Extension of the HEMRM—Full Harmonization of the Electricity Supply System

The current formal common denominator of the electricity supply system in Europe has been the Harmonized Electricity Market Role Model (HEMRM) set up by ENTSO-E, ebIX, and EFET at the turn of the millennium; it introduced the concept of de-coupling and the vertical structuring of the system into the previously vertically integrated system. Since then, within demonstration projects, the system has been undergoing further changes in a controlled environment, generating bottom-up energy, caused by new technologies, business models, and new players, and extending the concept of the system to the level of energy communities and prosumers. Therefore, this paper proposes a coherent approach to the extension of HEMRM to the lowest levels in both the grid and market segments—full harmonization. This entails further structuring of both segments downwards and applying the principles of vertically nested subsystems—a system of systems approach—to a unit functional level of the electricity system, which can be the prosumer itself. At the lowest levels, the de-coupled system becomes coupled; additionally, it cross-sects with other energy vectors. Complete harmonization reduces the number of system and market segments and represents system standardization, leading to both subsystem and system-wide optimization. Prerequisites for it include the automated trading of flexibilities by the prosumers and implicit trading of energy transfer capacities along the distribution grids. The energy reservoirs, implicit and explicit, short-term, and long-term, play a vital role in techno-economic balancing.