The Balancing Market (BM) reflects actions taken by the TSO (Transmission System Operator) to keep the system balanced. It determines the imbalance settlement price for the settlement of these balancing actions.

Battery Storage are devices that enable energy from renewables, like solar or wind to be stored. Also known as Battery Energy Storage Systems (BESS). 

The Capacity Market (CM) is funded by suppliers, through a capacity charge. In return, suppliers are protected from high energy prices. It is a competitive auction based design where the most efficient and lowest capacity is most likely to be successful. It promotes the interest of consumers of electricity across Ireland and Northern Ireland with respect to price, quality, reliability and security of supply. It is a mechanism to ensure that the electricity supply in Ireland and Northern Ireland continues to meet demand. 

A Citizen Energy Community (CEC) is a voluntary legal not-for-profit entity established at a local level for the purpose of energy generation, distribution, consumption, aggregation and storage. Controlled by shareholders that are natural persons, local authorities, including municipalties, or small enterprises. 

Clean Energy Premium (CEP) is the additional cost of choosing a clean technology over one that emits more greenhouse gases. Sometimes, it can be cheaper to use non-renewebale sources of energy. Clean Energy Premium (CEP) refers to the cost of choosing green energy.

If you sell excess renewable energy to the grid, you get a payment called Clean Export Guarantee (CEG). This would be for example, if you have excess renewable energy from your microgeneration, you can sell it and receive a CEG payment.

the Commission for Regulation of Utilities is Ireland’s independent energy and water regulator. It ensures safe, secure and sustainable energy and water supplies for all customers.

A unique legal structure commonly used by non-profit organizations, professional associations, and clubs. Unlike traditional companies, CLGs have no shareholders and distribute surpluses back into the organization to fulfill social or charitable objectives.

The Day Ahead Market (DAM) hosts transactions for selling and buying electric energy one day prior to delivery day. Electricity is bought (and sold) the day before the actual production and delivery.

The Department of the Environment, Climate & Communications (DECC) are responsible for the development and delivery of policies and programmes in the areas of communications, postal, energy, natural resoucres, climate action, waste and the environment.

ESB Networks are a distribution system operator (DSO). ESB Networks finances, builds and maintains the transmission system under a licence granted by the Commission for Regulation of Utilities (CRU) and under the direction of Eirgrid.

To connect a generator onto ESB Network’s distribution network, the developer of the generator must have a connection agreement with ESB Networks. To receive an offer, a generator must apply for connection through the Grid Connection Application. For example, if you want to set up your own solar panels in your house, you must submit an application in order to see can your energy network support your solar panels. ie. can your solar panels be connected to the grid? If the grid is full, you can pay to get the grid updated, however, this is very costly and unfortunately, can make a project unviable. 

At the end of the connection offer process, and after the community project/household has received planning consents and payed the full connection application fee, you will be issued a letter with the Grid Offer, known as a connection agreement. This connection agreement is a legal document of the terms and conditions of the connection. To accept this offer, the community project will be required to pay the first stage of payment.

An Inverter converts Direct Current (DC) into Alternating Current (AC). DC is the current produced from a battery or solar panel. AC is used to power an AC device (eg. fan or light bulb). 

I-SEM is a new wholesale market for Ireland and Northern Ireland. By integrating Ireland and European electricity markets, it enables the free flow of energy across the border.

Kilowatt Hour is the amount of energy used if you kept a 1,000 Watt appliance running for 1 hour. It is the standard unit used by energy suppliers to work out how much you pay for gas and electricity.

Kilowatt is 1000 Watts or 1 thousand Watts

Maximum Export Capacity is the maximum capacity you (a generator) can export to the Electricity Distribution System. Measured in kilovolt Amperes (kVA). MEC are there to ensure Grid Stability. With the increased use of solar energy systems, the electricty grid can become inundated with excess energy, particularly during peak sunlight hours. Overloading the grid can lead to voltage issues and infrastructure damage. 

A Megawatt is 1000000 Watts or 1 million Watts

Meter Registration System Operator (MRSO) is a ringfenced function within ESB Networks responsible for the Change of Supplier process and the communication/ aggregation of meter data required to support Trading and Settlement in the All Island competitive electricity market. The MRSO has the following key responsibilities:

• managing the change of supplier process 
• the provision of meter data to market players

Microgeneration is the small-scale generation of electricity from renewable sources by households and small businesses. 

Example: Solar panels on a home

As part of the National Climate Action Plan, ESB Networks is upgrading 2.4 million electricity meters in Ireland by the end of 2024. Every home, farm and business will receive a new smart meter free of charge. This will benefit customers, the environment and the economy.

Payback is the length of time it takes to recover the cost of an investment/ the length of time an investor needs to reach breakeven point. You can calculate payback by dividing the cost of the investment by the annual cash flow. The shorter the payback, the more attractive the investment is.

Power Lines are how the electricity gets from the source to homes and businesses. kV (kiloVolts) is used when talking about transmission line voltages. Transmission Voltages are defined as any line with voltage greater than 39,000 Volts. 

