Europe S Electricity Market Design 2030 And Beyond

Author : Michael Pollitt,Chi Kong Chyong
Publisher : Centre on Regulation in Europe asbl (CERRE)
Page : 73 pages
File Size : 48,7 Mb
Release : 2018-12-10
Category : Political Science
ISBN : 8210379456XXX

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Europe's electricity market design: 2030 and beyond by Michael Pollitt,Chi Kong Chyong Pdf

This CERRE report analyses the possible evolution of the European electricity market under different levels of variable renewable energy penetration towards 2025. The EU’s multiple efforts for decarbonisation with its long term strategy for a climate neutral economy by 2050, and the heated negotiations between the European Parliament, Council and Commission for a new market design highlight the many issues Europe is facing for defining the right electricity market. In this context, the authors of this new study have modelled and analysed the possible evolution of the electricity market under different variable renewable energy (VRE) penetration scenarios. They have looked at the necessary adaptation that these imply to the electricity market. Overall, the report highlights the challenges for the current market design in moving towards self-financing VRE. It also observes a likely continuation of the difficulties faced by generators in financing their investments on the basis of wholesale power prices alone, with only some partial mitigation should commodity prices rise, as expected by the IEA, or with substantial improvements in interconnection across Europe. “If the current market design is to deliver a decarbonised European electricity system, lower renewables costs and higher carbon prices will play a critical role,” said CERRE Academic Director Michael Pollitt and Chi Kong Chyong, the authors of the report. “In the absence of these favourable conditions for VRE, long term subsidy mechanisms in the form of auctions would need to continue in order to meet European renewable electricity targets.” The results of the modelling show the need for many of the existing fossil fuel power plants to remain on the system to support intermittent renewable electricity, hence the importance of the development of ancillary service markets. However, these markets are challenging to design, and the investments they support will likely have higher costs of capital given the volatile and difficult to predict income streams that they give rise to. The report’s results also raise two central questions for the electricity market design: - Will a radical market redesign be necessary by 2025? Given that EU member states have accepted to live with largely subsidised new electricity generation from 2005 to 2018, this seems unlikely. - Will market designs converge across Europe? The issue is whether different local circumstances will cause continuing or increasing divergence in market arrangements. Ireland, Spain, the UK, Greece and Germany could have significantly different market configurations by 2025 given their different ability to absorb increased amounts of VRE.

Author : Jean-Michel Glachant
Publisher : Edward Elgar Publishing
Page : 383 pages
File Size : 53,8 Mb
Release : 2009-01-01
Category : Business & Economics
ISBN : 9781848446052

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Electricity Reform in Europe by Jean-Michel Glachant Pdf

. . . this volume comes across as one of the most profound sources on the specifics of European electricity market restructuring. Competition and Regulation in Network Industries The SESSA study on the Internal Energy Market was an important and influential contribution towards the Commission s proposal for a third package of proposals, intending to bring more effective competition and better security of supply to Europe s energy markets. This volume, based on the results of the study is an important and welcome contribution to the ongoing debate on these proposals. Andris Piebalgs, Commissioner for Energy at the European Commission The chapters in this book are written by the leading European scholars who have studied the structure, behavior and performance of liberalised electricity markets in many European countries as well as in other regions of the world. Both the analyses and the policy recommendations contained in this volume are well worth careful consideration by policymakers in Europe, as well as by policymakers in other countries that are seeking to adopt successful electricity sector liberalisation programs. From the foreword by Paul L. Joskow, Massachusetts Institute of Technology, US Dynamism or dissipation? Competition or national champions? Will enlargement promote or delay reform? Energy economists contemplate the challenges posed by the restless and discontent European Commission. Stephen Littlechild, University of Birmingham and Judge Institute for Management Studies, University of Cambridge, UK The challenge of European electricity reform is being met, although gradually, delays notwithstanding. This book provides precious help in spotting where the necessary further efforts should be directed. In the US mistakes and delays have occurred, no less than in Europe, but an aggressive federal regulator (absent in Europe) is working to overcome them. Electricity markets do not happen, they have to be built. Here are suggestions for a workable European market design. No ideology, just competence and wisdom from both theory and experience. Will Europe learn? Pippo Ranci, Università Cattolica del Sacro Cuore, Italy The realisation of a European internal market for energy is still a work in progress. Written by leading European scholars and discussed with major energy stakeholders, this book presents a thorough analysis of the motives and methods needed to achieve a single European energy market. The authors discuss the critical issues surrounding an internal European energy market including: market design, competition and market power, sustainable energy versus the market, regulation and harmonisation, benchmarking and indicators, modelling of competition, market prices and energy forecasts. They provide a multi-disciplinary assessment of the best way to build the market base of a future European energy policy. Electricity Reform in Europe will be of great interest to decision makers and managers in the energy industry or business sector as they will be able to see the whole European energy policy picture beyond their own corporate interests. The book will also appeal to national and European energy administrations, regulatory bodies and policy makers providing a synthesis of all relevant policy issues.

