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Research

aFRR explained: Germany’s biggest ancillary services opportunity
Explainers

12 Sep 2025

Automatic frequency restoration reserve (aFRR) is Germany’s biggest ancillary-service opportunity - and batteries are built for it. Value comes from two linked markets: a day-ahead capacity auction (pay-as-bid, €/MW/h) and a near-real-time energy auction (pay-as-clear, €/MWh). But rising competition means optimisation, not just qualification, decides the winners.
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