EconPapers    
Economics at your fingertips  
 

Trade and price variation in an integrated European power market

Eirik Amundsen and Sigve Tjøtta ()

Applied Economics, 1997, vol. 29, issue 6, 745-757

Abstract: This paper examines the potential gains in terms of increased social surplus from integrating the power markets in Europe and assesses the scope for free seasonal and diurnal trade in a setting of Third Party Access (TPA). We construct an equilibrium model at the level of the wholesale markets, taking account of the existing power generating infrastructure (of varying flexibility) as well as the existing transmission network interconnecting the countries involved. The model indicates an overall gain from integrating the power markets. Electricity prices are substantially reduced for all regions involved, thus implying a significant redistribution of income from producers to consumers. Trade flourishes with regions establishing themselves as either pure exporters, pure importers or as intermediaries acting as transit countries.

Date: 1997
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8) Track citations by RSS feed

Downloads: (external link)
http://www.tandfonline.com/doi/abs/10.1080/000368497326679 (text/html)
Access to full text is restricted to subscribers.

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:taf:applec:v:29:y:1997:i:6:p:745-757

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/RAEC20

DOI: 10.1080/000368497326679

Access Statistics for this article

Applied Economics is currently edited by Anita Phillips

More articles in Applied Economics from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().

 
Page updated 2020-11-11
Handle: RePEc:taf:applec:v:29:y:1997:i:6:p:745-757