Ecosystem for Demand-side Flexibility Revisited: The Danish Solution

Abstract

Denmark has recently set a legislation called Market Model 3.0 to make the ecosystem for demand-side flexibility more attractive to stakeholders involved. The main change is to relax the previous mandate that required each aggregator to be associated with a retailer and a balance responsible party. We explain the rationale behind such a change and its implications, particularly on the pre-qualification of demand-side portfolios providing ancillary services.