Author : Florian Ermacora,Christopher Jones
Publisher : Unknown
Page : 0 pages
File Size : 46,9 Mb
Release : 2020-03-30
Category : Antitrust law
ISBN : 9077644695

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Eu Energy Law Volume XII - Electricity Market Design in the European Union by Florian Ermacora,Christopher Jones Pdf

This book was originally published by Claeys and Casteels, now formally part of Edward Elgar Publishing. At the end of 2018 the EU agreed a wholesale overhaul of EU electricity laws with the 'Electricity Market Design' package. The aim of this package is to bring EU electricity law up to date, taking account of its aim to become completely decarbonised by 2050, and to deal with the rapidly increasing level of intermittent renewable electricity in the network. The share of electricity produced by renewable energy sources is expected to grow to more than 50% in 2030. With this in mind, the electricity market design framework has been modernised to deal with intermittency, with new provisions on storage, capacity mechanisms (introducing a new emissions limit for power plants eligible to receive subsidies) and demand response. In addition, the role of consumers in the future electricity market has been re-thought and incorporated in the Electricity Market Design, providing the right incentives for consumers to become more active and to contribute to keeping the electricity system stable, as well as new consumer rights. In order to increase the resilience of the EU electricity system, each EU country is in the future required to define Risk Preparedness plans to be ready to respond to unexpected situations, working closely with neighbouring member states. The new rules will be supported by a stronger role for the ACER Agency, which coordinates work among national energy regulators, providing additional powers and responsibilities, and thus ensuring that decisions are taken for making best use of an integrated EU energy market to the benefit of all EU citizens. This new volume, written by all the key Commission officials responsible for drafting, negotiating and now implementing this major new piece of legislation is essential reading for all those involved in the regulation and development of Europe's electricity industry.

Author : Leigh Hancher,Adrien de Hauteclocque,Malgorzata Sadowska
Publisher : OUP Oxford
Page : 400 pages
File Size : 54,7 Mb
Release : 2015-09-24
Category : Law
ISBN : 9780191066177

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Capacity Mechanisms in the EU Energy Market by Leigh Hancher,Adrien de Hauteclocque,Malgorzata Sadowska Pdf

Ensuring an adequate, long-term energy supply is a paramount concern in Europe. EU member states now intervene by encouraging investment in generation capacity, offering an additional revenue stream for conventional power plants in addition to the existing, heavily subsidised investments in renewable energy sources. These capacity remuneration mechanisms (or simply capacity mechanisms) have become a hot topic in the wider European regulatory debate. European electricity markets are increasingly interconnected, so the introduction of a capacity mechanism in one country not only distorts its national market but may have unforeseeable consequences for neighbouring electricity markets. If these mechanisms are adopted by several member states with no supra-national coordination and no consideration for their cross-border impact, they may cause serious market distortions and put the future of the European internal electricity market at risk. This book provides readers with an in-depth analysis of capacity mechanisms, written by an expert team of policy-makers, economists, and legal professionals. It will be a first point of reference for regulators and policy-makers responsible for designing optimal capacity mechanisms in Europe, and will be an invaluable resource for academics and practitioners in the fields of energy, regulation, and competition.

Author : Leigh Hancher,Adrien de Hauteclocque,Kaisa Huhta,Malgorzata Sadowska
Publisher : Oxford University Press
Page : 513 pages
File Size : 53,5 Mb
Release : 2022-10-13
Category : Law
ISBN : 9780192666673

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Capacity Mechanisms in the EU Energy Markets by Leigh Hancher,Adrien de Hauteclocque,Kaisa Huhta,Malgorzata Sadowska Pdf

Capacity remuneration mechanisms (or simply capacity mechanisms) have become a fact of life in member states' energy markets and are one of the hottest topics in the wider European regulatory debate. Concerned about the security of electricity supply, national governments are implementing subsidy schemes to encourage investment in conventional power generation capacity, alongside already heavily subsidized renewable energy sources. With the increasingly connected European electricity markets, the introduction of a capacity mechanism in one country not only tends to distort its national market but may also have unforeseeable consequences for neighbouring electricity markets. As these mechanisms are adopted by member states with limited supra-national coordination as well as consideration for the cross-border impact, they tend to cause serious market distortions and put the future of the European internal electricity market at risk. This second edition will take stock of how capacity mechanisms have actually worked so far and consider the consequences they have for the European internal electricity market. It will include a detailed overview of national capacity mechanisms, their implications for the EU internal market, and will outline the nature of market failures which are likely to occur in the European electricity markets. This edition is intended to serve as a point of reference for regulators and policy-makers on how to design optimal capacity mechanisms in Europe. It will be an invaluable resource for anyone interested in energy market design, regulation, and competition issues.

