Market-based procurement of inertia of local grid stability

The first consultation of the procurement concept was initiated by the BNetzA on September 29, 2023, the second consultation started one year later on September 12, 2024. The final determination of the procurement concept by the BNetzA took place on April 22, 2025.

What is Inertia of local grid stability?

Inertia of local grid stability is an inherent reaction to an active power imbalance in order to prevent a violation, even if only local, of frequency stability limits, which can be critical for grid stability. Inherent reaction means in particular the Inertia from synchronous machines (rotating mass) or grid-forming converters (synthetic rotating mass), which has the aim of limiting frequency gradients. The Inertia reacts instantaneously to short-term changes in the voltage angle, counteracts the active power imbalance and limits the frequency gradient at the origin.

Market design (according to BNetzA definition)

The procurement of Inertia takes place via a fixed price system that remunerates the provision of iInertia. The level of remuneration depends on the availability of the unit in the respective billing period, the procurement region and the product offered. The fixed price is determined on the basis of a methodology drawn up by an independent expert.

The products are differentiated according to direction (positive / negative) and availability (basic / premium), resulting in four different products.

The inertia of local grid stability procurement concept regulates the framework for

  • Remuneration requirements
  • Product definitions
  • Deadlines
  • Availability
  • Framework conditions for pricing
  • Remuneration
  • Publication obligations of the procuring TSO


Fixed prices for the first fixed-price period

To determine the initial fixed prices valid from January 22, 2026, to January 21, 2028, the four German transmission system operators commissioned an expert opinion to determine the fixed prices, as provided for in the procurement concept in accordance with BK6-23-010.  

Based on this, the following fixed prices are set for the first fixed-price period: 

ProductDirectionFixed price component
Height [€/MWs/a]
PremiumPositiveFPO805
FPO + FP1888,5
NegativeFPO805
FPO + FP1888,5
BasicPositiveFBO76
FBO + FB1109,5
NegativeFBO76
FBO + FB1109,5

The following additional information should be noted:

  1. The fixed prices shown in the table apply uniformly to all procurement regions in Germany from the start of procurement.
  2. The fixed prices shown in the table are the currently valid prices for the first fixed price period. In accordance with BK6-23-010, the fixed prices may also be adjusted within the fixed price period in consultation with the Federal Network Agency.

The transmission system operators also provide the following non-binding explanatory document:

Explanatory document on the fixed prices for the first fixed price period (in German)

Consultation on the framework agreement

For the future procurement of instantaneous reserve, the transmission system operators have drafted a framework agreement (model agreement), which was available for consultation from October 6, 2025, to October 31, 2025.

Draft framework agreement (consultation version) (in German) 

Market communication

The TSOs plan to hold regular online stakeholder workshops until the market launch in order to provide information on the relevant aspects of market-based procurement of instantaneous reserve.

The following table lists all currently planned stakeholder workshops. Workshops that have already been held are also listed, including the presentations shown.

Date of the workshoptopicMaterialsRegistration
November 28, 2024Market design (2nd consultation)Slide set: Stakeholder workshop Market design (2nd consultation) (in German)-
September 22, 2025, 1:00 p.m. – 3:00 p.m.Schedule, mark design, and availability determinationSlide set: Schedule, market design, and availability (in German)-
October 22, 2025, 10:30 a.m. – 12:00 p.m.Submission of bids, aggregation and sample contractSlide set: Bidding, aggregation and model contract (in German)-
November 24, 2025, 1:00 p.m. – 3:00 p.m.Billing and data exchangeUpload takes place after the appointmentRegistration link
January 13, 2026, 1:00 p.m. – 2:00 p.m.Q&A-follows
February 24, 2026, 1:00 p.m. – 2:00 p.m.Q&A-follows

For data protection reasons, it is unfortunately not possible to record the dates. However, relevant questions will be included in the Q&A afterwards.

In addition, the TSOs have compiled a set of slides on handling synchronous machines.

Set of slides on handling synchronous machines (in German)

Q&A on the inertia of local grid stability procurement procedure

Here, the 4ÜNB publish answers to provider questions of general interest in anonymized form at regular intervals. Provider questions can be addressed to the network operators using the contact details below.In addition to the new questions and answers, the previous ones are also included in the new publications. However, past answers may be supplemented in new publications, and this will be indicated separately.

Contact with the TSOs

If you have any questions about the market-based procurement of inertia of local grid stability, please contact the responsible TSO: