Dynamic Containment (DC) is a fast-acting post-fault service to contain frequency within the statutory range of +/-0.5Hz in the event of a sudden demand or generation loss. The service delivers very quickly and proportionally to frequency but is only active when frequency moves outside of operational limits (+/- 0.2Hz).
What volumes are we going to procure?
Eventually, but not immediately, we expect to procure up to 1GW of this product in both directions. Our procurement will grow with the available market and our own system readiness, expecting ~250MW initially.
Is there a unit cap?
The unit cap is 50MW. We are eventually looking to have a diverse locational spread, so we are trying to encourage the right market behaviour for when locational mapping comes in.
Is there a volume cap?
Currently, the volume cap is expected to be around 250MW. We expect this to increase to around 1000MW in the future. This is to promote competition and increase liquidity in the frequency response market, reducing our overall balancing costs and increasing value for the consumer.
Can I stack DC with existing response and reserve?
DC cannot be stacked with existing response and reserve products during the same time period, but we intend to allow stacking with new response and reserve products introduced in the future. Generally, we would like to maximise the stacking opportunities, but it is not allowed for the same MW/MWh to be sold twice.
Is DC going to replace any response products?
Eventually yes. As we continue with the roll-out of our other new services, we will gradually procure less of the monthly-tendered FFR service, and our intention is to phase out the monthly tenders for FFR by Q4 2021/22.
How will DC interact with other new products?
DC has been designed to meet our operational needs in coordination with two other frequency response products: Dynamic Moderation (DM) and Dynamic Regulation (DR).