Webinar – Retail Market Reform – Challenges and Lessons Learned by Mr. Igor Aronovich (Jan. 31, 10 AM)
| January 23, 2025 | Posted by Koji Yamashita under PES |
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Abstract
This insightful webinar will examine the development and operations of retail markets, with a specific focus on the competitive dynamics at the customer level. The session will provide an in-depth look at the Israeli electricity market, exploring how competition has evolved and discussing key themes that have emerged. Since the 2018 Electricity Market Reform, competition in Israel’s retail market has been driven by the System Marginal Price (SMP). Today, the market is shared between the Israel Electric Corporation (IEC), which controls 62% of the market, and 34 retail companies that compete for the remaining 38%. Among these retailers, some operate under bilateral agreements with Transmission Grid IPPs (Independent Power Producers). In contrast, others purchase up to 8% of energy based on market price formulas, including the half-hour SMP mechanism. A significant feature of Israel’s market is the use of 15-minute smart meters for all customers, enabling more precise energy consumption tracking and contributing to a more competitive pricing structure. This webinar will delve into how these changes have reshaped the retail landscape, the challenges retailers face, and the future opportunities in an evolving energy sector.
Key Lessons Learned:
- Rapid Retail Market Growth: The retail market is growing rapidly, with 35 retailers currently operating in it. Competition is increasingly focused on Tariff Discounts compared to market prices, which drives innovation and customer engagement.
- Future Market Expansion: The retail market share is expected to reach 50% in the near future, signaling significant growth and potential.
- Challenges with Non-Smart Meter Customers: Many challenges persist, particularly with non-smart meter customers, as they present obstacles to accurate billing and pricing.
- Impact of Market Reform: The webinar will also analyze the pros and cons of the retail market reform, which has reshaped market competition, and will consider how this reform impacts both retailers and consumers.
- Profitability Challenges: Some retailers are facing profit challenges, especially as they navigate the complexities of the evolving market and competition.
Speaker
Mr. Igor Aronovich of NOGA (The System Management Company Ltd.)
Mr. Igor Aronovich is a highly experienced energy and power systems professional with over 30 years of expertise in market operations, system optimization, and grid management. Currently serving as the Vice President of Market Operations at Noga – Israel Independent System Operator, Mr. Aronovich leads critical initiatives to enhance the efficiency and reliability of Israel’s electricity market. Since joining Noga in November 2021, he has been instrumental in advancing operational strategies for the country’s independent system operation.
Prior to joining Noga, Mr. Aronovich held a distinguished 28-year tenure at the Israel Electric Corporation (IEC), where they contributed to several high-profile projects and initiatives:
- As Deputy Vice President and Head of the IPP and Market Operations Unit (2014–2021), he spearheaded market integration strategies for independent power producers, fostering collaboration and innovation in Israel’s evolving energy landscape.
- In their role as Head of the Steering Committee for Blackout & Large Disturbances (2013–2017), he led efforts to strengthen Israel’s grid resilience, ensuring robust protocols for managing critical energy events.
- Serving as Operations Director – System Operator, Transmission & Generation (2013–2014) and Senior Deputy Operations Director (2007–2013), he oversaw daily operations of transmission and generation systems, focusing on grid stability and real-time system reliability.
Zoom link: Visit https://events.vtools.ieee.org/event/register/461927