Digital Twin for Day-ahead and Intraday Market Co-optimization Using Dynamic Line Rating

Hartmann, Bálint and Bereczki, Bence and Sőrés, Péter Márk and Vokony, István (2026) Digital Twin for Day-ahead and Intraday Market Co-optimization Using Dynamic Line Rating. In: CIRED 2026 Brussels Workshop, 2026, Brüsszel. (In Press)

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Abstract

tatic line ratings and sequential, non-co-optimised energy and balancing market clearing increasingly constrain transmission system utilisation under growing renewable penetration. This paper addresses both limitations by proposing a unified methodological framework that integrates Dynamic Line Rating (DLR) into flow-based capacity calculation and multitimeframe market co-optimisation, implemented as a modular digital twin. The framework is demonstrated in a controlled, regulatory-consistent Hungarian pilot environment within the TwinEU Horizon Europe project. Parallel static and dynamic rating datasets enable benchmarking, while sequential gate-closure alignment ensures temporal consistency. A structured scenario framework is applied to assess separated versus co-optimised market designs under multiple DLR assumptions. Results indicate that DLR primarily expands the feasible operational boundary of the transmission system, while co-optimisation fundamentally alters the allocation of scarce cross-zonal capacity across market products. The digital twin framework enables reproducible experimentation without structural modification of the existing flow-based methodology. Key implementation challenges include forecast uncertainty, welfare redistribution, computational scalability, data governance, and regulatory alignment with current and future EU regulations on capacity allocation and electricity balancing market frameworks. DLRenabled co-optimisation emerges as a viable evolutionary pathway for European market operation but current project experiences are suggesting institutional barriers may exceed technical ones in delivering new solutions.

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