Author : Dolf Gielen,International Renewable Energy Agency,Deger Saygin,Jasper Rigter
Publisher : Unknown
Page : 96 pages
File Size : 48,7 Mb
Release : 2017-03
Category : Energy development
ISBN : 9295111184

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Renewable Energy Prospects by Dolf Gielen,International Renewable Energy Agency,Deger Saygin,Jasper Rigter Pdf

Indonesia is the largest country in the Association of Southeast Asian Nations (ASEAN), accounting for around two fifths of the region's energy consumption. Energy demand across the country's more than 17,000 islands could increase by four fifths and electricity demand could triple between 2015 and 2030.While reliance on domestic coal and imported petroleum products has grown, Indonesia has started adding more renewables to its energy mix. The country has set out to achieve 23% renewable energy use by 2025, and 31% by 2050.REmap - the global roadmap from the International Renewable Energy Agency (IRENA) - addresses this challenge, presenting a range of technology and resource options, along with key insights on the opportunities and challenges ahead.As this REmap country report shows, Indonesia could feasibly exceed its current goals and deploy even more renewables. In fact, the country could reach its 2050 target two decades sooner - by 2030.

Author : Mihai Tomescu
Publisher : Unknown
Page : 79 pages
File Size : 51,8 Mb
Release : 2024-06-23
Category : Electronic
ISBN : 9292138103

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Transforming the EU Power Sector by Mihai Tomescu Pdf

Europe and the global community are committed to a low-carbon future, a goal to be reached by mid-century. In 2009, the European Council set an objective to reduce EU-wide emissions of greenhouse gases (GHGs) to 80-95 % of the 1990 levels by 2050 (European Council, 2009). The electricity generating sector is at the heart of Europe's decarbonisation strategy and it is also the focus of this report. To date, power generation remains the largest GHG-emitting sector in Europe, being responsible for roughly one third of all energy-related GHG emissions and more than half of the verified emissions under the EU Emissions Trading Scheme (ETS) (EEA, 2015a; IEA, 2015). According to the European Commission's Energy Roadmap 2050, by mid-century, the currently available climate mitigation options can deliver a cost-effective decarbonisation of the power sector of 90-98 % compared with 2005 (EC, 2011c). To reach this goal, however, a fundamental change in the composition of Europe's electricity sector will be needed. With fossil fuels still contributing to roughly half of the electricity generated in Europe, moving away from a carbon‐intensive power supply over the next few decades will require a commitment to increase investment in clean technology, restructure the fossil fuel energy infrastructure and ensure a secure and affordable power supply. In this context, this report fills an important information gap by looking at: • the theoretical evolution of fossil fuel capacity by 2030 in the absence of strong drivers to counter present trends; • how this hypothetical evolution would fit in with the need to create a qualitatively different EU power sector by 2030 and beyond, in line with EU climate goals. The concept of 'lock-in' has been extensively used to study the effects of path dependencies and reinforcing effects in the context of transition studies. With regard to the energy system, lock-ins are usually understood as mechanisms inhibiting the diffusion and adoption of carbon-saving technologies (Klitkou, 2015; Frantzeskaki and Loorbach, 2010; Unruh, 2000). Throughout this report, the term 'lock-in' is used to refer to situations where the amount of fossil fuel capacity could exceed the levels that correspond to the EU's long-term decarbonisation objectives according to selected Energy Roadmap 2050 scenarios.

Author : Wadim Strielkowski
Publisher : Unknown
Page : 328 pages
File Size : 52,9 Mb
Release : 2020-09-04
Category : Electronic
ISBN : 3039362569

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Market Design for a High-Renewables Electricity System by Wadim Strielkowski Pdf

The book provides assessments and evaluations of emerging trends in the electricity markets, with a focus on high-renewables electricity systems. Specifically, various issues are examined, such as wind and solar energy, interconnection, smart meters, smart grids of the future (including their social implications), and peer-to-peer (P2P) electricity trading, which is closely connected to the principle of a sharing economy. The book also contemplates how the market design for a high-renewables electricity system would be different from the classical post-liberalization market design.

