CRU and NIAUR are the energy regulators for the Republic of Ireland and Northern Ireland, respectively.
ESP Consulting has been engaged with the two regulators for a number of years, with projects that include wholesale market reform, capacity market design, and facilitating renewables.
Further information on our projects is available below.
The Integrated Single Electricity Market (I-SEM) is a new wholesale electricity market arrangement for Ireland and Northern Ireland that began in October 2018. The I-SEM includes new arrangements for capacity under the Capacity Remuneration Mechanism (CRM). ESP Consulting was engaged as sole advisers on the design and implementation of the CRM, which involved developing the design from high-level policy through to detailed design of the market rules. As part of this process, ESP Consulting helped draft a number of industry consultations and decisions, and facilitated industry workshops around those consultations. Topics covered include:
In addition to design and implementation, we also provide ongoing support to the operation of the CRM. Our activities include:
To date there have been 3 successful auctions, 2 transitional T-1 auctions and a T-4 auction. The T-4 auction resulted in the award of contracts for approximately 700MWs of new capacity, across a range of technologies including gas-fired generation, demand-side response, wind and battery storage.
Two major change programmes, the Integrated Single Electricity Market (I-SEM) and “Delivering a Secure Sustainable Electricity System” (DS3), took place concurrently in the Irish market. Alongside our role as centralised programme manager for both of these, ESP Consulting served as the I-SEM and DS3 Programme Design Authority for the two Irish energy Regulatory Authorities. The purpose of this piece of work was to provide design integrity assurance, with the scope including:
In order to prepare for a greater penetration of renewable generation in the Irish market, the incumbent TSOs set up a programme called “Delivering a Secure Sustainable Electricity System” (DS3) to ensure that the market and transmission network is able to accommodate these changes. In particular, this has impacts upon the needs for ancillary services and the way in which they are procured. ESP Consulting was engaged with the two Irish Regulatory Authorities in the development of associated policy design, with activities including:
We advised the two Irish energy Regulatory Authorities on the impacts that increased renewable generation in Ireland has on the operation of the power system. This included services required to keep the power system stable. Our advice focused on the commercial arrangements required to ensure these services (reserve, fast response etc.) are provided by generators and others. Our activities included:
The development, implementation and subsequent operation of the Integrated Single Electricity Market (I-SEM) and DS3 programmes in the Irish market constituted significant new work for the Transmission System Operators (TSOs). That work included developing the design in further detail, as well as developing systems and process that administer and implement the new market arrangements. ESP Consulting was engaged with the two Irish energy Regulatory Authorities to provide ongoing assurance that the TSOs’ costs in relation to these two activities were reasonable and additional to those agreed in previous price controls. This work involved:
Two major change programmes, the Integrated Single Electricity Market (I-SEM) and “Delivering a Secure Sustainable Electricity System” (DS3), took place concurrently in the Irish market. ESP Consulting partnered with Neueda, a global IT consultancy, to perform the I-SEM and DS3 centralised Programme Management Function for the two Irish energy Regulatory Authorities. The activities this involved included: