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Records with Subject: Energy Policy
496. LAPSE:2023.22332
Model of Optimization of Wind Energy Production in the Light of Legal Changes in Poland
March 24, 2023 (v1)
Subject: Energy Policy
Keywords: energy policy, Polish Energy Policy Project until 2040, Renewable and Sustainable Energy, wind energy
The article discusses the planning of wind energy development in the West Pomeranian Region after the introduction of the Act "On investments in wind farms" as of 20 May 2016. The purpose of the article is to provide the forecast of the region’s wind energy development in 2019−2030 by taking into account current legal regulations in Poland. The article proposes an original, optimizing multi-criteria wind energy development model for the studied region, exploring various types of technologies that may appear in the system, taking into account recent legal and political changes in the field of renewable energy regulation in Poland. The results of the optimization model show that the currently passed Act "On investments in wind farms" in Poland actually stopped the development of wind energy in the region. On the other hand, in accordance with the objectives of the adopted draft of the Polish energy policy until 2040, it is expected that the share of renewable energy in electricity produc... [more]
497. LAPSE:2023.22315
Strategy Context of Decision Making for Improved Energy Efficiency in Industrial Energy Systems
March 24, 2023 (v1)
Subject: Energy Policy
Keywords: decision making, Energy Efficiency, energy management, energy policy, indirect benefits of energy efficiency, industry, innovative development
Energy efficiency improvement in industrial companies is an essential prerequisite for the enhancement of their competitive positions in the national and global markets. Yet, the approaches currently employed in respect of the energy management do not fully utilize the innovative potential of energy technologies to achieve strategic goals. One way to further develop energy management is theoretical justification of the use of new approaches based on the suggested concept of the energy saving and energy efficiency processes’ positioning in the system of a company’s management priorities. In this article, we consider the applied use of the developed conceptual approach from the perspective of the energy saving and energy efficiency program development at the company. The main purpose of this paper is to justify the relations between energy management and strategic decision making in industrial companies. The results of the research conducted, firstly, make a certain contribution into the... [more]
498. LAPSE:2023.22190
A Conceptual Framework to Classify and Manage Risk, Uncertainty and Ambiguity: An Application to Energy Policy
March 23, 2023 (v1)
Subject: Energy Policy
Keywords: acuity scale, ambiguity, electricity, energy policy, risk, uncertainty
Global issues are such that we should assess and manage a variety of risks and uncertainties. Due to increasing world complexity, the development of an adequate and innovative conceptual framework, anchored in the literature, is required. This article contributes to this effort with an approach particularly relevant to decision-makers dealing with threats of different natures, limited heterogeneous information, and experts’ assessments tainted by doubts. Our approach is based on two pillars: 1) An “acuity scale”, based on the probability of the occurrence of an event, its impact and the experts’ degree of doubt; 2) A taxonomy focused on the concepts of risk, uncertainty, gamble and butterfly ambiguity. Accordingly, we present in a second step the major management implications of such approach. Global policy trends (e.g., sustainability transition) put energy sector decision-makers at the forefront of risk and uncertainty management. Consequently, we carry out a case study focused on Sw... [more]
499. LAPSE:2023.22158
National Energy Transition Framework toward SDG7 with Legal Reforms and Policy Bundles: The Case of Taiwan and Its Comparison with Japan
March 23, 2023 (v1)
Subject: Energy Policy
Keywords: electricity sector, energy justice, energy transition, Renewable and Sustainable Energy, sustainable development goals
The main problem explored in this study is how Taiwan and other countries meet the challenges of the United Nations Sustainable Development Goals regarding energy transition by using legal instruments or policy bundles. This study adopts textual analysis and legal policy analysis as its main form of research methodology, and the theory of energy justice, as well as principles of energy management, to correlate with the Sustainable Development Goals. Furthermore, this study aims to construct an analysis structure for national energy transition and to analyze the current situation within Taiwan’s electricity sector reforms, while providing evidence of the national experience of electrical industry reforms as an international reference. This study also compares the differences between the seventh Sustainable Development Goal relationship and national energy transitions in Taiwan and Japan, based on the similar initiative of the revised Electricity Act with the policy bundle. This study sp... [more]
500. LAPSE:2023.22125
‘Sticky’ Policies—Three Country Cases on Long-Term Commitment and Rooting of RE Policy Goals
