One of the key elements of PCR project is the development of a single price coupling algorithm, which will adopt the name EUPHEMIA (acronym of Pan-European Hybrid Electricity Market Integration Algorithm). It will be used to calculate energy allocation and electricity prices across Europe, maximizing the overall welfare and increasing the transparency of the calculation of prices and flows.
In the past, several algorithms were used locally by the involved PXs. All of them (COSMOS – see below, SESAM, SIOM and UPPO) have been focusing on the features of the corresponding PX, but none was able to cover the whole set of requirements. This made the implementation of the new algorithm (EUPHEMIA) necessary, to cover all the requirements at the same time and give solutions within a reasonable time frame.