Exposing wind and solar power to the market price signal allows for cost-efficient investment decisions, as it incentivizes investors to account for the marginal value (MV el) of renewable energy technologies. As shown by Lamont (2008), the MV el of wind and solar power units depends on their...

Renewable energy (RES-E) support schemes have to meet two requirements in order to lead to a cost-efficient renewable energy mix. First, RES-E support schemes need to expose RES-E producers to the price signal of the wholesale market, which incentivizes investors to account not only for the...

Since PV grid paraity has already been achieved in Germany, households are given an indirect financial incentive to invest in PV and battery storage capacities. This paper analyzes the economic consequences of the household's optimization behavior induced by the indirect financial incentive for...

In this article we analyze the value of thermal energy storages in concentrating solar power plants depending on the electricity generation mix. To determine the value from a system integrated view we model the whole electricty generation market of the Iberian Peninsula. Key findings for thermal...

In this paper, the implications of alternative decarbonization pathways for Europe's power sector up until the year 2050 are analyzed. In specific, an electricity system optimization model is used to investigate the minimal costs of decarbonization under a stand-alone CO2 reduction target and to...

As an attempt to fi ght global warming, many countries try to reduce CO2 emissions in the power sector by significantly increasing the proportion of renewable energies (RES-E). A highly intermeshed electricity transmission grid allows the achievement of this target cost-efficiently by enabling...

Electricity market models, implemented as dynamic programming problems, have been applied widely to identify possible pathways towards a cost-optimal and low carbon electricity system. However, the joint optimization of generation and transmission remains challenging, mainly due to the fact that...