March 23, 2023 (v1)
Subject: Energy Policy
Keywords: adaptiveness, bioenergy, Denmark, Finland, Germany, policy mix, Renewable and Sustainable Energy, resilience, robustness, solar power, wind energy
Denmark, Germany, and Finland are countries that have emerged as technology leaders in key renewable energy fields—wind energy, solar power, and bioenergy. In this article, we dig into the policy trajectories of these countries and concentrate particularly on a phenomenon that is common for them all—the long-term commitment to promoting particular renewable energy (RE) technologies. Analyzing commitment, its causes and its consequences, can be considered important, as earlier findings show that long-term, consistent policy signals are a key for policy success. In this article, we point out that this ‘sticking’ to a RE technology has emerged and manifested in multiple ways in the case countries. Examples include relying on existing cultural capacities when navigating energy policy direction, strategically promoting scaling of technology markets to root new energy practices in society and developing energy policies as an extension of existing socio-technical structures. In order to under... [more]
501. LAPSE:2023.22089
European Cities in the Energy Transition: A Preliminary Analysis of 27 Cities
March 23, 2023 (v1)
Subject: Energy Policy
Keywords: energy democracy, energy mapping, energy transition, policymaking, renewable energies, sustainable cities, transition roadmaps
Nowadays, there is a wide scientific consensus about the unsustainability of the current energy system and at the same time, social awareness about climate change and the IPCC’s goals is increasing in Europe. Amongst the different pathways towards them, one alternative is the radical transition to a democratic low-carbon energy system where the local scale has a key leading role. Under this scope, this research is framed within the mPOWER project, financed by the European Commission’s H2020 programme, which promotes collaboration among different European municipalities in order to boost the transition to a renewable-based participatory energy system. This paper presents the starting point of the mPOWER project, where the main energy features of 27 selected European municipalities are collected and analysed for the year 2016. An open public tender and selection process was carried out among European cities in order to choose the candidates to participate in mPOWER project. A view of thi... [more]
502. LAPSE:2023.22029
The Nexus Between Electricity Consumption, Economic Growth, and CO2 Emission: An Asymmetric Analysis Using Nonlinear ARDL and Nonparametric Causality Approach
March 23, 2023 (v1)
Subject: Energy Policy
Keywords: asymmetric causality, asymmetric cointegration, carbon emission, economic growth, electricity consumption
This article examines the asymmetric relationship between electric consumption, economic growth, and carbon dioxide emission in 15 countries over the period 1971−2014. We employed a nonlinear auto-regressive distribution Lag (NARDL) model approach to investigate the asymmetric cointegration between variables. Additionally, we applied the asymmetric causality approach to determine the causal relationship between variables. Results confirm nonlinear cointegration between variables in Cameroon, Congo Republic, Zambia, Canada, and the UK. The Wald test results confirm a long-run asymmetric link between electricity consumption, economic growth, and carbon emission in Canada and Cameroon, while a short-run asymmetric effect in the Congo Republic and the UK. Findings from the granger causality test are volatile across variables. The result provides strong support for the symmetric relationship between electric consumption, economic growth, and carbon emission in the short and long run. This s... [more]
503. LAPSE:2023.22006
Energy Utilization of Spent Coffee Grounds in the Form of Pellets
March 23, 2023 (v1)
Subject: Energy Policy
Keywords: calorific value, combustion, pellets, sawdust, spent coffee grounds
Nowadays it is important to limit the use and combustion of fossil fuels such as oil and coal. There is a need to create environmentally acceptable projects that can reduce or even stop greenhouse gas emissions. In this article, we dealt with the objectives of energy policy with regard to environmental protection, waste utilization, and conservation of natural resources. The main objective of the research was to assess the possibility of the use of spent coffee grounds (SCG) as fuel. As a part of the solution, the processing of coffee waste in the form of pellets, analysis of calorific value and combustion in the boiler were proposed. The experiments were done with four samples of pellets. These samples were made from a mixture of wood sawdust and spent coffee grounds with ratio 30:70 (wood sawdust: spent coffee grounds), 40:60, 50:50 and 100% of spent coffee grounds. The calorific values were compared with wood sawdust pellets (17.15 MJ.kg−1) and the best lower calorific value of 21.0... [more]
504. LAPSE:2023.21874
Analysis of the Influencing Factors of Regional Carbon Emissions in the Chinese Transportation Industry
March 23, 2023 (v1)
Subject: Energy Policy
Keywords: carbon emissions, influencing factor, LMDI, regional, transportation industry
