MARKET DRIVEN POWER PLANT INVESTMENT PERSPECTIVES IN EUROPE: CLIMATE POLICY AND TECHNOLOGY SCENARIOS UNTIL 2050 IN THE MODEL EMELIE-ESY

A. Schröder (), Thure Traber and Claudia Kemfert
Additional contact information
A. Schröder: DIW Berlin, Mohrenstr. 58, 10117 Berlin, Germany

Climate Change Economics (CCE), 2013, vol. 04, issue supp0, 1-22

Abstract: In the framework of the Energy Modeling Forum 28, we investigate how climate policy regimes affect market developments under different technology availabilities on the European power markets. We use the partial equilibrium model EMELIE-ESY with focus on electricity markets in order to determine how private investors optimize their generation capacity investment and operation over the horizon 2010 to 2050. For the year 2050, the model projects a minor increase of power consumption of 10% under current climate policy, and a balanced pathway for consumption under ambitious climate policy compared to 2010 levels. These results contrast with findings of POLES and PRIMES models that predict strong consumption increases of 44% to 48% by 2050 and claim competitiveness of nuclear power and CCS options. Under ambitious climate policy, our findings correspond with major increases of wholesale electricity market prices and comparatively less pronounced emission price increases, which trigger no investments into Carbon Capture and Storage (CCS) and a strongly diminishing share of nuclear energy.

Keywords: Electricity markets; investment; climate policy (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)

Downloads: (external link)
http://www.worldscientific.com/doi/abs/10.1142/S2010007813400071
Access to full text is restricted to subscribers

Related works:
Working Paper: Market Driven Power Plant Investment Perspectives in Europe: Climate Policy and Technology Scenarios until 2050 in the Model EMELIE-ESY (2013)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wsi:ccexxx:v:04:y:2013:i:supp0:n:s2010007813400071

Ordering information: This journal article can be ordered from

DOI: 10.1142/S2010007813400071

Access Statistics for this article

Climate Change Economics (CCE) is currently edited by Robert Mendelsohn

More articles in Climate Change Economics (CCE) from World Scientific Publishing Co. Pte. Ltd.
Bibliographic data for series maintained by Tai Tone Lim ().