Interplay between Environmental Regulation and Power Markets

Klaus Skytte

No 4, EUI-RSCAS Working Papers from European University Institute (EUI), Robert Schuman Centre of Advanced Studies (RSCAS)

Abstract: This paper discusses the difficulty of having three different objectives for the electricity supply sectors in the EU: renewable energy goals, emission reduction goals and minimising consumer prices. In the environment associated with the power markets, the regulatory mechanisms interact with each other and thus the attainment of the specified goals. Analytical discussions in the paper show that synergies do exist between the different regulation mechanisms and the targets. However, the challenge of having the different targets lies in the fact that the mechanisms at present cover different geographical areas and sectors, and that the targets are set differently within each Member State.This is an analytical paper, and its aim is to shed some light on the complexity of this regulation area and inspire more researchers to work in it.

Keywords: regulation; electricity; environmental policy (search for similar items in EconPapers)
Date: 2006-02-17
New Economics Papers: this item is included in nep-ene, nep-env and nep-reg
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (16)

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