Global warming caused by excessive emissions of CO2 and other greenhouse gases is one of the greatest challenges for mankind in the 21st century. China is the world’s largest carbon emitter and its transportation industry is one of the fastest growing sectors for carbon emissions. However, China is a vast country with different levels of carbon emissions in the transportation industry. Therefore, it is helpful for the Chinese government to formulate a reasonable policy of regional carbon emissions control by studying the factors influencing the carbon emissions of the Chinese transportation industry at the regional level. Based on data from 1997 to 2017, this paper adopts the logarithmic mean divisia index (LMDI) decomposition method to analyze the influencing degree of several major factors on the carbon emissions of transportation industry in different regions, puts forward some suggestions according to local conditions, and provides references for the carbon reduction of Chinese tra... [more]
505. LAPSE:2023.21862
The Energy Transition: Democracy, Justice and Good Regulation of the Heat Market
March 23, 2023 (v1)
Subject: Energy Policy
Keywords: economic regulation, energy justice and energy democracy, energy transition, good governance, heat market, regulatory disconnect
This paper discusses whether the concepts of energy democracy, energy justice and the principles of good market regulation could play a role in developing a more consistent approach towards the regulation of the energy sector. It is concluded that the principles of good regulation can provide a useful framework within which advantages and disadvantages can be weighed of regulatory choices to be made when modernizing the regulation of the energy markets. A case study of the Dutch heat market is used as an example, showing that a lot remains to be gained in terms of flexible regulation and supervision and the facilitation of citizen participation. Both energy democracy and energy justice call for this. The lack of flexibility in the current regulatory framework could lead to ineffective and disproportionate regulation, hindering a sustainable, reliable and affordable development of the heat market. A larger need for flexibility is justified because of the differences between the types of... [more]
506. LAPSE:2023.21854
On the Role of Regulatory Policy on the Business Case for Energy Storage in Both EU and UK Energy Systems: Barriers and Enablers
March 23, 2023 (v1)
Subject: Energy Policy
Keywords: Energy Storage, market regulations, regulatory barriers, storage policy, SWOT analysis
This paper presents a SWOT analysis of the impact of recent EU regulatory changes on the business case for energy storage (ES) using the UK as a case study. ES technologies (such as batteries) are key enablers for increasing the share of renewable energy generation and hence decarbonising the electricity system. As such, recent regulatory changes seek to improve the business case for ES technologies on national networks. These changes include removing double network charging for ES, defining and classifying ES in relevant legislations, and clarifying ES ownership along with facilitating its grid access. However, most of the current regulations treat storage in a similar way to bulk generators without paying attention to the different sizes and types of ES. As a result, storage with higher capacity receives significantly higher payment in the capacity market and can be exempt from paying renewable energy promotion taxes. Despite the recent regulatory changes, ES is defined as a generati... [more]
507. LAPSE:2023.21805
Energy Poverty and Protection of Vulnerable Consumers. Overview of the EU Funding Programs FP7 and H2020 and Future Trends in Horizon Europe
March 23, 2023 (v1)
Subject: Energy Policy
Keywords: customer engagement, energy citizenship, Energy Efficiency, energy poverty, energy vulnerability, fuel poverty, vulnerable consumers, vulnerable households
Energy poverty—involving a combination of factors, such as low household incomes, high energy prices, and low levels of residential energy efficiency—is identified as a complex and increasing issue affecting people’s physical health, well-being, and social inclusion. Even though a shared identification of energy poverty is not yet agreed, this phenomenon has been recognized as an EU priority. Several EU legislative documents address the topic, trying to outline its boundaries and provide a framework for mitigative actions. At the same time, different research and demonstration projects have been funded to experiment and evaluate innovative approaches, strategies, and solutions and to promote good practices at national, regional, and local levels. This review paper presents some results of the “ZOOM” project (“Energy zoning for urban systems. Models and relations for the built environment”, funded by University of Bologna in the framework of Alma Idea 2017−ongoing), proposing a critical... [more]
508. LAPSE:2023.21757
A Group Decision Framework for Renewable Energy Source Selection under Interval-Valued Probabilistic linguistic Term Set
March 23, 2023 (v1)
Subject: Energy Policy
Keywords: group decision making, interval numbers, probabilistic linguistic term set, renewable energy policy selection, VIKOR
