Congestion management in the nordic countries, present solutions and evaluation of possible developments

Abstract

The purpose of the paper is to describe the common Nordic congestion management scheme, and the evaluations done in a Nordel project: "rules for congestion management, evaluation of capacity and possibilities for increase counter-trade". The paper describes shortly the different methods for congestion management. These can be grouped into methods for capacity allocation and capacity alleviation. In Europe explicit and implicit auctions are the favoured methods for congestion management. The present methods for congestion management in the Nordic countries are presented. Currently congestions are managed mainly by using two methods in combination, market splitting and counter-trade