A "Capacity Remuneration Mechanism" (CRM) is an instrument to complement the energy markets with a capacity market that guarantees the availability of sufficient capacity to ensure electricity supply. It is the base for future adequacy of the energy system after the phase out of nuclear energy.
This market, involving auctions for the upcoming years, has been developing since 2021 as eligible capacities were given the opportunity to prequalify for the CRM. Subsequently, capacities that prequalified could submit an offer for the CRM auction during a bid submission period as it was conceived by the Belgian authorities.
Since it is almost impossible to summarize several thousand pages of documents, the aim of this textbook is to give a flavour of the mechanism and incentivize producers, investors and bankers to dive-in, study and profit from the CRM. For energy professionals, it would only take two hours to start understanding the example of the Belgian CRM!
To provide a practical tool for investors, lawmakers, lawyers, industrials and shareholders, all relevant legal texts (in French and Dutch) involved in the procedure are included in the book.