In Germany and beyond, various capacity mechanisms are currently being discussed with a view to improving the security of electricity supply. One of these mechanisms is a strategic reserve that retains generation capacity for use in times of critical supply shortage. We argue that strategic...

Derzeit wird diskutiert, ob der deutsche Strommarkt genügend Anreize für Investitionen in Kraftwerke und deren Verbleiben am Netz bietet, um die Versorgungssicherheit zu gewährleisten. Vorschläge, die Energieversorgung weiter abzusichern, beinhalten zum Teil umfassende Zahlungen an die...

The 2014 reform of the German Renewable Energy Act introduces a mandatory shift from a fixed feed-in tariff to a floating premium system. This is envisaged to create additional incentives for project developers, but also impacts revenues and costs for new investments in wind generation. Thus...

Carbon pricing decisions by governments are prone to time-inconsistency, which causes the private sector to underinvest in emission-reducing technologies. We show that incentives for decarbonization can be improved if complementing carbon pricing with carbon contracts for differences, where the...

For Europe to reach climate neutrality by mid-century, it needs to move toward a circular economy. Waste avoidance, reuse, and recycling save primary resources and avoid emissions in the production of basic materials like steel, cement, and plastics. Without exploring circular economy...

To reach the climate targets, the course towards a climate-neutral society must be set now. However, the current monitoring instruments in the Climate Change Act do not provide sufficient information to policymakers and society on the effectiveness of policy instruments and programs, as they...

Mit Blick auf die Versorgungssicherheit im Stromsektor werden derzeit nicht nur in Deutschland verschiedene Kapazitätsmechanismen diskutiert. Dazu zählt eine Strategische Reserve, also das Vorhalten einzelner Kraftwerke, die nur in Notsituationen mit einem knappen Stromangebot und hohen...