EUROPEAN INTEGRATION: HOW JSC "MARKET OPERATOR" ENSURES TECHNICAL READINESS FOR INTEGRATION WITH THE EU

The Ukrainian Parliament has adopted at first reading Draft Law No. 12087-d, "On Amendments to Certain Laws of Ukraine Regarding the Implementation of European Union Law Provisions for the Integration of Energy Markets, Enhancement of Security of Supply, and Competitiveness in the Energy Sector." This draft law establishes the legal basis for coupling Ukraine’s electricity market with the European Union’s Single Market (Market Coupling) and represents a key component of Ukraine’s international commitments under the Energy Community Treaty.

As the sole organizer of trading on the Day-Ahead Market (DAM) and the Intraday Market (IDM), JSC "Market Operator" plays a critical role in the upcoming market integration process. Accordingly, the company must undertake comprehensive preparations, including:

• modernization of the XMtrade®/PXS software suite to ensure technical compatibility with the European Price Coupling of Regions Matcher-Broker (PMB) platform;
• initiation of technical and operational testing as part of the future market coupling;
• adaptation of infrastructure, IT systems, and cybersecurity measures;
• implementation of European standards in the area of personal data protection, including the development of a GDPR compliance system.

The first possible window for launching Market Coupling from the European side is currently set for the first quarter of 2027. According to European practice, a minimum preparatory period of 18 months is required, encompassing technical, legal, and organizational integration.

The required upgrades to XMtrade®/PXS comprise a broad range of technical enhancements: from reconfiguring cross-border trading profiles, market management functions, and result publication modules to developing interfaces for interaction with the PMB platform, adapting to a 15-minute Market Time Unit (MTU), and integrating settlement mechanisms. Special attention is being given to cybersecurity and alignment with European regulatory standards.

Preparation for market coupling involves not only technical adjustments but also organizational and regulatory changes. JSC "Market Operator" has already implemented key standards mandatory for operators of European energy platforms, notably a personal data protection system in line with Regulation (EU) 2016/679 (GDPR). This reinforces trust among international partners and demonstrates the company’s readiness to operate in accordance with unified European Union standards.

The timely initiation of work on modernizing the trading platform for Market Coupling is essential for Ukraine to meet its energy sector obligations under the European integration agenda and ensures the continuity of its strategic path toward a unified European energy space.