Power Purchase Agreement (PPA) is a power offtake agreement between two parties, a green electricity producer and a consumer. It is a bilateral agreement. A Power Purchase Agreement (PPA) includes all terms of the agreement including the amount of electricity to be supplied, the negotiated price, who bears what risks, the required accounty, and the penalties if the contract is not honored.

Private Wire arrangements are where a generator and customer are not within the same property but are close enough to create a physical connection for their own internal dedicated supply of electricity, thus by-passing the public distribution network. Currently these types of arrangements are not possible under Irish legislation, however it is possible in several EU countries. 

PSO Levy is a payment made by all electricity final customers to fund schemes designed by the Irish Government in support of national policy objectives. All energy suppliers are legally required to collect this levy from their customers. The Public Service Obligation (PSO) Levy is paid as part of your overall electricity bill. It is collected by the government to pay towards meeting the Governements natonal policy ojectives of providing renewable energy.

Renewable Energy Communities (RECs) bring together local residents and organizations to generate, share and consume clean energy together. It involves open and voluntary participation and is controlled by shareholders or members that are located in the proximity. Renewable Energy Communities (RECs) are made up of prosumers (who generate the energy) and consumers (who consume energy). The prosumer uses the energy it needs and then shares the rest with members of the local community. 

The Renewable Energy Directive (RED) is the legal framework for the development of clean energy across all sectors of the EU economy, supporting cooperation between EU countries towards this goal. The directive has led to the increase in the share of renewable energy sources in the EU. 

Renewable Energy Support Scheme (RESS) provides support to renewable electricity projects in Ireland. It’s primary focus is cost effectiveness. It is an auction based scheme, which invites renewable electricity projects to bid for capacity and receive a gauranteed price for the electricity they generate. For example the Renewable Energy Support Scheme (RESS) would support a Renewable Energy Community (REC).

RESS3 is the third Onshore Renewable Electricity Support Scheme by the Government of Ireland. It aims to support additional onshore wind, solar and hybrid generation as part of the Government’s ambition to reduce emissions by 51% and deliver 80% of Ireland’s electricity from renewable energy sources by 2030.

An energy community is a non-profit legal entity whose members share in the production, distribution and use of renewable energy at a local level. The SEAI (Sustainable Energy Authority of Ireland) provides financial support and guidance to communities.

Example: Knocklyon Energy Community

The Single Energy Market Operator (SEMO) operates the SEM (Single Electricity Market). It is designed to provide the least cost source of electricity generation to meet customer demand accross the island of Ireland. It is a reliable, sustainable and efficient market service. Single Energy Market Operators (SEMOs) are part of the EirGrid Group. SEM was created before I-SEM, and just involved Ireland and Northern Ireland. It was the first of it’s kind in the world when it opened.

Small scale generation is defined as renewable electricity generation technologies with an electricity output greater than 50kW, but smaller than typical commercial generators. The SRESS supports small scale generation. The SRESS is key for Ireland to deliver on it's solar targets.

Smart Meters measures electricity usage, like a traditional meter, without the need for estimated meter readings. With a smart meter, you don’t have to submit readings or have someone read the meter.

Substations convert electricity into different voltages. Due to the output from power generation varying in voltage, substations are needed to convert this voltage to a level that suits the need of transmission. The voltage is stepped up or down through pieces of equipment called transformers, which sit within a substation site. There are two classes of substations, one that is part of the transmission network, and those that form part of the distribution network.

Example: Eirgrid

Substation Capacity refers to the maximum amount of electricial power that a substation can handle at any given time. It is usually measured in MegaVolt Amperes (MVA) or kiloVolt Amperes (kVA). This capacity is determined by the ratings of the transformer, switches, and other equipment within the substation.

The company that supplies the electricity to homes and businesses.

Example. Electric Ireland, SSE Airtricity, Pinergy

A SEC is a community in which everyone works together to develop a sustainable energy system for the benefit of the community.

A Solar Farm is land dedicated to the installation of solar panels or photvoltaic systems with the purpose of capturing solar radiation and transforming it into renewable electrical energy. For context, a 5MW farm is approx. 20 acres of land and typically produces enough energy to power over 1,300 homes. 

Example: Bullstown Solar Farm – Ashbourne Co. Meath (construction expected to begin in 2024)

In relation to energy, a tariff is a price the energy supplier charges a customer for their energy use. There are different levels of tariffs for different classes of energy use.

The Transmission System Operator (TSO) are responsible for the reliable transmission of power from generation plants to regional or local electricity distribution operators (DSOs) by way of a high voltage electrical grid. 

Example: Eirgrid

A Virtual Power Plant (VPP) is a network of decentralized, medium-scale power generating units as well as flexible power consumers and storage system. Smaller community renewable energy may not be able to supply the market on their own due to fluctuation (ie. due to weather) in the generation of renewable energy (eg. wind, solar, combined heat and power units). These smaller units, come together and trade on the market as a VPP.

Example: StoreNet VPP – Dingle

Watt is the unit of power. It is equivilant to one joule per second.

Wholesale Electricity Price is the price that electricity suppliers must pay to power stations and generators. There are multiple auctions for this every day and it is contantly changing.