Glossary

Carbon dioxide (CO2)

The most widespread and well-known greenhouse gas, which is produced by the combustion of fossil fuels and other human activities, such as deforestation and biomass burning. CO2 contributes to the greenhouse effect, which leads to global warming and climate change. Reducing carbon dioxide emissions is crucial for environmental protection and mitigating the negative impacts of climate change.

Carbon dioxide equivalent (CO2e)

CO2e (carbon dioxide equivalent) is a metric used to express the overall impact of different greenhouse gases on global warming in units of carbon dioxide equivalent (CO2). This term allows for the comparison and summation of emissions from various greenhouse gases based on their global warming potential (GWP).

Key points regarding CO2e include:

  • Global Warming Potential (GWP): Each greenhouse gas has a different global warming potential. For example, methane (CH4) and nitrous oxide (N2O) have a higher GWP than carbon dioxide (CO2), meaning they have a greater impact on global warming.

  • Conversion to CO2e: The amount of greenhouse gas emissions is converted to CO2 equivalent based on their GWP. For instance, if methane has a GWP of 25, it means that 1 ton of methane has the same impact on global warming as 25 tons of CO2.

  • Overall impact: Using CO2e, we can easily summarize the total impact of various greenhouse gases on global warming, which is useful for analyses and reports related to climate change.

The use of CO2e is crucial for assessing and comparing the climate impacts of different activities and policies, helping in the implementation of effective measures to reduce greenhouse gas emissions.

Carbon footprint

A carbon footprint is the total amount of greenhouse gas emissions, primarily carbon dioxide (CO2), released into the atmosphere either directly or indirectly as a result of an individual’s, organization’s, event’s, or product’s activities. The carbon footprint is measured in carbon dioxide equivalents (CO2e), which allows for the inclusion of a variety of greenhouse gases with different global warming potentials.

The main sources of a carbon footprint include the use of fossil fuels for electricity generation, heating and transportation, emissions from industrial processes and manufacturing activities, emissions associated with food production (including livestock farming and crop cultivation), as well as emissions from waste decomposition in landfills and waste incineration processes.

The carbon footprint is an important tool for assessing and managing the impact of human activities on global warming and climate change.

Carbon neutrality

Carbon neutrality is a balance between carbon emission and absorption from the atmosphere via capture devices or offsetting measures. Simply put, it is the amount of greenhouse gasses that we release into the atmosphere as a result of our activities, balanced by what we can remove or compensate for. Achieving carbon neutrality involves reducing emissions through energy efficiency, renewable energy sources, and other ecological measures, as well as investing in carbon capture and storage projects.

Certified ancillary services

Ancillary services are contractually provided regulatory services (supply or consumption of balancing energy) delivered by entities certified by the transmission system operator – SEPS. These services are essential for maintaining the frequency, stability, and reliability of the power grid.

Types of ancillary services

Based on the response time required to activate a device providing balancing energy, ancillary services are divided into:

  • Primary control (Frequency Containment Reserve, FCR): activation within 30 seconds

  • Secondary control (automatic Frequency Restoration Reserve, aFRR): activation within 300 seconds

  • Tertiary control (manual Frequency Restoration Reserve, mFRR): activation within 750 seconds

How it works

An entity providing ancillary services enters into a contract to guarantee availability – the ability to activate the energy source during an agreed time window. For both the delivery of regulating energy and the disponsibility itself (even if energy is not actually delivered), the provider receives financial compensation. If the entity fails to meet the contractual conditions or maintain availability, SEPS may impose a penalty.

Who can provide ancillary services

Ancillary services have traditionally been provided by fossil-fuel-based units, such as heating plants and diesel generators. However, the share of low-carbon and renewable solutions is steadily growing – including pumped-storage hydropower plants, biomass-fueled units, and battery storage systems, which, due to their fast response time, are particularly effective in grid stabilization.

Unlike flexibility, which does not require SEPS certification and focuses mainly on optimizing consumption and production according to market conditions, ancillary services are primarily aimed at maintaining grid balance and are subject to strict technical and commercial requirements.

Commercial flexibility

Commercial flexibility is the ability to actively respond to changing conditions in the energy market – especially price signals and grid requirements – in order to achieve financial benefits without disrupting the normal operation of technologies. This way, the customer actively participates in the electricity market without affecting their regular operations.

Unlike technical flexibility, which is used to stabilize the grid through ancillary services, commercial flexibility brings financial advantages by optimizing imbalances and responding to short-term electricity market prices.

How does it work in practice?

Devices such as battery storage systems, photovoltaics, EV chargers, or other flexible technologies are automatically controlled by an energy management system to:

  • consume or supply electricity when it is economically advantageous,

  • minimize costs or generate profit,

  • maintain the customer’s comfort and operational parameters.

Benefits of commercial flexibility:

  • New source of income – from selling flexible capacity on the electricity market.

  • Cost reduction – by optimizing consumption based on market prices.

  • Energy optimization without manual intervention – everything is managed automatically.

Commercial flexibility of battery systems

Commercial flexibility refers to the ability of battery storage systems to quickly respond to the needs of the electricity market. This flexibility allows traders to better react to price fluctuations and maximize utilization efficiency. It helps balance differences between energy production and consumption, which is crucial for maintaining the stability and reliability of the electricity system. You receive additional profit for providing this service. Cooperation with your electricity supplier is required.

Converter

A converter is an electronic device that changes electrical energy from one form to another. It is most commonly used to convert direct current (DC) to alternating current (AC) or otherwise. Converters are crucial in various applications, such as solar energy systems, electric vehicles, and household appliances.

The main types of converters include:

  • Inverters: Convert direct current (DC) to alternating current (AC), which is essential for powering household appliances from batteries or solar panels.

  • Rectifiers: Convert alternating current (AC) to direct current (DC), which is important for charging batteries and powering devices that require direct current.

  • AC-DC Converters: Combine the functions of rectifiers and inverters, allowing flexible conversion between alternating and direct current.

The main advantages of converters include:

  • Flexibility: They enable the use of various energy sources and devices by adapting the form of electrical energy as needed.

  • Efficiency: Modern converters are highly efficient and minimize energy losses during conversion.

  • Safety: Converters often include protective features that prevent damage to devices due to overvoltage or other power issues.

Converters are essential for integrating renewable energy sources into the electrical grid, as they enable the efficient conversion and use of energy produced by sources such as solar panels.

Counter-deviation

A counter-deviation is a deviation that occurs in the power system as a response to an initial deviation, with the aim of restoring the balance between electricity production and consumption. When one part of the system experiences a deviation, such as an excess or shortage of electricity, another part of the system can create a counter-deviation to compensate for this difference and stabilize the system.

Counter-deviations are an important tool in power system management because they allow operators to quickly respond to unexpected changes in electricity supply and demand.