Schedule 1 Terms and Conditions for Reserve Power Provision

 

                 §1 Subject matter of this Contract

 

1.1        The purpose of this Contract is to define the terms and conditions under which the Client’s Participating Units will be integrated into Flexibility Hub’s Virtual Power Plant (VPP) and Pool.

1.2        Under this arrangement:

·         The Client’s Participating Units shall provide confirmed flexibility capacity (“Confirmed Power”), as defined in Schedule 1, section 3.1.

·         The Confirmed Power will be offered by Flexibility Hub to Elia for participation in the relevant market products, subject to applicable regulations and prequalification requirements.

·        Flexibility Hub, directly or through its partners, shall operate and manage the Participating Units to ensure compliance with market obligations, optimise technical and financial performance, and maximise revenues.

·        The Client may adjust its flexibility contribution within the limits and conditions set out in this Contract and its Schedules as outlined in Schedule 1, section 3.1?

 

      §2           Rights and obligations of Flexibility Hub

Without prejudice to the rights and obligations arising for Flexibility Hub from other parts of this Contract, Flexibility Hub has the following rights and obligations:

2.1        Flexibility Hub has the obligation to integrate the Participating Units into a Pool of the Virtual Power Plant and to prequalify the Participating Units with Elia for the Offered Products.

2.2        Flexibility Hub has the right to offer the Confirmed Power for the Offered Products to Elia. Flexibility Hub undertakes with reasonable endeavours to make its best to offer all Participating Unit participating in a Pool for the highest possible fee. Flexibility Hub will not offer the Confirmed Power below the Minimum Activation Price communicated by the Client or computed based on its energy tariff.

2.3        Flexibility Hub has the right to control remotely the Participating Units via the Flexibility Hub Steering Box, directly or indirectly, for any Activations requested to serve the Offered Products within the limits of this Contract.

2.4        Flexibility Hub can activate all or only part of the available Participating Unit. Flexibility Hub has the right to decide which Participating Unit will be activated for the Activation. When making decisions in this respect, Flexibility Hub firstly considers Elia’s safety and quality requirements, and the individual constraints set by the Client. Secondly, Flexibility Hub shall activate Participating Units according to a merit order, defined by the Minimum Activation Price.

2.5        During the agreement period, Flexibility Hub will:

(1)     Work with the client to determine the conditions for managing their participating units, including metering requirements and communication protocols.

(2)     Define the specifications for any new metering equipment.

(3)     Coordinate with the Grid Operator or any other third party to enable participation in flexibility markets.

(4)     Conduct Acceptance Tests to verify the capabilities of the participating units.

(5)     Arrange and oversee Prequalification Tests with the Grid Operator or any other third party.

(6)     Manage market trading for the participating units while complying with all Belgian and European regulations.

(7)     Send control signals (Set Points) to participating units to deliver DSR services.

(8)     Declare a Participating Unit unavailable if it fails to respond to Set Points or if the Client fails to comply with the requirement. Flexibility Hub may declare the relevant Participating Unit Unavailable. Such Unavailability declaration will be visible for the Client. Flexibility Hub will have no liability to the client for any DSR Revenues not achieved because of such Unavailability.

(9)     Use reasonable efforts to manage flexibility within the constraints outlined in the contract or updated from time to time by the Client through email, or the upcoming dashboard.

 

      §3           Rights and obligations of the Client

Without prejudice to the rights and obligations arising for the Client from other parts of this Contract, the Client has the following rights and obligations:

3.1        The Client is entitled to adjust the Confirmed Power between 0 MW and the Prequalified Power (see §4) and determine a Minimum Capacity Price in EUR per MW/h and a Minimum Activation Price in EUR per MWh. The adjustment takes effect after the already awarded Provision Period and must be notified to Flexibility Hub at the latest by D-3 12:00 for delivery day D. The initial Confirmed Power is the Prequalified Power. In case of last-minute changes after this deadline but before the gate closure time of Elia, Flexibility Hub will not be able to change any Confirmed Power.

3.2        The Client shall ensure that the Participating Units are continuously capable of delivering the Confirmed Power throughout the Provision Period. This includes, but is not limited to:

·        scheduling repair and maintenance activities in a manner that does not compromise Availability.

