Financial implications of imbalance settlement exemptions for wind power generators

This paper evaluates the application of the specific Belgian mechanism to relief offshore wind power generation partially from the imbalance settlement mechanism. A tolerance margin for imbalances originating from offshore production deviations is installed in which producers and balancing responsible parties enjoy beneficial imbalance tariffs. This paper investigates background, conditions and financial implications of this regulation in order to determine if such support mechanisms can be adequate to support offshore wind power developments.