Intraday Market and Balancing Mechanism: Proactive, Not Reactive Management

## Why Is the Electricity Market Always in Motion? Electricity is a commodity that must be consumed the moment it is produced — it cannot practically be stored. This physical reality turns electricity supply into a far more complex balancing and coordination problem than a simple production business. Keeping every kilowatt-hour produced matched with what is consumed is a continuous challenge for the entire system. No matter how well positions are planned in the Day-Ahead Market (GÖP), deviations emerge as real time approaches. Weather conditions shift, unexpected outages occur at plants, and consumption forecasts diverge from what actually happens. This is exactly where the Intraday Market (GİP) and the Balancing Power Market (DGP) come into play. ## Why Does This Matter for HPP Operators? Hydroelectric power plants have a significant advantage over other renewable sources: water, up to reservoir capacity, is a "storable" resource. This flexibility allows HPP operators to optimize production timing based on new information emerging throughout the day, rather than locking into a fixed GÖP position. Making effective use of this flexibility, however, depends on production forecasts and water flow projections being updated with high accuracy, close to real time. Otherwise, the plant risks both failing to meet its GÖP commitment and missing opportunities in GİP. ## From Reactive to Proactive Management In the traditional approach, plant operators adjust positions *after* noticing deviations — a reactive model that usually results in imbalance costs. HYDROWISE's approach is proactive instead: by continuously processing meteorological data, hydrological simulations, and real-time SCADA data, possible scenarios are anticipated before deviations occur. This allows the plant operator to answer "how much deviation should I expect this hour?" with a data-driven answer before taking a position in GİP. Over time, this reduces imbalance costs and enables better use of pricing opportunities in GİP. ## Conclusion There is no such thing as a "perfect forecast" in the electricity market — but a continuously updated, data-driven forecasting process can significantly reduce the cost of deviation. For HPP operators, this means treating GÖP as a starting point, and GİP and DGP as an ongoing optimization process.