Romania is introducing a formal demand-response mechanism that enables consumers to receive compensation for temporarily reducing electricity consumption when additional system flexibility is needed. The measure is designed to provide an option during periods when the power system requires extra balancing capability.
ANRE approval and role of Transelectrica
The energy regulator ANRE has approved the framework for the new mechanism. It gives transmission system operator Transelectrica an alternative to increasing generation or imports during periods of tight supply.
Under the arrangement, Transelectrica will specify the amount of demand reduction required. Eligible consumers, suppliers and other market participants will then submit competitive offers detailing how much consumption they can reduce and the price at which they are willing to do so.
Participation will be voluntary, with market participants choosing whether to take part in submitted offers. The framework sets out how demand reduction volumes and associated prices are offered into the process.
Initial focus on industrial flexibility
Large industrial users are expected to be among the first participants. Significant consumption can be adjusted through changes in production schedules, load management or temporary reductions in non-essential processes.
The mechanism is also expected to expand later to households via suppliers and aggregators. Aggregators would combine thousands of small flexible loads into volumes large enough to participate in the balancing market.
Potential household actions and renewables context
Examples of flexibility for end-users include delaying water heating, air-conditioning demand or appliance use during evening peaks. These actions align with periods when system conditions require additional flexibility.
The reform is particularly relevant as Romania adds large volumes of wind, solar and battery capacity. Demand flexibility is expected to reduce reliance on expensive balancing generation and imports when renewable output changes rapidly.
