Nordic market coupling – Counter-intuitive or generally beneficial?

The recent introduction of flow-based market coupling to the Nordic region has already had a significant impact. Designed to automatically optimise the use of transmission capacity across bidding zones, this mechanism has boosted prices in some areas but led to power flows against the price signal in others. What is likely to be its long-term outcome? Reporting by: Gert Ove Mollestad, Editor Norway, Montel: Contributor: Priyanka Shinde, Nordic Market Expert at Montel Analytics.