Austria, Belgium, France, Germany, Luxembourg, the Netherlands and Switzerland form the Central Western European (CWE) electricity market region. Also, they are the members of the Pentalateral Energy Forum (PLEF), an intergovernmental initiative which serves as a platform for cooperation to enhance electricity market integration and security of supply in the region. On a European level, the PLEF is an important region in the context of ACER’s, the EC’s and ENTSO-E’s regional market integration initiatives.
As future power systems in Europe will increasingly be shaped and transformed by wind power and solar PV development, power system flexibility requirements will increase. Strengthened regional cooperation is a no-regret option regarding the flexibility challenge. The PLEF already has a strong track record of regional integration. Still, it needs to make the next step beyond coupling of day-ahead markets and regional generation adequacy assessments. Agora Energiewende’s activities in the geographical context of the PLEF comprise research to quantify flexibility needs and to analyse and discuss options for a market design targeting increased power system flexibility.