Statnett’s role as TSO

Statnett is the Transmission System Operator (TSO) in the Norwegian energy system. As System Operator, Statnett is responsible for coordinating the entire Norwegian energy system and for its daily operation.

The role as system operator entails that Statnett maintains a reliable supply of electricity by ensuring: a balance at all times between production and consumption, correct voltage, sufficient reserves, preparedness in the event of faults and well-dimensioned and well-maintained facilities. At the same time, Statnett coordinates the flow of electricity to and from our neighbouring countries.

Statnett is responsible for ensuring efficient operations in a socio-economic perspective and for developing the main power grid. Statnett will, alone or in partnership with others, plan and design, build, own and operate transmission facilities.

Grid operations

Statnett’s core responsibility is to coordinate and ensure that there is an instantaneous balance between generation and consumption. Furthermore, Statnett will maintain and develop the Norwegian national power grid. This entails major development projects in Norway and between Norway and our neighbouring countries to secure a reliable and sufficient supply of electricity covering future needs for the whole country.

The Main Grid Commercial Agreement

Statnett is the operator of The Main Grid Commercial Agreement. This means e.g. that Statnett is responsible for establishing the tariff structure and the annual tariff rates. The Main Grid Commercial Agreement has approximately 70 customers comprising electricity producers, industrial companies and regional grid companies. The Main Grid Commercial Agreement also receives congestion revenues (price differences between areas in the Nordic region and towards the Netherlands). Profit/loss inThe Main Grid Commercial Agreement will level out over time through adjustment of future grid tariffs.

Balance accounting

Statnett is responsible for ensuring that imbalances between planned and actual electricity generation and consumption are equalised and balanced for each player in the electricity market. Discrepancies are calculated on an hourly basis according to the prices in the spot and regulating power market.

Other duties

Acting on behalf of the Norwegian authorities, Statnett is responsible for Ediel, an international standard for electronic exchange of trading information in the power industry. Statnett is also responsible for issuing guarantees of origin to Norwegian electricity producers. Moreover, the enterprise is responsible for keeping the green certificate register.

Energy authorities

Statnett is owned by the Norwegian State represented by the Ministry of Petroleum and Energy (OED). The OED is responsible for facilitating a co-ordinated and integrated energy policy. The Norwegian Water Resources and Energy Directorate (NVE) is the directorate responsible for managing Norway’s water resources and hydro energy.