·        maintaining a continuous connection of the Flexibility Hub Steering Box to the power grid, ensuring steerability of the Participating Units and enabling prompt reset of the Box upon request;

·        always guaranteeing the technical availability of the Participating Units during the Provision Period.

A Participating Unit is deemed Available (“Available”) if it is technically sound and capable of producing or consuming electricity in a manner that allows the Flexibility Hub Steering Box to activate the Confirmed Power within the contractual parameters.

Any deliberate modification by the Client that reduces the availability of the Confirmed Power—except for justified safety or technical reasons— shall constitute a material breach of this Contract.

3.3        In the event of an unexpected outage or unforeseeable but necessary maintenance affecting the Participating Units, the Client shall immediately notify Flexibility Hub and take all reasonable measures to restore availability as soon as possible. Flexibility Hub has the right to report any Unavailability to Elia in order to mitigate the risk of a Penalties.

3.4        If the Client changes its Electricity Supplier or switches to an imbalance-exposed contract, it must inform Flexibility Hub at least 10 working days in advance. Any imbalance costs incurred by Flexibility Hub due to a failure to notify within this timeframe will be fully invoiced to the Client as part of the Transfer of Energy costs.

3.5        The Client shall report, via the Dashboard provided by Flexibility Hub or email while the Dashboard is built, any changes affecting:

·        the availability of the Confirmed Power,

·        the Minimum Capacity Price and Minimum Activation Price,

·        the status of Participating Units (including any unavailability), and

·        long-term availability planning, including scheduled maintenance.

3.6        The Client agrees to:

·        implement appropriate safety and control mechanisms prior to any testing;

·        ensure its control systems can receive and execute instructions from Flexibility Hub;

·        actively support Flexibility Hub during testing procedures;

·        guarantee the accuracy of data transmitted from its control systems, as Flexibility Hub relies on this data for operational purposes.

3.7        The Client shall ensure that each Participating Unit includes a fallback mechanism to guarantee operational safety and system integrity in the event of communication loss or control failure. This fallback mechanism must meet the following criteria:

·        The Participating Unit shall revert to a predefined default operating mode within five (5) minutes after receiving the last command from Flexibility Hub.

·        Power setpoints shall be always constrained within the physical limits of the system.

·        The Participating Unit shall actively manage its state of energy to preserve the integrity of the system, including but not limited to thermal management to protect battery cells.

      §4           Prequalification

4.1        The Client makes the Participating Units available for Prequalification Tests and bears any costs related to the Activation during the Prequalification Tests. This includes any costs incurred due to the Transfer of Energy. An internal Prequalification Test is a test Activation by Flexibility Hub, which was not requested by Elia. Flexibility Hub will discuss Internal Prequalification Tests beforehand with the Client. An external Prequalification Test is an official test requested and required by Elia.

4.2        The power that has been activated by a Participating Unit for a specific Product and that meets Elia’s official prequalification or Activation test requirements for that specific Product, is the Prequalified Power for that Product. The Prequalified Power is always the result of the last Prequalification Test.

      §5           Remuneration and pool management

5.1        Remuneration: Flexibility Hub pays two types of remuneration. A Capacity Transaction (as defined in the Flexibility Report) and an Energy Transaction (as defined in Flexibility Report). The Availability Remuneration is paid for all Products for which Elia pays an Availability Remuneration (FCR and aFRR as described in the Terms and Conditions defined in Schedule 4). The Activation Remuneration is paid for all Activations for which Elia pays an activation fee (aFRR as described in the Terms and Conditions defined in Schedule 4). At present, Elia does not pay any activation fees for the Prequalification Tests and Availability Tests. The remunerations are calculated according to the Terms and Conditions defined in Schedule 4.

5.2        Transfer of Energy revenue: Any cost or revenue imposed on the Client or Flexibility Hub by Elia, by the supplier, or by the balancing party in relation to imbalance correction and Transfer of Energy will be settled to neutralize the corresponding revenues/costs from energy trading/imbalance.

5.3        (Offered) Pool Power and Redundancy: For each Tender Bid, Flexibility Hub determines the Pool Power. Flexibility Hub has the right to include a certain Redundancy when determining the Pool Power to meet Elia’s availability requirements.

