Public Consultation 9

1.4.Termination of the contractual relationship             


  1. The balance group coordinator shall be entitled to terminate the contract with immediate effect or to increase the collateral requirement determined in accordance with Annex Risk Management by up to 100% if a contracting party breaches essential provisions of the contract despite written reminder and setting of an adequate extension period and fruitless expiry of such period. Such breaches are in particular:


  • if the market participant systematically

- covers the supply of its consumers by imbalance energy, or

- if he causes imbalance energy in its balance groups due to trading transactions that do not serve to support the electricity supply system,

- or otherwise fails to comply with the obligation of REGULATION (EU) 2017/2195 Article 17 as amended to endeavour in real time to balance its own balance group or to support the electricity supply system. The yardstick for assessing compliance with the obligation of the Regulation is the frequency, duration and extent of imbalance energy use that contradicts the system serviceability.

The duration of the period of grace is based on the deadlines in the Annex to the General Terms „Risk Management, Depositing of Collateral“.