Risks connected with the electricity market

Ternai procures the resources it needs to manage the national electricity system securely through the Dispatchingi Service Market.
The analysis of the processes regarding the interaction of Terna with the electricity market and the related risks has enabled the Company to identify the risks with the highest probability and the greatest impact. A dedicated system, called SIMM (security index market monitor) has also been set up to constantly monitor such risks. This system enables the Company to follow the overall performance of the electricity market through several key indicators and to promptly pinpoint any deviations from pre-established benchmarks.     

Terna also monitors the electricity-market data
on behalf of the AEEG. The Risk Management Unit, which is part of Terna’s Monitoringi Department (“Integrated text on the monitoring of the wholesale electricity market and the dispatching service market”, AEEG Resolution n. 115/08), must ensure impartiality, transparency, and security in acquiring and presenting information. For this purpose Terna created the TIMM data warehouse, with the objective of monitoring the magnitudes and indicators required by the AEEG. During 2010 the Company began the procedure for certifying the TIMM process according to the ISO 27001 standard.

Its responsibility for making the national electric system work securely requires Terna to identify the related threats and vulnerabilities and to adopt appropriate mitigation measures. The state of the national electric system is monitored in numerous ways, such as:                        

  • checks of the performance of the plants connected to the grid through the process of self-certification and the analysis of the related documentation;
  • inspections of the interruptible sites and checks on conformance with the technical requisites required by Terna;
  • inspections of production plants under construction in cooperation with the Ministry of Economic Developmenti to monitor delays in commissioning such plants and at the same time checking the application of the Grid Code and the obligations of future production;
  • monitoring the design and construction of station defense systems and automation techniques.