      §6           Connection of the Steering Box

6.1        The Client bears the costs for the Participating Units of the Flexibility Hub Box and the connection of the Participating Units to the Flexibility Hub Box.

6.2        The Client guarantees that there are no compatibility problems with third party control boxes, that the Flexibility Hub Box always has priority over any such control box, and that such control box never hinders or counteracts an Activation requested by the Flexibility Hub Box. This excludes the mandatory control box from the DSO.

6.3        Flexibility Hub is entitled to register the actual production and/or consumption of energy and to store the production and consumption data of the Participating Units. The right of Flexibility Hub to access the Participating Units’ live consumption and production data is considered a material obligation under this Agreement. Flexibility Hub is also entitled to adjust the quantity of power that the Participating Units produce or consume by sending continuous Set Points to the main controller of the Participating Units. Client is obligated to implement all Set Points.

6.4        The Client shall also install a Certified MID Meter such as described in the Body Contract (“Metering Specification”)

         §7           Participating Unit Exclusivity

7.1        The Clients grants Flexibility Hub the exclusive right to bid and activate flexibility with the Participating Unit at or behind its Delivery Point(s). This means that during the term of this contract with the Participating Unit, and via the relevant Delivery Point(s), the Client will not make any flexibility available to a third party, unless Flexibility Hub agrees in writing. This exclusivity is an essential right and obligation of this contract.

           §8           Duration and termination of this Contract

8.1        This Contract is entered into for a Minimum Duration and starts on the Optimisation Effective Date as stated in the Body Contract and confirmed by email.

8.2        Unless either party notifies the other party by registered letter respecting the Notice Period (see Body Contract) before the End Date (see Body Contract) that the Party wishes to terminate the Contract, this Contract shall be extended automatically as stated in the Body Contract.

8.3        If the end of the contract does not fall on the last day of a calendar month, the contract shall end at the end of that same calendar month.

8.4        Termination by the Client
The Client has no right to terminate this Contract during the first contract year.

As from the beginning of the second contract year, the Client may terminate this Contract at any time by respecting a notice period of three (3) months, subject to payment of the following termination fee:

·        15 EUR/kW of contracted capacity if termination occurs during the second contract year;

·        7 EUR/kW of contracted capacity if termination occurs during the third contract year.

No termination fee shall apply after completion of the third contract year

                                                      §9           Liability

9.1        Intentional and gross negligence: The contracting parties shall be mutually liable without limitation if the cause of a damage is based on an intentional or grossly negligent breach of contract by the contracting party, a legal representative or vicarious agent.

9.2        Slight negligence: Furthermore, the contracting parties are liable for a slightly negligent breach of essential obligations if the breach jeopardises the purpose of the contract, which means that respect of this obligations is essential for the proper performance of the contract to the extent to which the parties in general rely on. In this case the parties are only liable for the foreseeable damage typical for the contract.

9.3        Damage to life, body or health: The above limitations of liability do not apply to damage to life, body or health, nor does this limitation of liability impact any guarantee given by a party or in case one party intentionally concealed a breach of this contract.

9.4        Liability in other cases: The contracting parties are not liable for slightly negligent acts of violation.

9.5        Liability of employees, representatives and vicarious agents: Insofar as the liability of the contracting parties is excluded or limited, this also applies to the personal liability of employees, representatives and vicarious agents.

9.6        Burden of proof: The burden of proof for the availability of the Participating Units lies with the Client.

                                  §10         Final provisions

10.1    Neither Party may disclose the provisions or information relating to this Contract to a third party without the prior consent of the other Party (as Stated in the the Terms and Conditions defined in Schedule 4).

10.2    Flexibility Hub can use the services of one of the Flexibility Service Provider.

10.3    This Contract is governed by and construed in accordance with Belgian law. The parties agree to submit to the exclusive jurisdiction of the courts of Brussels in respect to any claim or matter arising directly or indirectly from this Contract.

10.4    Changes and additions to this Contract must be made in writing. This also applies to the amendment of this clause. Nevertheless, some of the data will be updated through email.

