (EU) 1222/2015

of 24 July 2015

establishing a guideline on capacity allocation and congestion management

Implementation - Making the code a reality

Core Capacity Calculation Region Project

Project to merge the two capacity calculation regions (CCRs) Central Western Europe and Central Eastern Europe into one.

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Congestion Income Distribution Methodology

All TSOs' proposal for a Congestion Income Distribution Methodology

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Common Grid Model Methodology and a Generation and L...

Articles 17 and 16 of Regulation 2015/1222 require all TSOs to prepare a Common Grid Model Methodology as well as a Generation and Load Data Provision Methodology, respectively

Capacity Calculation Regions

Approval by all Regulatory Authorities agreed at the Energy Regulators’ Forum on the all TSOs’ Proposal for Amendment in accordance with Article 9(13) of the Commission Regulation (EU) 2015/1222 of 24 July 2015 establishing a Guideline on Capacity Allocation and Congestion Management on the Determination of Capacity Calculation Regions (30 June 2017)

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Latest Updates (17)

Events (13)

European Stakeholder Committee

History & Development of the network code

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Below you will find the Frequently asked questions relating to the network code Capacity Alloc. & Congestion Management.

CACM sets out the methods for allocating capacity in day-ahead and intra-day timescales and outlines the way in which capacity will be calculated across the different zones. Putting in place harmonised cross border markets in all timeframes will lead to a more efficient European market and will benefit customers. These rules will provide the basis for the implementation of a single energy market across Europe.

CACM was the second network code to be developed by ENTSO-E and represents an important step in implementing a ‘Target Model’ for the design of European electricity markets. It has been developed through an open and transparent process involving stakeholders at every stage and therefore reflects a broad range of views.

CACM entered into force in August 2015. The entry into force of the CACM guideline marks the start of the formal implementation period, during which Europeans including Member States, ENTSO-E, TSOs, regulators, power exchanges, market participants will collaborate to develop the methodologies and tools described in CACM. Go to the dedicated section for more information on implementation projects and how stakeholders can be involved.

Download the final Capacity Allocation and Congestion Management regulation​​

Background

The network codes and related guidelines have been developed to help realise Europe’s three energy policy goals – of ensuring security of supply; creating a competitive Internal Electricity Market; and decarbonising the electricity sector. For this to happen, the network codes and related guidelines will be implemented and complied with across Europe.

Each code requires a series of steps to be taken before they can enter into force. This could be national decisions, the conclusion of regional agreements or the creation of more detailed methodologies. All market participants, DSOs, TSOs and regulators will be involved and there will be extensive development work and consultation required.

CACM sets out rules for calculating cross-border capacity, defining and reviewing bidding zones and operating day ahead and intraday markets. Many of the subjects included in the CACM are highly complex and there is relatively little operational experience on which to draw from (for example the flow-based method of capacity calculation). For this reason, CACM requires additional work and a series of methodologies to be jointly developed and approved by regulators after the code enters into force.

Events

The tables below will serve as an archive for reference purposes of all previously released material and stakeholder meetings that took place during the development of CACM.

For further information on CACM, please contact Marco Foresti​.​

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