There is an ongoing debate on the introduction of capacity markets in most European countries while a few of them have already established capacity markets. Since the implementation of independent national capacity markets is not in line with the target of a pan-European internal electricity...

There is an ongoing debate on the introduction of capacity markets in most European countries while a few of them have already established capacity markets. Since the implementation of independent national capacity markets is not in line with the target of a pan-European internal electricity...

Germany's energy transition is associated with increasing congestion in the electricity transmission grids due to increasing infeed from renewable energy sources, especially from wind turbine installation at the periphery in coastal areas. Here, regional differences in generation and demand lead...

Reaching Germany's PV expansion goal requires regulatory instruments that promote new investments in PV rooftop installations complementing other environmental measures and enhancing coordination among stakeholders and alongside the building lifecycle. In great regional detail, this paper...

Electromobility has achieved a significant breakthrough in recent years, and numerous studies have been carried out in this field. However, the focus has mainly been on technical aspects, and current economic analyses and derived policy implications are based on these technical aspects. With the...

We develop an analytical model to derive the competitive market equilibrium for electricity spot and reserve markets under stochastic demand and uncertain renewable electricity generation. We then derive the welfare-optimal provision of reserves. At first-best, cost of reserve capacity is...

Practitioners in the electricity industry aim to assess the value of power plants or other real options several months or even years ahead of operation. Such a valuation is notably required for hedging purposes. The revenue streams to be earned in the spot market are thereby already secured on...

There is a broad consensus that the energy transition planned in Europe, along with an increasing share of renewable energy sources, demands a sufficient number of flexibility providers. The established flexibility procurement mechanisms, notably the reserve markets, are expected to reflect the...

The analysis of future energy systems with increasing shares of renewable energy production poses various challenges to models used in the field of energy system analysis. Aggregation is one solution to reduce the computation time of large optimization problems, especially for optimization...

Hydro electricity generation is of great importance for the current and the future electricity system since it provides electricity without emitting CO2 and moreover hydro reservoirs offer high operational flexibility. With increasing shares of fluctuating renewable energies, their value is even...