?Architecture de marché et gestion de la demande électrique?
Vincent Rious and
Fabien Roques ()
Revue d'économie industrielle, 2014, vol. n° 148, issue 4, 161-192
?Demand response is a cornerstone problem in electricity markets considering climate change constraint. Most liberalized electricity markets have a poor track record at developing demand response. In Europe, different models are considered for demand response, from a development under a regulated regime to a development under competitive perspectives. In this paper, focusing on demand response for mid-size and small consumers, we investigate which types of market signals should be sent to demand response aggregators to see demand response emerge as a competitive activity. Using data from the French power system over eight years, we compare the possible market design options to allow demand response to develop. Our simulations demonstrate that with the current market rules, demand response is not a profitable activity in the French electricity industry. Introducing a capacity remuneration could bring additional revenues to demand response aggregators if the power system has no overcapacity.?
Keywords: Demand Response; Market Design; Capacity Market (search for similar items in EconPapers)
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Persistent link: https://EconPapers.repec.org/RePEc:cai:reidbu:rei_148_0161
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