Law firm for the capacity market
A capacity auction is largely decided before it opens, in the qualification of the unit, in the certification papers and in a sober view of what the company takes on together with the capacity obligation. Below we set out what such a matter requires of counsel and who leads this area at HWW.
What this matter requires of counsel
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Assesses the qualification of the unit before certification, not after the auction
Qualification determines the route of participation and the whole set of documents that follows. Once the capacity obligation has been contracted, what remains is performance or a defence against sanctions, so counsel who joins after the auction works on far narrower ground.
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Works with demand side response units and with storage, not only with generation
The capacity market reaches beyond generation. An industrial consumer with reduction potential and a storage operator enter through different routes.
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Keeps the State aid dimension in view alongside national rules
The mechanism operates inside the European State aid regime, and an unfavourable position taken at Union level feeds through to the settlements of a participant. An assessment that stops at the statute and the market rules leaves that exposure out entirely.
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Explains the position and responsibilities of the management board
Entering an auction is a management-board decision for which the board is responsible, particularly in companies in which the State Treasury holds shares. Advice written for that decision looks different from a general regulatory note.
Further described matters are listed under our track record.
What we have written on this topic
Frequently asked questions
Where can I find advice on aggregation and flexibility services for distribution system operators?
See our aggregation and flexibility services page for this scope of work.