Upon discussion of price setting on electricity wholesale markets, many refer to the so-called merit order model. Conventional wisdom holds that during most hours of the year, coal- or natural gas-fired power plants set the price on European markets. In this context, this paper analyses price...

Accurate information about electricity generation and consumption is crucial to power system modelling. Several institutions publish such data: for European countries these include the association of system operators ENTSO-E, the EU body Eurostat, and the International Energy Agency; for Germany...

This paper estimates the welfare-optimal market share of wind and solar power, explicitly taking into account their output variability. We present a theoretical valuation framework that consistently accounts for output variability over time, forecast errors, and the location of generators in the...

In recent years, power flows in many European transmission and distribution networks have increased, making the management of network congestion a much-debated - and increasing politicized - topic. This paper is an introduction to and a review of congestion management in European electricity...

In zonal electricity markets, such as Europe's, system operators relieve congested power lines within bidding zones using out-of-market measures. One such measure is "redispatching" power plants, i.e. increasing the output of one power station while decreasing the output of another....

Veronika Grimm, Technische Universität Nürnberg, und Axel Ockenfels, Max-Planck-Institut zur Erforschung von Gemeinschaftsgütern, Bonn, kritisieren das aktuelle Strommarktdesign in Deutschland, das durch staatliche Eingriffe und fehlende Anpassungen an ein dezentrales Stromsystem ineffizient...