How the Brexit will break also your analytics

Luigi Poderico
2 min readFeb 22, 2019

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Image source: https://www.instagram.com/p/BuJxV2lFWpV/

The different regional energy markets across Europe have cross-linked together thanks to many initiatives, devoted to higher market efficiency, a lower energy price, more transparency and less carbon emission. The main two are the Price Coupling of Regions and the XBID project.

At the moment, Britain is linked to Europe through three different links: IFA, BritNed and Nemo. Seem almost obvious that after the Brexit, the commercial rules of these interconnectors will change. An interesting scenario analysis is described at this post on LinkedIn: https://www.linkedin.com/feed/update/urn:li:activity:6503942208977137664/

It seems almost sure that, after the Brexit, also many equilibria around the day-ahead and intra-day markets will change. And you know what? Your neural networks need new data to be trained. The same thing will happen to your time-series analysis: you have to wait some months in order to have new data to analyze.

On the other hand, you can opt to adopt any software that models directly the market you interest in. For instance, the day-ahead energy market runs every day with an optimization algorithm. The official algorithm closing the day-ahead is called Euphemia, but a good replica developed to perform short term analysis is commercially available. Its name is PowerSchedO for PCR. You can read more on it and schedule a demonstration on this link: http://www.mbigroup.it/en/business-analytics-and-optimization/powerschedo-for-power/powerschedo-for-pcr/

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Luigi Poderico
Luigi Poderico

Written by Luigi Poderico

I help people building machines that give the best answers to their best questions. https://linktr.ee/poderico

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