FAQ: Market-based PV curtailment in my energy strategy

Are you sure you are not wasting €100 000 per year on your energy budget?
For companies with an annual energy spend of around €2 million, commodity and non-commodity combined, savings are often hiding in plain sight.

In practice, organisations achieve an average saving of 8% on the commodity part of their energy budget. Not through luck or market timing, but through structure.

Yet one lever is underestimated.

Clicks without a strategy feel active, but reduce control.

Most click decisions happen reactively.
Prices rise. Budgets come under pressure. A click is made.

It feels like active management.
In reality, there is no predefined decision framework.

Each click becomes a one-off decision.
Uncertainty increases. Budget control decreases.

Depending on market conditions and risk profile, power and gas click moments makes up to a 20% difference in the commodity price.

Volatility is not the enemy. Disorganization is.
Looking at historical forward prices, the same pattern repeats itself every year.
Within a single delivery year, electricity and gas prices often fluctuate by tens of percent.
This means the exact same volume can be fixed at very different prices within the same year.

- Companies that fix everything at once depend entirely on timing.
- Companies that spread decisions build their price step by step and end up closer to the market average.
- Organisations that take those decisions within a predefined framework consistently perform better than the average.

Not by predicting the market.
But by organising decisions.

A click strategy starts from your organisation.

A well-designed click strategy answers critical questions:
- How sensitive is your budget to price fluctuations?
- What level of risk is acceptable?
- Which volumes must be secured, and which can fluctuate?
- Over what time horizon are decisions spread?

These answers translate into a clear framework with predefined click moments, bandwidths and rules.
Without structure, volatility controls you.
With structure, volatility becomes a tool.

Could there be contractual limitations in the injection contract with the supplier that affect flexibility or curtailment options?

Yes. Certain contracts restrict curtailment, as it impacts supplier forecasting and nominations. However, this is rarely a dead end. AYA supports clients in assessing and renegotiating such contracts to unlock curtailment opportunities and secure the right supplier setup.

What is the timeline for (1) analysing the potential, (2) installing the gateway, and (3) initiating aFRR down operations?

Fast. We can analyse your site within days and have you market-ready within 2–3 weeks. The main time factor is gateway installation—shipping and connecting it locally. Once installed, you can go live on the aFRR down market almost immediately.

What are the technical requirements for optimally enabling PV curtailment — or at the very least, the essential must-haves?

You need a SunSpec-compatible inverter, which is standard for most recent PV installations. AYA connects a gateway to both your head meter and inverter. The setup is low-burden, non-intrusive, and doesn’t require system redesign.

Why is flexibility participation less attractive for PV installations with green certificates?

The expected revenues from flexibility markets seem lower than the financial loss of the certificates. Green certificates increase the marginal value of each injected MWh. When curtailing, this value is lost, so market-based curtailment must offset that loss. In some cases, this isn’t economically viable. But it depends on contract specifics and market conditions. We assess each case individually.

Will value from PV curtailment be cannibalised over time if many parties participate?

There may be some erosion, but it’s unlikely to be dramatic in the short term. Many installations (residential or subsidised) won’t curtail. Current market conditions still offer strong short-term value, particularly during summer peaks.

My company consumes more than it produces. Is curtailment still worth it?

Yes, in some cases. You may still benefit by switching from self-consumption to taking from the grid at negative prices, depending on grid fees and imbalance conditions. We can model this with your site’s data.

Does curtailment affect the feasibility of installing batteries or other flexible assets later?

Not inherently. However, grid operators often require one Flex Service Provider (FSP) per EAN code. So, if you plan to add multiple assets (e.g. batteries, EVs), it’s best to coordinate via one partner, AYA ensures all assets are managed under one unified flexibility strategy.

What is the minimum installation size for PV curtailment to be viable?

We work with partners who support installations from around 100 kWp. For full market participation (like aFRR), it becomes economically meaningful from about 700 kWp.

How do imbalance costs influence the business case?

Imbalance costs are substantial, €26.43/MWh on average in 2024. These costs are passed on by suppliers, so avoiding them through intelligent curtailment has a direct financial benefit.

Can multiple BSPs operate on the same site?

Not typically. Most DSOs and market frameworks require one BSP or BRP per site to simplify settlement. That’s why we recommend consolidating all assets under a single flexibility operator.

Is curtailment always handled through the inverter?

Yes. Curtailment is executed directly via the inverter, not through other components like switchboards or coupling panels. The inverter receives signals from the gateway to adjust injection levels.

Is AYA a BSP or BRP? Do you provide hardware?

AYA is not a BSP nor BRP. We work with a portfolio of best-in-class partners. We do provide our own gateway hardware but are also compatible with select third-party devices when needed.

How do we integrate PV curtailment into our electricity supply contract?

This varies per supplier. Some allow it by default; others need a revised contract. We help clients interpret and amend supply contracts to enable curtailment with no compliance risk.

How does this relate to future asset deployment like e-boilers or EV chargers?

The Flex Hub is built to scale. Your initial curtailment setup forms the foundation. As you electrify further: adding batteries, heat pumps and EVs, those assets plug into the same markets and increase total flexibility value.

Want to explore PV curtailment for your own site?

Reach out to AYA. We’ll assess your site, review your contracts, install what’s needed, and steer you to real, measurable value, without locking you into unnecessary complexity.