The Energy Authority to launch an investigation on an incorrect tender submitted to the power exchange on 23 November 2023
The Energy Authority will launch an investigation on the incorrect tender submitted to the power exchange in the Finnish bidding zone on Thursday 23 November 2023 and its effects on the functioning of the market and on different market participants. As the authority supervising the operation of the power exchange, the Energy Authority will investigate whether the regulation of the power exchange may have been violated in the case and how similar situations can be prevented in the future. The Agency shall investigate the matter in cooperation with regulatory authorities in other countries.
On 23 November 2023, a market operator submitted an incorrect offer to the power exchange in the Finnish bidding zone concerning all hours of Friday 24 November 2023. Based on the information provided by the market operator itself, the operator had wrongly offered a very large amount of electricity for sale in Finland.
As a result of the incorrect offer, the hourly prices of the power exchange in Finland's price area are very low today, and from afternoon onwards at the so-called technical minimum level of EUR -500 per megawatt hour.
The erroneous offer has also been reflected in hourly electricity prices in neighbouring countries. Finland is part of the common internal electricity market in Europe, which means that offers made in one region may also affect prices in other regions and inter-regional electricity transfers.
Due to the error, the hourly prices on the stock exchange are not correctly controlling production and consumption today. The transmission system operator Fingrid monitors the operation of the electricity system and, ultimately, will take steps to balance the production and consumption of electricity.
The adequacy of electrical power in Finland seems good. However, the Energy Authority hopes that consumers will not react to the cheap exchange price of electricity by increasing consumption, but instead use electricity as usually. In this way, consumers can contribute to balancing production and consumption.
Antti Paananen, Deputy Director General, Markets
tel. +358 295 050 013, antti.paananen(a)energiavirasto.fi