We are honoured, as President and Chair of the Board, to present to you the ENTSO-E Annual Report 2021. This report lists all the achievements of the European TSO community during the last year.
The European TSOs share the paramount objective of ensuring system security of the interconnected electricity system in Europe. They also are responsible for enabling the optimal functioning and development of interconnected markets and of the European Power Grid, both of which are the cornerstones of the integration of renewable energy sources and emerging technologies.
The Annual Report aims to inform our stakeholders about the many activities and solutions developed by TSOs to complete the Internal Energy Market, foster the required onshore/offshore grid developments, increase cooperation with DSOs and other relevant stakeholders, and accelerate innovation in European energy systems.
This year’s report shows once again the commitment of TSOs as key enablers of the climate neutrality objective by 2050.
In this spirit, ENTSO-E is developing a new comprehensive Vision of the European power system by 2050. ENTSO-E will look beyond expected trends, identify key building blocks of the future power system, and propose a Vision 2050 that will contribute to a fully climate-neutral European economy.


Hervé Laffaye

Hervé Laffaye

Chair of the Board

Joachim Vanzetta

Joachim Vanzetta


ENTSO-E in 2021

This Annual Report covers the period January to December 2021. It focuses on the legal mandates given to ENTSO-E and on the Pan European All TSOs tasks, facilitated by ENTSO-E. The activities covered in this report were performed thanks to the 42 members of ENTSO-E1 who provide its financial resources and whose staff provides expertise to the Association. The successful implementation of these activities also relies on the input provided by stakeholders via ENTSO-E’s Independent Advisory Council, the Network Codes European Stakeholder Committees and other stakeholders groups, and via the public consultation processes.

This Annual Report was submitted for stakeholders’ views in a public consultation from 16 May to 13 June 2022. The consultation results and responses were duly examined and the Annual Report was subsequently submitted to ACER for opinion.

While ENTSO-E and TSOs are still implementing the Third Package, 2021 also saw the implementation of several legal mandates stemming from the Clean Energy Package (CEP): e. g. the go-live of the Common Grid Model (CGM), the signature of the Memorandum of Understanding with the EU Distribution System Operators Entity (DSO), etc.

In addition, while delivering legally mandated tasks, ENTSO-E also aims to support policy objectives, in particular the Green Deal, on a pan-European level. This ambition concerns all aspects of ENTSO-E’s work as the increase of variable renewable generation and the electrification of several sectors, among others, impact all the activities of Transmission System Operators (TSOs). Concretely, this evolution has led, for example, TSOs to enhance the forecast, planning and regional coordination of real time operations.

It has also pushed the introduction of new products to the energy markets as well as enhanced coordination with Distribution System Operators (DSOs) to develop new flexibility services. With both the planning and the research and development sides, ENTSO-E and TSOs anticipate the impact of achieving a carbon-neutral Europe an energy system by 2050. Examples of ENTSO-E and TSOs’ contribution towards this objective are highlighted in green boxes throughout this document.

ENTSO-E’s positions on these topics are detailed in various publications (e.g., the Proposals for amendments to TEN-E, offshore papers, etc.) and also presented in several events organised throughout the year (the ENTSO-E Conference held in November 2021 above all).

1 UK TSOs who left ENTSO-E at the end of 2021 contributed to ENTSO-E activities that are in the scope of the Annual Report 2021. As of 2022, ENTSO-E consists of 39 Members from 35 countries (SONI – System Operator for Northern Ireland – is still part of ENTSO-E)

Report Structure

Chapter 1: System Operation

The implementation of System Operation legal mandates tasks, aimed at improving operations and securing electricity supply with increasing volumes of variable renewable energy sources (RES). Many deliverables under the System Operation Guideline have been submitted, and activities stemming from the Emergency and Restoration Code were carried out in 2021. The chapter also outlines activities carried out in the field of regional development as well as the Common Grid Model (CGM) and ENTSO-E Awareness System (EAS).

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Chapter 2: Market

TSOs are instrumental in the progressive harmonisation of electricity market rules, which enables the entry of increasing numbers of RES producers and thus contributes to a more sustainable energy system. In 2021, ENTSO-E and TSOs developed and submitted several Capacity Allocation and Congestion Management (CACM), Forward Capacity Allocation (FCA) and balancing methodologies and also delivered several monitoring tasks.

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Chapter 3: System Development

The chapter provides an overview of all system development activities related to future scenarios, long-term planning and adequacy assessments. These deliverables aim to support investment decisions by various actors of the electricity market with a view to achieving a carbon-neutral European energy system by 2050. In 2021, ENTSO-E and the European Network of Transmission System Operators for Gas (ENTSOG) published their draft joint TYNDP 2022 Scenario Report and the first ever European Resource Adequacy Assessment (ERAA).

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Chapter 4: Transparency Regulation

This chapter describes the development of the Transparency Platform (TP) for various transparency requirements stemming from legal mandates, as well as the review of the Manual of Procedures (MoP). Publicly and freely available data allow the share of technologies in the generation mix of different geographical areas to be transparently followed.

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Chapter 5: Research, Development and Innovation

This chapter outlines the creation of the ENTSO-E Research, Development and Innovation (RDI) Implementation Report 2021–2025 in 2021, the publication of several position papers (three of which are on offshore development), the ENTSO-E Technology Factsheet, and its participation in European Technology and Innovation Platform Smart on Networks for Energy Transition (ETIP SNET). The main driver is to identify the necessary innovation milestones for TSOs to reach the EU Green Deal policy objectives, thus achieving the green transition.

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Chapter 6: Cybersecurity, Interoperability and Data

The chapter details cybersecurity and data exchange & the interoperability activities carried out in 2021. Whereas cybersecurity activities have been carried out under the Connecting Europe Facility (CEF) project, ENTSO-E also participated in the drafting team of the Network Code on Cybersecurity. The chapter also describes data exchange and interoperability activities to support network code implementation, the update of the Common Grid Model Exchange Standard (CGMES), and the work on the Harmonised Electricity Market Role Model. The transition towards a more sustainable society implies the electrification and digitalisation of sectors such as transport or heating. To work efficiently, this evolution will require more data protection and more interoperability standards to facilitate cross-border exchange.

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Chapter 7: TSO–DSO partnership and demand side flexibility

This chapter describes the activities carried out in the framework of the TSO–DSO cooperation. With the constant increase of renewable generation, DSOs and TSOs must strengthen their coordination to facilitate the deployment of distributed flexibilities and operate their networks securely.

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ENTSO-E Annual Report 2021

This Annual Report covers the period January to December 2021. It focuses on the legal mandates given to ENTSO-E and on the Pan European All TSOs tasks, facilitated by ENTSO-E. The activities covered in this report were performed thanks to the 42 members of ENTSO-E who provide its financial resources and whose staff provides expertise to the Association.


  1. System Operation
  2. Market
  3. System Development
  4. Transparency Regulation
  5. Research, Development and Innovation
  6. Cybersecurity, Interoperability and Data
  7. TSO–DSO partnership and demand side flexibility
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