EU network code · draft

NC DR. The EU network code on demand-side flexibility

A draft network code that will set the rules for energy customers, storage and aggregators to take part in electricity markets and in services for system operators.

The code has not been adopted yet. As of 14 October 2026 the European Commission has not adopted the NC DR. This page describes the draft as set out in ACER Recommendation 01/2025 of 7 March 2025. History and status ↓

What the NC DR is

The NC DR (Network Code on Demand Response) is a planned EU network code that is to set common rules for the participation of demand-side flexibility (demand response, energy storage, distributed generation and aggregation) in electricity markets, and rules for the procurement of local services by system operators. For Poland it means having to bring order to the flexibility services market, which today each DSO builds in its own way.NC DR, Art. 1 · report, section 5

Form

A Commission implementing regulation adopted under Article 59(1)(e) of Regulation 2019/943. Once adopted, it applies directly in all EU Member States.NC DR, recitals · Regulation 2019/943, Art. 59

Authors

The draft was prepared by ENTSO-E and the EU DSO Entity, then amended by ACER and submitted to the Commission.report, section 2

What it covers

National terms for service providers, baselining, qualification of providers, the flexibility information system (FIS), local flexibility markets, coordination between operators and data exchange.NC DR, Titles I–X

Principle

The code harmonises markets far, but leaves Member States, regulators and operators a lot of room. The details are set in national terms, conditions and methodologies approved by the regulator.report, section 4

Ten key areas

The report identifies ten areas of the code that matter most for Poland.

report, section 4

1
FIS: the flexibility information system
A common national register of service providers and controllable units.
NC DR, Arts. 24–28
2
Prequalification of providers
Checking whether a provider and its resources can deliver the service.
NC DR, Arts. 16–23
3
Baseline
How much energy a customer would have consumed without a call to reduce.
NC DR, Arts. 14–15
4
TSO–DSO coordination
Common rules for cooperation between the transmission and distribution system operators.
NC DR, Arts. 45–52
5
Local flexibility markets
Market-based procurement of services by system operators.
NC DR, Arts. 29–39
6
AMI and metering data
Access to data from meters and measurements.
report, section 4
7
Consent management
Customers' consent to the use of their data and resources.
report, section 4
8
Settlement of services
Rules for pricing and settling local services.
NC DR, Art. 35
9
Register of controllable units (CU)
A record of resources that can provide services.
report, section 4
10
Interoperability
Compatibility of systems and data exchange.
NC DR, Arts. 53–54

Who it concerns

PSE

The transmission system operator and energy market information operator; competes with DSOs for distributed resources and may become the FIS operator.report, section 2

DSOs

The large operators (Enea Operator, Energa-Operator, PGE Dystrybucja, Tauron Dystrybucja) will procure local services; their level of preparation differs.report, section 2

Small DSOs

Almost 200 smaller operators; they are to take part in the national process of setting terms, most are likely to ask for derogations.report, sections 2 and 6

Aggregators and suppliers

The code opens markets to aggregation, but Poland lacks an aggregation model and rules on dedicated measurement devices (DMD).report, section 6

Customers

Industry and SMEs are today the main source of demand response; prosumers are a potential that requires metering and aggregation.report, section 2

President of URE

The regulator will approve national terms, conditions and methodologies.report, sections 2 and 6

Minister of Energy

Represents Poland in the committee that votes on the code and is responsible for implementation.report, section 2

Timetable of NC DR obligations

06.2027
NC DR enters into force
Assumed date of entry into force of the code.
06.2028
National terms and conditions (T&C)
The URE President develops and approves national T&C within 12 months after entry into force.
12.2029
T&C for the FIS
Proposal of national T&C for the FIS within 18 months after the procedure under Art. 4.
06.2031
Data exchange
Full interoperability of data exchange in the deployed FIS within 48 months.
06.2033
Full FIS services
FIS service functionality in place within 36 months after approval of the T&C for the FIS.

