The capacity reserve refers to a portion of the available generation capacity that is not permanently in use but can be made available to stabilise the electricity supply in the event of unexpected bottlenecks or periods of high demand. This reserve plays a crucial role in the energy market, especially in systems with a high proportion of renewable energies, which are weather-dependent and therefore difficult to predict.

In Austria, where the share of renewable energies in electricity generation is constantly growing, the capacity reserve is of particular importance. It ensures that additional generation capacity is available to compensate for fluctuations in wind and solar energy. At times when generation from renewable sources is insufficient, for example on cloudy days or when there is little wind, the capacity reserve can be activated to cover demand.

The capacity reserve can consist of various sources, including conventional power plants (such as gas and coal-fired power plants) that can be ramped up quickly, as well as flexible electricity storage solutions, such as battery storage systems or pumped storage power plants. In some cases, demand flexibility, where consumers are asked to reduce their electricity consumption at times of high demand, can also form part of the capacity reserve.

At European level, the capacity reserve is increasingly seen as an important element in ensuring security of supply in a changing energy market. The EU has launched several initiatives to promote the integration of renewable energies while ensuring the stability of the electricity grid. These include directives to promote reserve capacity and to create a single European electricity market that facilitates the exchange of energy between member states.

The challenge in implementing reserve capacity is to find a balance between securing energy supply and decarbonisation goals. There is a risk of encouraging excessive investment in fossil fuel power plants that are not compatible with long-term climate goals. It is therefore important that the capacity reserve is supplemented by incentives for investment in sustainable energy sources and technologies.

In Austria, the legal framework and market mechanisms are crucial for the successful implementation of capacity reserves. The domestic grid operators and regulatory authorities are working on developing suitable measures to ensure security of supply and at the same time drive forward the energy transition.

To summarise, it can be said that the capacity reserve is an indispensable element in the modern energy market, which not only contributes to ensuring security of supply, but also serves as a bridge to the integration of renewable energies. In Austria and Europe, the effective utilisation of these reserves will be crucial to mastering the challenges of the energy transition and achieving the climate targets.