10.5    Flexibility Hub and the Client are authorised to refer to the cooperation as a public reference.

10.6    If any term or provision of this Contract is determined to be invalid, illegal or unenforceable by any rule or law, or public policy, all other terms and conditions of this Contract shall nevertheless remain in full force and effect. In the event of such a determination that any term or provision is invalid, illegal or unenforceable, the parties will hereby negotiate in good faith with the objective to amend this Contract in such a way as to approximate, as far as possible, the original intentions of the parties in an acceptable manner. The same applies to necessary terms and conditions that are not included in the contract.

10.7    If a Contracted Participating Units is sold to a third party, the Client must request the purchaser to accept and retain the current contract. The Client shall inform Flexibility Hub without delay if plans for such sales are made, when legally possible. Flexibility Hub will generally agree to the transfer of the contract, unless there are serious grounds to object, such as substantial economic interests.

Schedule 2 Use cases

Description Use Case :

The Client has flexible Participating Units (PV and Battery) in behind the meter. The Client wishes to get the most value out of those batteries and PV’s. For that aim, the Client and Flexibility Hub shall collaborate to provide the best steering combining behind the meters optimization with front of the meter optimization.

Client obligation :

(1)     The client shall share with Flexibility Hub the energy contract detail. As soon as the client wishes to change its energy contract, the client shall update Flexibility Hub with the new contract details (BRP and pricing formula).

Flexibility Hub obligations :

(1)     Local Services :

(a)     Flexibility Hub shall provide a connectivity through the approved gateway to the steering platform.

(b)    Flexibility Hub shall provide the data with a historical access through a Dashboard as soon as reasonably practicable.

(c)     Flexibility Hub shall provide behind the meter optimization with the aim of reducing the customer bill based on the tariff information shared by the Client, on the solar production, on the energy price, and on the capacity tariff (where applicable) or the DSO dynamic tariff (where applicable). The client acknowledge there is a trade-off with potential revenues from DSR Services.

(2)     Flexibility Hub shall provide the aggregation to enable the bidding into TSO market reserve.

(a)     Flexibility Hub, as soon as all the administrative and prequalification work shall be done, shall provide the DSR Market access on TSO market reserve.

(b)    DSR Market supported :

(i)       For any batteries or PV’s placed on the Low Voltage, the market shall be FCR 100mHZ, or FCR Up Down. As soon as the TSO will open this DSO Level to the aFRR, aFRR shall be provided.

(ii)     For any batteries or PV placed on the mid-voltage or higher full market optimization through aFRR and FCR market based on activation price and based on market price.

(c)     As soon as the Intraday Market and Day Ahead market shall be interesting for trading, there will be a tradeoff between the market reserve of Elia and the wholesale market.

 

