Glossary term

market coupling

A regulatory term referring to the allocation of transmission capacity through a Union system which simultaneously matches orders and allocates cross-z.

1 official sourcessingle_source

What does market coupling mean?

Market coupling is part of the formal vocabulary used in embedded-emissions reporting, importer obligations, and carbon-border compliance. For this glossary, the key point is understanding how the source defines the term and where that definition sits within broader compliance or data requirements.

Official definitions by source

CBAM

Regulation (EU) 2023/956 establishing a carbon border adjustment mechanism

the allocation of transmission capacity through a Union system which simultaneously matches orders and allocates cross-zonal capacities as set out in Regulation (EU) 2015/1222;

Reference: Article 3, point 11

View official source

Why it matters in practice

In practice, this term matters when mapping who is responsible for obligations, declarations, market placement, recordkeeping, or due-diligence steps within embedded-emissions reporting, importer obligations, and carbon-border compliance.

Minespider commentary

For Minespider, market coupling is best treated as a responsibility and workflow term. The important question is which actor, document, or compliance step the source is actually assigning through this definition.

Common confusions

  • Assuming the everyday meaning of market coupling is enough without checking the official source definition.
  • Using market coupling as a loose generic label rather than the narrower meaning used in the source text.
  • Confusing market coupling with a neighboring legal actor or responsibility term without checking how the source allocates obligations.

Related regulations