An exemption was granted by the Bundesnetzagentur waiving certain energy regulation provisions for the planned NorGer cable connection between Germany and Norway. Under European Regulation No 1228/2003 exemptions may be issued for new direct current interconnections, releasing them from rules on the use of revenues flowing from congestion management procedures and from provisions on network connection and access. Exemptions may be granted if, amongst other things, the investment enhances competition in electricity supply and if the level of risk attached to the investment is such that the investment would not take place unless an exemption was granted.
NorGer KS is jointly controlled by the Norwegian energy company Agder Energi AS, Lyse Produksjon AS, Statnett SF and the Swiss company Elektrizitäts-Gesellschaft Laufenburg AG. The consortium aims to build the first direct high voltage power connection between Norway and Germany. The high voltage direct current cable will be almost 600-km long and have a capacity of 1,400 MW. It will link the German and Norwegian power markets by 2015. The entire capacity of the new interconnections will be made available to traders on the EPEX Spot and Nordpool Spot power exchanges by means of an implicit auction mechanism.
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