 Schedule 3: Definitions & Glossary

Acceptance Tests	The tests that will be carried out by the Flexibility Service Provider  to validate (i) the information in the Data Sheet (and to update this as may be necessary) and (ii) if the Participating Unit is capable of successfully completing the Prequalification Test. Successful passing of the Acceptance Tests is  a condition precedent for the provision of the Optimisation Services.
Access Agreement	The agreement concluded between either the Grid User or the Electricity Supplier on the one hand and the Grid Operator on the other hand as defined in Federal Grid Code.
Activation	Activation is the effective steering of the electrical production or consumption of an installation by the Flexibility Service Provider, up or down, via the FlexHub Box.
Affiliates	means in respect of any person or legal entity, a person or legal entity that directly or indirectly, Controls, is Controlled by or is under common control with such person or legal entity. For the purpose of this definition and this Agreement, « Control » means the power to direct or cause the direction of the management and policies of a person or legal entity, whether through the ownership of voting securities, by contract or otherwise (and « Controlling », « Controlled by » and « under common Control with » shall be construed accordingly);
Agreement	Means this agreement, its appendices, annexures and schedules.
Annual Throughput Constraint	Means the maximum annual cumulative discharge throughput of the Participating Unit, expressed as energy (MWh) and measured at the Delivery Point.
Auction	The capacity auction organized by the Grid Operator under the relevant Reserve Contract.
Available	means that a Participating Unit is capable and available to perform the Offered Product
Backup Assets	A physical Participating Unit paid by the Flexibility Service Provider  in order to support the Participating Unit of the Client and allow the Participating Unit of the Client to obtain increased revenues on certain Markets.
Backup Transactions	A Transaction that reflects the costs of Backup Assets that unlock the additional optimisation value of the VPP Transaction.
Battery	The Client’s battery as described in the Data Sheet
BRP	The balance responsible party as defined in the Electricity Act.
Capacity Bid	Tender Bid offered to Elia specifically for the capacity market (or availability market)
Capacity Remuneration Mechanism (CRM)	The market mechanism as defined in the Electricity Act to ensure security of supply of Belgium.
Capacity Transaction	A Transaction whereby the Client commits to be able to follow a power setpoint at any given moment during a given time interval in exchange for the Transaction Amount from the Flexibility Service Provider .
Connection	Connection to the electricity transmission or distribution grid as defined in the Federal Grid Code.
Connection Agreement	The contract between Grid User and the Grid Operator regarding the Connection to the electricity distribution or transmission grid.
CRM Functioning Rules	Rules governing the CRM established by the Belgian Federal Commission for Electricity and Gas Regulation (CREG) in accordance with article 7undecies § 12 of the Electricity Act.
Delivery Point	A point on an electricity grid or within the electrical facilities of a Grid User, where Optimisation Services are delivered. This point is associated with one or several metering Participating Units(s) and/or measures, according to the terms of this Agreement and the requirements of the Grid Operator, which enable(s) the Flexibility Service Provider  to control and assess the delivery of the Flexible Power. The identification of the Delivery Points is set out in the Flexibility Report.
DSO	Distribution System Operator
DSR Charges	in respect of a Billing Period, the aggregate Revenue Share Amounts for each Use Case under which the Flexibility Service Provider provided DSR Services and received DSR Revenues
DSR Revenues	in respect of a Use Case and a Billing Period, the aggregate fees the Flexibility Service Provider receives as a result of providing the DSR Services less any Grid Services Losses incurred by the Flexibility Service Provider, such fees calculated in accordance with the Remuneration Policy;
DSR Services	in respect of a Use Case, those Use Case Services which constitute demand-side response services offered by the Flexibility Service Provider which enable Participating Customers to participate in real-time demand-side response and demand-side management via their Participating Units
DSR Services Statement	means, in respect of a Billing Period, a statement setting out: (a)the DSR Revenues for each applicable Use Case (including, where applicable, any Grid Services Losses incurred); (b)the Revenue Share that applies for each applicable Use Case, including the relevant Volume Bracket and the details of the Partner’s performance against the applicable Target Volume for such Contract Year; (c)the applicable Revenue Share Amount payable to the Partner applicable for each Use Case; and
Electricity Act	The Belgian law of 29 April 1999 concerning the organization of the electricity market, as amended from time to time and its execution decrees.
Electricity Supplier	The licensed legal person that delivers electricity to or buys electricity from the Client.
Electricity Supply Contract	An agreement for the supply of electricity that the Client has concluded with an Electricity Supplier.
Energy Markets	The wholesale electricity markets covering the forward, day-ahead, intraday and the imbalance market.
Energy Transaction	A Transaction whereby the Client commits to follow a power Set Point during a given time interval in exchange for the Transaction Amount from the Flexibility Service Provider .
