Development of the intraday exchange
Expansions to the stock markets that have taken place since 2010 mean trades are no longer limited to a single country. Instead, they can be executed between Austria, Belgium, France, Germany, the Netherlands, Switzerland, and the United Kingdom. In 2015, the total trade volume of intraday markets on the EPEX Spot was 59 TWh. Of that amount, 37.5 TWh were traded in the German and Austrian market areas.
Since then, same-day trading volumes on the EPEX Spot market have been climbing steadily. October 2016 saw 5.18 TWh in intraday trades. Of that, 3.35 TWh were recorded in Germany and Austria. Most of the trading volume consists of hour contracts, accounting for 2.5 TWh. The volume of quarter-hour trades is currently 671 GWh on intraday auctions and continuous intraday trading. Taken together, this is a relatively small amount, but the trend points toward growth.
The average price of hour contracts in October 2016 was 37.51 euros per MWh in the baseload (the monthly average of hourly products in intraday trading). The average peak price, recorded between 8 a.m. and 8 p.m. on workdays, was 45.24 euros per MWh.
XBID: European intraday trading
Cross-border intraday trading was introduced on 12 June 2018 between the following countries: Austria, Belgium, Denmark, Estonia, Finland, France, Germany, Latvia, Lithuania, the Netherlands, Norway, Portugal, Spain, and Sweden. Known as XBID, harmonized trading systems can coordinate bids from market players in the participating countries and conduct same-day trades across borders, assuming there is sufficient availability of cross-border transmission capacity.
XBID is essentially a common IT system consisting of a standard order book (SOB), a capacity management module (CMM), and a shipping module (SM). The standards are mandatory for all participants. In accordance to guidelines set by the EU, the project aims to increase efficiency and reaction times on the integrated intraday market. With XBID, market participants gain the ability to balance their balancing groups across Europe, leading to lower balancing costs. XBID partners include the EPEX SPOT, GME, Nord Pool, and OMIE power exchanges and the transmission system operators of the participating countries.