Transmission pricing in interconnected systems - A case study of the Nordic countries
2014 (English)In: ENERGYCON 2014 - IEEE International Energy Conference, IEEE Computer Society, 2014, 1480-1486 p.Conference paper (Refereed)
With renewable energy production increasing around the world, there is a growing need for interconnection to balance intermittent supply. This cross-border trade of electricity requires navigating in multiple regulatory regimes and market designs, not least when it comes to transmission pricing. By considering the Nordic countries as a case study, this paper investigates the impact of different transmission pricing regimes on investment decisions for renewable energy production. A generation expansion problem for wind power is simulated with the current transmission prices in Sweden, Finland, Norway, and Denmark applied, along with a baseline case with no transmission pricing differences, to achieve a quantitative comparison. The importance of coherent transmission pricing is demonstrated through the large discrepancy in wind power investments resulting from the two cases studied.
Place, publisher, year, edition, pages
IEEE Computer Society, 2014. 1480-1486 p.
, IEEE International Energy Conference, ISSN 2164-4322
Commerce, Economics, Investments, Wind power, Coherent transmission, Cross-border trades, Current transmission, Generation expansion, Investment decisions, Quantitative comparison, Transmission pricing, Wind power investments
Other Electrical Engineering, Electronic Engineering, Information Engineering
IdentifiersURN: urn:nbn:se:kth:diva-143897DOI: 10.1109/ENERGYCON.2014.6850618ISI: 000343646400222ScopusID: 2-s2.0-84905053039ISBN: 978-147992449-3OAI: oai:DiVA.org:kth-143897DiVA: diva2:709453
2014 IEEE International Energy Conference, ENERGYCON 2014; Dubrovnik; Croatia; 13 May 2014 through 16 May 2014
QC 201412082014-04-012014-04-012014-12-08Bibliographically approved