The location component refers to the specific geographical designation of a connection point on the electricity grid, identified by its EAN code. This component is essential for determining the physical location where flexible capacity is offered or requested.
As part of the redispatch process, market participants are asked to place buy and sell orders via a trading platform. These orders must include a location component — the EAN code of the relevant connection. This allows grid operators to identify which buy and sell orders are suitable for resolving a congestion situation in a specific area.