In recent years, the assessment of desirable renewable energy alternative has been an extremely important concern that could change the environment and economic growth. To tackle the circumstances, some authors have paid attention to selecting the desirable renewable energy option by employing the decision-making assessment and linguistic term sets. With a fast-growing interest in multi-criteria group decision-making (MCGDM) problems, researchers are tirelessly working towards new techniques for better decision-making. Decision makers (DMs) generally rate alternatives linguistically with different probabilities occurring for each term. Previous studies on linguistic decision-making have either ignored this idea or have used an only a single value for representing the weight of the linguistic term. Since expression of the complete probability distribution is hard and implicit hesitation exists, representation of weights of the linguistic terms using a single value becomes imprecise and... [more]
509. LAPSE:2023.21729
The Effects of Capital and Energy Subsidies on the Optimal Design of Microgrid Systems
March 23, 2023 (v1)
Subject: Energy Policy
Keywords: financial incentives, microgrids, Optimization, policy instruments, subsidies
Microgrids constitute an attractive solution for the electrification of areas where grid extension is not technically feasible or prohibitively expensive. In recent years, national governments have implemented various support policies to encourage the deployment of renewable energy systems (RES) and microgrid hybrid-powered systems. A fundamental aspect during the design and disposition of these types of units is the determination of the optimal configuration and sizing of each power generation component. Furthermore, the optimal design of microgrids is strongly dependent on technological parameters, local meteorological conditions, among other factors. In this context, this paper investigates the effects of different policy measures on the optimal configuration of microgrids functioning in islanded mode. A computable model is employed to carry out a set of sensitivity analyses and assess the impact of capital and fuel subsidies on the levelized cost of electricity of various systems.... [more]
510. LAPSE:2023.21701
Snapshot of Photovoltaics—February 2020
March 22, 2023 (v1)
Subject: Energy Policy
Keywords: battery storage, energy challenge, market development, photovoltaic, policy options, renewable energies, technological development
Since the demonstration of the first modern silicon solar cells at Bell Labs in 1954, it took 58 years until the cumulative installed photovoltaic electricity generation capacity had reached 100 GW by the end of 2012. Then, it took another five years to reach an annual installation capacity of over 100 GW in 2017 and close to 120 GW in 2019. As a consequence, the total world-wide installed photovoltaic electricity generation capacity exceeded 635 GW at the end of 2019. Although it witnessed a 20% and 25% decrease in annual installations in 2018 and 2019, respectively, China was again the largest market with 30 GW of annual installations. The number of countries in the club with more than 1 GW annually has increased to 18 countries in 2019. The use of local battery storage systems in solar farms as well as decentralized photovoltaic electricity generation systems combined has again increased, due to the falling storage system costs.
511. LAPSE:2023.21684
Analyzing Similarities between the European Union Countries in Terms of the Structure and Volume of Energy Production from Renewable Energy Sources
March 22, 2023 (v1)
Subject: Energy Policy
Keywords: energy policy, energy production structure, energy similarity, European Green Deal, European Union countries, renewable energy sources
The European Union (EU) countries, as one of the most economically developed regions in the world, are taking increasingly decisive actions to reduce the emission of harmful substances into the natural environment. This can be exemplified by a new climate strategy referred to as “The European Green Deal”. Its basic assumption is that the EU countries will have achieved climate neutrality by 2050. To do so, it is necessary to make an energy transition involving the widest possible use of renewable energy sources (RES) for energy production. However, activities in this area should be preceded by analyses due to the large diversity of the EU countries in terms of economic development, the number of inhabitants and their wealth as well as geographical location and area. The results of such analyses should support the implementation of adopted strategies. In order to assess the current state of the energy sector in the EU and indicate future directions of activities, research was carried ou... [more]
512. LAPSE:2023.21649
The Impact of Policy and Technology Parameters on the Economics of Microgrids for Rural Electrification: A Case Study of Remote Communities in Bolivia
March 22, 2023 (v1)
Subject: Energy Policy
Keywords: energy policy, microgrid, remote communities, Renewable and Sustainable Energy, rural electrification
