Amendments to the Energy Exchange Regulation are adopted

2025 04 04

On 3 April 2025, in accordance with Article 8(1)(5) of the Law on the Energy Resources Market of the Republic of Lithuania, the National Energy Regulatory Council (NERC) approved amendments to the Regulation of the Energy Exchange Reguliation. These changes will apply to biomass fuel delivered from 7 April 2025 (W15 delivery week).

Main changes:

1. The ash content is found to be subject to a minor error for individual biomass fuel products. If the weighted average ash content of the biomass fuel delivered on a given delivery day is higher than the maximum possible value indicated in the product specification for the biomass fuel product, the price of the biomass fuel delivered shall be reduced by 2 % for each percentage point of ash content above the maximum possible value indicated in the product specification but within the margin of minor error and by an additional 10 % for each percentage point of ash content exceeding the margin of minor error.

Product abbreviation	The product specification indicates the maximum possible ash content in %.	Minor error (percentage points, inclusive)
MG1	≤ 1 %	up to 0 %
SM1, SM1W, MG2, MG3, IP2	> 1 % and ≤ 2 %	up to 1 %
SM2, RW1, RW2, RW2pc	> 2 % and ≤ 4 %	up to 2 %
SM3D, SM3, SM4, KD, LBM1, LBM2	> 4 %	up to 4 %

For example, if the delivered SM3 biomass fuel has ash content of 10%, the price of the delivered biomass fuel should be discounted by 18%: 10> 5 and 10>(5+ 4); therefore the discount is calculated as 2*4 + (10-(5+ 4))*10=18.

2. Discounts are calculated separately in case of refusal to accept a shipment. The calculation of the weighted average qualitative indicators of the biomass fuel delivered on a given delivery day shall not include cargoes (consignments) whose acceptance is in dispute between the buyer and the seller (where the buyer has refused to accept the cargo and the seller has demanded that the qualitative indicators of the delivered biomass fuel be determined), but shall be subject to the drawing up of a refusal act, which must clearly state the quantity of the rejected biomass fuel (by weight or by volume), and the reasons for not accepting the delivered biomass fuel.

3. The maximum discount is reduced to 50%.

The proceedings of the NERC meeting are available here.

International Biomass Exchange,
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