This paper determines the convenience yield implied in the European natural gas markets and investigates driving factors and according dynamics. For this, we approximate the convenience yield via an option-based approach, in which the convenience yield is determined as the difference between two...

Motivated by the initiation of the third EU ETS trading period in January 2013, this paper examines the effects of EUA price variations on the electricity mix. We focus on the German electricity market, since it is one of the most important EU electricity markets. In this context, we formulate a...