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ID:
179678
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Summary/Abstract |
Countries are making important efforts decarbonising their electricity generation mix. In this context, improving the operational efficiency enables better use to be made by renewables and the grids. However, the location of new capacity might be relevant from the social welfare point of view when private decisions might affect the power system efficiency.
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ID:
150617
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Summary/Abstract |
European energy markets have undergone a major transformation as they have advanced towards market liberalisation and it is vital that the details of these developments be carefully examined. The success of liberalisation is based on smart regulation, which has been capable of providing solutions to unforeseen events in the process. Our paper seeks to contribute to existing understanding of the unexpected and collateral effects of the liberalisation process in the power system by examining a natural experiment that occurred in Spain in 2009. In that year, the electricity supply by distribution system operators disappeared. This change in retail market competition, as we demonstrate in this paper, has had an unexpected effect in terms of the system’s balancing requirements. We undertake a rigorous assessment of the economic consequences of this policy change for the whole system, in terms of its impact on final electricity prices.
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3 |
ID:
176826
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Summary/Abstract |
Electricity systems are facing a massive transformation from the replacement of conventional generation technologies by renewables. In this paper, we explore how to make compatible markets principles, economic signals and grid development through the analysis of the grid-related costs associated with the connection of new renewables. Starting from the actual locational patterns of the transmission congestions as baseline, we evaluate the locational impacts, the corresponding network investments and electricity losses associated with the introduction of new renewable (wind and solar) capacity and facing out existent (coal and nuclear) in a real electricity system. Simulated geographical scenarios following the Spanish National Energy and Climate Plan are used to explore up to what extent the potential locations of new generation plants might result in congestions that require relevant grid reinforcements and extra electricity losses, both borne by consumers.
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