FlexHub box	Hardware system that allows steering of the Participating Units and communication of relevant data.
Flexible Energy Capacity	The maximum energy content of the Participating Unit, expressed in MWh, that can be discharged (full to empty) or charged (empty to full) at a constant maximum (dis)charge rate equal to the Flexible Power. It will be based on the Maximum Energy Capacity of the Participating Unit and adjusted with the Flexible Energy Metering Equation, specified in the Flexibility Report, to the actual flexible energy capacity that can be expected. Depending on time of registration of the Flexible Energy Capacity we use the following concepts: · Flexible Energy Capacity at Nomination Deadline  based on the last received Nominated Energy Capacity before the Nomination Deadline. Flexible Energy Capacity Realtime () based on the Maximum Energy Capacity Realtime ().
Flexible Energy Metering Equation	The formula, as defined in the Flexibility Report that is used to convert the Maximum Energy Capacity from the Participating Unit to the Flexible Energy Capacity that can be expected taking into account any eg. degradation factors, reservation of part of the energy content for other purposes, unstable Flexible Power at certain state of energy levels (power foldback).
Flexible Power	The maximum power for a given Market in a given direction (d), that can be expected to be delivered by the Participating Unit at the Delivery Point upon a steering signal of the Flexibility Service Provider . Depending on time of registration of the information we use the following concepts: · Flexible Power at Nomination Deadline () which is determined by the Flexible Power Metering Equation which takes into account the last received Nominated Power before the Nomination Deadline; Flexible Power Realtime () which is determined by the Flexible Power Metering Equation which takes into account the Maximum/Minimum Power Realtime () together with the real-time Unavailability Status.
Flexible Power Metering Equation	The formula that is used to adjust the power value that is registered at any given time to the actual flexible power that can be expected at the Delivery Point.
Gate Closure Time	The deadline for the submission of bids or trades according to the rules of a given Market.
Grid Code	The grid code for transmission adopted in the form of royal decree on the basis of article 11 of the Electricity Act as amended from time to time.
Grid Operator	The operator of the electricity transmission grid and / or of the relevant electricity distribution grids.
Grid User	Every natural or legal person connected to the electricity transmission grid or electricity distribution grid.
Installation (or Contracted Installation)	The collection of all Technical Units located on the same delivery point (EAN).
Internal Prequalification Test	A test activation of a Participating Unit initiated by Flexibility Hub, without a request from Elia or any other Grid Operator, for the purpose of verifying the technical performance of the Participating Unit, validating data and communication flows, and ensuring readiness for an official Prequalification Test. Results of an Internal Prequalification Test may be used by Flexibility Hub to update operational parameters, but shall not be deemed binding for Elia.
Lower limit/ Upper limit	The Lower Limit / Upper Limit is the minimum/maximum power below/above which the Technical Unit (e.g. Engine) cannot/must be operated.
Markets	Being the Reserve Programs and/or Energy Markets, as listed in the Flexibility Report, on which the Flexibility Service Provider  may optimize the Participating Unit of the Client.
Maximum / Minimum Power Realtime	The maximum or minimum power of the Participating Unit as communicated in real-time by the control system of the Participating Unit ().
Maximum / Minimum Power Reference	The maximum or minimum power of the Participating Unit as defined in the Flexibility Report ().
Maximum Energy Capacity Realtime	The maximum energy capacity of the Participating Unit as communicated in real-time by the control system of the Participating Unit ().
Maximum Energy Capacity Reference	The maximum or minimum energy capacity of the Participating Unit as defined in the Flexibility Report ( .
Minimum Activation Price	The lowest price the Client wants receive as remuneration for their Activation.
Minimum Capacity Price	The lowest price the Client wants receive as remuneration for their availability.
Nominal Reference Power	Determined during the CRM prequalification process.
Nominated Energy Capacity	The information received from the Client with respect to the expected maximum and minimum energy capacity of the Participating Unit (). The Nominated Energy Capacity will be zero in case a Planned Unavailability was registered at the Nomination Deadline.
Nominated Power	The information provided by the Client or the Flexibility Service Provider , as defined in Schedule 6, with respect to the expected maximum and minimum power of the Participating Unit (), in a given direction (d). The Nominated Power will be zero in case a Planned Unavailability was registered at the Nomination Deadline.
Nomination Deadline	The latest moment in time, as specified in the Flexibility Report for a given Market, before which the Nominated Power/Energy or Planned Unavailability are to be received.
Offered Products	Products in which the Client’s Participating Units participate (see Flexibility Report)
Optimisation Invoice Amount	The remuneration that the Client can invoice to the Flexibility Service Provider  with respect to the Optimisation Services.
Optimisation Services	Refers to the services offered by the Flexibility Service Provider  to allow the Client to participate in the Markets included in this Agreement by dynamically managing the Flexible Power of the Client according to the needs of the transmission grid and/or for purposes of optimization on the Markets.
