An analysis of design options for markets for cross-border balancing of electricity

Gerard L. Doorman and Reinier van der Veen

Utilities Policy, 2013, vol. 27, issue C, 39-48

Abstract: A set of design variables is used to define balancing market design. Performance criteria are defined and the market designs are evaluated using weights and scores for each performance criterion. It is concluded that solutions based on trading between Balancing Service Providers and Transmission System Operators will reduce socio-economic welfare. Major causes for this result are a reduction of the effectiveness of the balancing markets, a reduction in balancing planning accuracy, a reduction in price efficiency and a decrease in dynamic efficiency. The designs with a Common Merit Order List perform well in the evaluation, although reservation of cross-border capacity will be a challenge.

Keywords: Power market; Market design; Cross-border balancing; Reserve capacity (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (12)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0957178713000556
Full text for ScienceDirect subscribers only

Related works:
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:eee:juipol:v:27:y:2013:i:c:p:39-48

DOI: 10.1016/j.jup.2013.09.004

Access Statistics for this article

Utilities Policy is currently edited by Beecher, Janice

More articles in Utilities Policy from Elsevier
Bibliographic data for series maintained by Catherine Liu ().