Main Features
Under a common regulatory framework defined by the MoU signed by MSE – Italy and the ME – Slovenia on August 27th 2010 and by the Master Agreement approved by AEEG and AGEN-RS, GME (the Italian PX), BSP (the Slovenian PX), TERNA (the Italian TSO), ELES (the Slovenian TSO) and Borzen (the Slovenian Market Operator), will coordinate their activities related to the functioning of the day-ahead markets in order to perform the IT-SI Market Coupling.
According to the provision of the Master Agreement, IT-SI Market Coupling is a decentralized price coupling that determines cross-border schedules by adopting a common algorithm and coordinated procedures and software that fully reflects local matching rules, local bid and offer curves and zonal structure in Italy and Slovenia.
The role of shipping agent, meaning the role of being counterpart of PXs for the transactions corresponding to cross-border schedule determined by market coupling, is initially performed by the TSOs. IT-SI Market Coupling will coexist with other forms of physical allocation of cross-border capacity, such as explicit auctions of medium and long term products.