Opt-Out Power	The Opt-Out Power is agreed between the Client and the Flexibility Service Provider  ahead of the Auction.
Participating Unit	A Client‘s assets, which Flexibility Hub will utilise to deliver the Use Case to the Client.
Participating Unit Costs	The activation and availability costs defined in the Flexibility Report.
Payment Period	The period, being quarterly, over which the Flexibility Service Provider  settles and pays the Client.
Pool	A subset of Delivery Points which is composed and managed by the Flexibility Service Provider  in order to supply Flexible Power to the Grid Operator for a given Market.
Prequalification Test	The test as defined by the Grid Operator for a given Reserve Program which has to be successful in order for the Flexibility Service Provider  to trade the Participating Unit in such Market and which is a condition precedent for the provision of the Optimisation Services.
Product (or a Reserve Power Product)	A Product is a concrete reserve power product for which Elia issues a public tender. Different Products may exist in the category of FCR (R1), aFRR (R2), mFRR (R3). Each Product has different characteristics.
Product Pool	A Product Pool collects installations that together provide a specific Ancillary Service, e.g. aFRR.
Product Pool Power (or Offered Product Pool Power)	In each Tender Bid, the Flexibility Service Provider offers the Product Pool Power to Elia for a specific Product Pool.
Provision Period	The period during which a Product must be made available to Elia after a successful Tender Bid.
Redundancy	In order to meet Elia’s high availability and safety requirements at all times, the Flexibility Service Provider can build in a safety margin on the amount of power offered to Elia. This means that the Flexibility Service Provider can offer smaller amount of power to Elia than would theoretically be possible at best with perfectly functioning facilities without unavailabilities. This safety margin is the Redundancy. The safety margin depends on the number of installations, installed capacity, stability and availability statistics. The Flexibility Service Provider has a financial incentive to keep Redundancy as small as possible within the technical limits and security requirements.
REMIT	The rules and regulations with respect to wholesale energy market integrity and transparency as described in Regulation (EU) No 1227/2011 of the European Parliament and of the Council.
Reserve Contract	The contract between the Flexibility Service Provider  and Grid Operator regarding the provision and activation of the applicable Reserve Program(s).
Reserve Program	An organized service or series of services to the Grid Operator that meet specific needs with respect to keeping the grid stable.
Service Level Agreement (SLA)	Maximum CRM activation duration
Set Point(s)	Means the power target value instruction communicated to the Participating Unit control system.
Specifications	Means the technical specifications of the Participating Unit as set out in the Flexibility Report.
Stand-Alone Transaction	A Transaction that reflects the value obtained through stand-alone operation in the Market.
State of Energy	A measurement of the level of energy stored in the Participating Unit.
Tender Bid	A bid by the Flexibility Service Provider in a tender issued by Elia for a certain Product for a certain Provision Period.
Transaction	An agreement between the Flexibility Service Provider  and the Client, whereby the Client commits to follow a power setpoint or to be able to follow a power setpoint with its Participating Unit during a given time interval, the Transaction Obligation, in exchange for a remuneration from the Flexibility Service Provider , the Transaction Amount.
Transaction Amount	The total remuneration, before reduction with the Transaction Fee, provided by the Flexibility Service Provider  to the Client in exchange for the Transaction Obligation.
Transaction Category	A Stand-Alone, VPP or Backup Transaction.
Transaction Fee	The service fee the Client pays to the Flexibility Service Provider  in exchange for setting up the Transactions.
Transaction Obligation	The commitment taken by the Client to follow a power setpoint requested by the Flexibility Service Provider  or to be able to follow a power setpoint in case requested by the Flexibility Service Provider  during a given time interval in exchange for a Transaction Amount.
Transaction Type	A Capacity or Energy Transaction.
Transfer of Energy	The contractual and settlement mechanism whereby the energy resulting from the activation of a Participating Unit (whether consumption or injection) is transferred between the Balance Responsible Party (BRP) of the Client and the BRP of the Flexibility Service Provider, in accordance with the applicable Federal Grid Code, CREG rules, and Elia’s procedures. The Transfer of Energy ensures that any energy deviations caused by the activation are financially and contractually settled between the relevant BRPs, without impacting the Client’s supply contract.
Unavailability	A status indicating that the Participating Unit will not respond to any steering signals. A Planned Unavailability is and unavailability where the expected start and end date is communicated by the Client before real-time. A Real-Time Unavailability is an unavailability which is communicated by the control system of the Participating Unit in real-time it has no start and end date only a timestamp.
Unavailable	means that a Participating Unit not Available
Virtual Power Plant	Virtual Power Plant is made of renewable and other decentralised production and storage facilities aggregated together with flexible industrial applications. The bundling of the installations enable reserve power provision to Elia.