In principle, portfolio optimization in electricity markets can make use of the standard mean-variance model going back … to Markowitz. Yet a key restriction in most electricity markets is the limited liquidity. Therefore the standard model …

This paper presents a theoretical and empirical analysis of liquidity in the German intraday market for electricity …-order and intraday adjustment needs as the drivers of liquidity in a perfectly competitive market. The second model relaxes the … assumption of perfect competition in the intraday market and assumes that the trading behavior of profit maximizing market …

Optimal capacity allocation for investments in electricity generation assets can be deterministically derived by … demonstrate an application of the proposed framework and results to the German electricity market which has not yet been treated … comparing technology specific long-term and short-term marginal costs. In an uncertain market environment, Mean …

This paper investigates the incentives market participants have in the German electricity balancing mechanism … customers. More effective market designs include changes in the balancing mechanism, the reserve capacity and the intraday spot …. Strategic over- and undersupply positions are the result of existing stochastic arbitrage opportunities between the spot market …

The German market has seen a plunge in wholesale electricity prices from 2007 until 2014, when base futures prices … dropped by more than 40 percent. In this paper we determine the fundamental components of electricity futures prices and … parsimonious model is able to replicate electricity futures prices and discover non-linear dependencies in futures price formation …

portfolio structure in the market. We show that risk-averse electricity market agents who receive a managerial profit share may …. In this article, we analyze the impact of market imperfections induced by risk-aversion on the long-term investment … shift the technology structure in the market significantly away from the welfare optimum. A numerical example provides …

In this article we discuss welfare-optimal capacity allocation of different electricity generation technologies …

market prices for emission allowances and electricity and the optimal power plant capacities under different allocation … (e. g. in Germany). This may consequently have distorting effects on market prices and investment decisions, which so far … higher CO2-prices whilst the effect of securing supply is only limited. Also electricity prices will only be slightly lower …

European electricity market participants are encouraged to balance intraday deviations from their day-ahead schedules … via trades in the intraday market. Together with the increasing produc-tion of variable renewable energy sources, the … intraday market is gaining importance. We inves-tigate the explanatory power of a fundamental modeling approach explicitly …

problem in the German electricity grid. But congestion management becomes a serious issue not only in the German but in the … whole European electricity system as German wind production does not only affect the German grid. In theory it is well … established that nodal pricing is the most efficient congestion management method. In literature the PJM well-established nodal …