Balansenergi

Balansenergi is energy that is activated in the electricity system to restore balance between production and consumption when actual flow differs from forecast. It is part of the balancing process carried out by the transmission system operator (TSO) to maintain system frequency and reliability, and it is distinct from day-ahead auctions or capacity reserves.

Balancing energy can be upward or downward. Upward balancing energy is energy that must be produced or demanded energy reduced to relieve a deficit; downward balancing energy is energy that must be reduced or curtailed to absorb excess generation. Market participants such as power plants, storage operators, or large industrial customers acting as balance providers submit bids to increase or decrease output. In many markets, demand-side resources can also participate.

The TSO activates balancing energy on short notice, often within minutes to hours, depending on system needs and market design. The activation is settled financially through a balancing price, which compensates the delivered or withdrawn energy. The price is typically determined by the balancing market clearing and can differ from prices in the day-ahead market.

Balancing energy is part of the broader set of ancillary services and is administered under regulatory rules by the TSO. Participants with balancing responsibilities monitor their positions and must comply with agreed limits to avoid imbalance penalties. The concept is used across European energy markets, including Sweden and other Nordic and European countries, where TSOs procure balancing energy from balance providers and other eligible resources.