We discuss the implications of two price zones, i.e. one northern and southern bidding area, on the German electricity market. In the northern zone, continuous capacity additions with low variable costs cause large regional supply surpluses in the market dispatch while conventional capacity...

Electricity is the prime mover of a modern society. Per capita consumption of electricity is an indicator of a country's growth. This indicator depends on availability, quality and reliability of power and most particularly its overall cost. The cost of electricity governs its usage. Thus the...