Author : Leonardo Meeus
Publisher : Edward Elgar Publishing
Page : 192 pages
File Size : 54,9 Mb
Release : 2020-11-27
Category : Business & Economics
ISBN : 9781789905472

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The Evolution of Electricity Markets in Europe by Leonardo Meeus Pdf

Bridging theory and practice, this book offers insights into how Europe has experienced the evolution of modern electricity markets from the end of the 1990s to the present day. It explores defining moments in the process, including the four waves of European legislative packages, landmark court cases, and the impact of climate strikes and marches.

Author : Glachant, Jean-Michel,Joskow, Paul L.,Pollitt, Michael G.
Publisher : Edward Elgar Publishing
Page : 672 pages
File Size : 45,5 Mb
Release : 2021-11-12
Category : Business & Economics
ISBN : 9781788979955

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Handbook on Electricity Markets by Glachant, Jean-Michel,Joskow, Paul L.,Pollitt, Michael G. Pdf

With twenty-two chapters written by leading international experts, this volume represents the most detailed and comprehensive Handbook on electricity markets ever published.

Author : International Renewable Energy Agency IRENA
Publisher : International Renewable Energy Agency (IRENA)
Page : 161 pages
File Size : 47,7 Mb
Release : 2019-10-01
Category : Technology & Engineering
ISBN : 9789292601973

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Future of wind by International Renewable Energy Agency IRENA Pdf

This study presents options to speed up the deployment of wind power, both onshore and offshore, until 2050. It builds on IRENA’s global roadmap to scale up renewables and meet climate goals.

Author : Donna Peng,Rahmatallah Poudineh
Publisher : Unknown
Page : 70 pages
File Size : 50,9 Mb
Release : 2017
Category : Carbon dioxide mitigation
ISBN : 1784670944

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Electricity Market Design for a Decarbonised Future by Donna Peng,Rahmatallah Poudineh Pdf

Author : European Wind Energy Association
Publisher : Routledge
Page : 593 pages
File Size : 53,6 Mb
Release : 2012-05-04
Category : Nature
ISBN : 9781136548604

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Wind Energy - The Facts by European Wind Energy Association Pdf

Wind power is often held up as the most accessible and cost-effective route to reducing our reliance on fossil fuels and improving our energy independence, yet knowledge of what it offers is often clouded by myths and misunderstandings, which can hamper its adoption. This new book, the result of an ambitious project coordinated by the European Wind Energy Association, aims to present the facts about wind energy. It includes six sections discussing: technology grid integration economics of wind its industry and markets its environmental impacts the scenarios and targets for wind energy. Contributions are drawn from nine leading research bodies across Europe, and the material is global in its scope. It is therefore an essential resource and reference for those whose work or study demands an in-depth examination of the subject, and for anyone who wants detailed, accurate and up-to-date information on this key energy source.

Author : OECD Nuclear Energy Agency,International Energy Agency,Organisation for Economic Co-operation and Development
Publisher : Organisation for Economic Co-operation and Development
Page : 252 pages
File Size : 50,7 Mb
Release : 1998
Category : Technology & Engineering
ISBN : UOM:39015041989719

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Projected Costs of Generating Electricity by OECD Nuclear Energy Agency,International Energy Agency,Organisation for Economic Co-operation and Development Pdf

This is the fifth study in a series on the future costs of generating electricity. It reviews cost estimates for power plants using nuclear, coal, gas and renewable energy sources.

Author : Great Britain: Department of Energy and Climate Change
Publisher : The Stationery Office
Page : 244 pages
File Size : 55,6 Mb
Release : 2011-07-12
Category : Business & Economics
ISBN : 0101809921

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Planning our electric future by Great Britain: Department of Energy and Climate Change Pdf

This white paper sets the Government's proposals for reform of the UK's electricity system to ensure that the UK electricity supply is secure, low-carbon and affordable. This is especially crucial as we face a number of unprecedented challenges in the coming decades including the threat to security of supply as existing plant closes; the necessity to decarbonise electricity generation; the likelihood for a rise in electricity demand and electricity prices are also expected to rise. Broadly the strategy's approach consists of four parts: long term contracts for both low-carbon energy and capacity; institutional arrangements to support this contracting approach; continued grandfathering, supporting the principle of no retrospective change to low-carbon policy incentives, within a clear and rational planning cycle; and ensuring a liquid market that allows existing energy companies and new entrants to compete on fair terms