Dates assume NC DR enters into force on 1 June 2027. This is the report authors' assumption, rather optimistic. section 7

What the NC DR means for Poland

Consistency

The Minister of Energy's draft system regulation of 22 May 2026 is largely consistent with the NC DR.report, section 4

Two reservations

Flexibility products are defined by operators in contracts, and aggregators have no real possibility of providing services.report, section 4

Changes needed in law

Choosing an aggregation model, rules on DMD, a mandate for the President of URE to approve common terms of all operators, standards for local markets set above the level of contracts.report, section 6

Derogations

The report does not recommend asking for exemptions. It is better to defend the current shape of the code, which largely fits the Polish model, and use the time before entry into force to prepare CSIRE for DMD.report, section 6

Recommended market model

Hybrid: different products at different DSOs, but common minimum standards.report, section 5

Legal basis and documents

The NC DR is being established under Regulation (EU) 2019/943 on the internal market for electricity. Its Article 59(1)(e) empowers the European Commission to establish a network code on “rules (…) regarding demand response, including rules on aggregation, energy storage and demand curtailment”, adopted under the examination procedure (Article 67(2)). The same article sets out the path the NC DR has followed:Regulation 2019/943, Art. 59

1
ACER framework guideline
At the Commission's request ACER prepares a non-binding framework guideline with principles for drafting the code and consults on it for at least two months. For the NC DR: submitted to the Commission on 20.12.2022.Art. 59(4)–(6)
2
Proposal for the code
The EU DSO Entity in cooperation with ENTSO-E, supported by a drafting committee, submits a proposal to ACER within no more than 12 months. For the NC DR: 8.05.2024.Art. 59(9)–(10)
3
Review by ACER
ACER checks consistency with the framework guideline, consults on the draft and submits it to the Commission within six months. For the NC DR: Recommendation 01/2025 of 7.03.2025.Art. 59(11)
4
Adoption by the Commission
The Commission adopts the code as an implementing act under the examination procedure, with the approval of Member States in the committee. For the NC DR: pending (as of 14.10.2026).Art. 59(1), Art. 67(2)

Legal acts and the draft text

History and status

20.12.2022
ACER submits the framework guideline on demand response to the Commission. This is the starting point for drafting the code.
ACER ↗
8.05.2024
ENTSO-E and the EU DSO Entity submit the draft code to ACER.
ENTSO-E ↗
autumn 2024
ACER runs a public consultation on the draft (PC_2024_E_07).
ACER ↗
7.03.2025
ACER submits the amended draft to the Commission as Recommendation 01/2025. This page and the report are based on this text.
ACER ↗
14.07–12.09.2025
The Commission consults on ACER's draft (targeted consultation).
European Commission ↗
26.03.2026
Meeting of the Electricity Cross-Border Committee; the Commission announces it will return to the work in summer 2026; no Polish representatives.
report, section 6
14.04.2026
Deadline for Member States' comments.
report, section 6
28.06.2026
No information on a vote on the NC DR in the Commission's calendar.
report, section 6
14.10.2026
Code not adopted: the Commission's page describes the NC DR as under development, no regulation in EUR-Lex.
European Commission ↗

The code will be adopted under the examination procedure: the Commission needs the approval of Member States in the committee.report, section 6

Questions

Is the NC DR already in force?+

No. As of 14 October 2026 it is a draft that the European Commission has not adopted.

When will the NC DR enter into force?+

Unknown. The report assumes 1 June 2027, but itself calls this assumption rather optimistic.report, section 7

What does the NC DR change for DSOs?+

DSOs will procure local services under common national terms approved by the President of URE, with a national FIS and a standardised baseline.report, section 4 · NC DR, Arts. 14, 24, 32

Can Poland still influence the code?+

Yes, in the committee where Poland is represented by the Minister of Energy; the report recommends active involvement in further work.report, section 6

NC DR. The EU network code on demand-side flexibility

What the NC DR is

Form

Authors

What it covers

Principle

Ten key areas

FIS: the flexibility information system

Prequalification of providers

Baseline

TSO–DSO coordination

Local flexibility markets

AMI and metering data

Consent management

Settlement of services

Register of controllable units (CU)

Interoperability