We measure the pass-through of emissions costs to electricity prices and explore its determinants. We perform both reduced-form and structural estimations based on optimal bidding in this market. Using rich micro-level data, we estimate the channels affecting pass-through in a flexible manner,...

This report provides an overview of the main competition and regulatory issues in the Spanish gas and electricity markets, setting them in the broader context of the liberalisation of the European energy market. Public policy in energy markets needs to reconcile a number of different objectives,...