Throughout the developing world, most remote and isolated communities are still without reliable electricity in the twenty-first century, and this is primarily due to the high cost of grid extensions. In communities that do have electricity, they usually rely on diesel generators, though these have high operating and maintenance costs, while also polluting the environment. A more sustainable approach is to deploy microgrids, however, microgrids have a high upfront cost, which is a major obstacle, especially in rural areas of developing countries. This study aims to investigate the parameters that can be influenced to make microgrids more economical for rural electrification. Through sensitivity analyses, five key policy and technology parameters were identified. They include real discount rates, diesel prices, grants, battery chemistry, and operating strategies. The system was then redesigned using scenarios formulated by varying these parameters. Results show that the parameters affec... [more]
513. LAPSE:2023.21575
Temporal Aspects in Emission Accounting—Case Study of Agriculture Sector
March 22, 2023 (v1)
Subject: Energy Policy
Keywords: Bern Carbon Cycle model, climate change, climate impacts of agriculture system, climate modelling, climate policy, emission accounting, global temperature change potential, global warming potential, greenhouse gas emissions, impulse response function
Complex relations link climate change and agriculture. The vast majority of the studies that are looking into the quantification of the climate impacts use the Global Warming Potential (GWP) for a 100-year time horizon (GWP100) as the default metrics. The GWP, including the Bern Carbon Cycle Model (BCCM), was proposed as an alternative method to take into consideration the amount and time of emission, and the fraction of emissions that remained in the atmosphere from previous emission periods. Thus, this study aims to compare two methods for GHG emission accounting from the agriculture sector: the constant GWP100 and the time dynamic GWP100 horizon obtained by using the BCCM to find whether the obtained results will lead to similar or contradicting conclusions. Also, the effect of global temperature potential (GTP) of the studied system is summarized. The results show that the application of the BCCM would facilitate finding more efficient mitigation options for various pollutants and... [more]
514. LAPSE:2023.21521
Belgian Energy Transition: What Are the Options?
March 22, 2023 (v1)
Subject: Energy Policy
Keywords: Belgium, energy system modelling, energy transition, EnergyScope, multi-sectors
Different scenarios at different scales must be studied to help define long term policies to decarbonate our societies. In this work, we analyse the Belgian energy system in 2035 for different carbon emission targets, and accounting for electricity, heat, and mobility. To achieve this objective, we applied the EnergyScope Typical Days open source model, which optimises both the investment and the operation strategy of a complete energy system for a target year. The model includes 96 technologies and 24 resources that have to supply, hourly, the heat, electricity, mobility, and non-energy demands. In line with other research, we identify and quantify, with a merit order, different technological steps of the energy transition. The lack of endogenous resources in Belgium is highlighted and estimated at 275.6 TWh/y. It becomes obvious that additional potentials shall be obtained by importing renewable fuels and/or electricity, deploying geothermal energy, etc. Aside from a reduction of the... [more]
515. LAPSE:2023.21500
Public Perceptions of Energy Scarcity and Support for New Energy Technologies: A Western U.S. Case Study
March 22, 2023 (v1)
Subject: Energy Policy
Keywords: energy security, energy technology, public opinion
This study examines public concern for energy security and support for public investment in new energy technologies. Using household survey data from the western U.S. states of California, Idaho, Oregon, and Washington, socio-demographic characteristics, environmental values, and policy relevant knowledge are analyzed as drivers of energy security and technology investment orientations. Findings suggest that a majority of respondents in each state believe that not enough money is being spent on energy research, that the country has insufficient energy resources, and that new technologies can support future energy security. Multivariate analyses indicate that some socio-demographic variables (e.g., gender and education), ideology, and environmental value orientations also have an impact on energy security orientations and support for technology investment.
516. LAPSE:2023.21389
A Novel Peer-To-Peer Energy Sharing Business Model for the Portuguese Energy Market
March 22, 2023 (v1)
Subject: Energy Policy
Keywords: energy policy, energy trading, innovation policy, institutional barriers, peer-to-peer energy sharing
The co-evolution of techno-economic, societal, environmental and political-institutional systems towards sustainable energy transitions is largely influencing the disruptive reconfiguration of the energy sector across the globe. At the heart of this disruption is the peer-to-peer energy sharing concept. Nonetheless, peer-to-peer energy sharing business models are yet very little put into practice due to the rigid energy market structures and lagging regulatory frameworks across the globe. In view of this, this paper presents a novel peer-to-peer energy sharing business model developed specifically for the context of the Portuguese energy market, which was successfully trialed in three pilot projects in Portugal under real market conditions. All things considered, the novelty of this paper lies on an innovative approach for the collaborative use of the surplus electricity generation from photovoltaic systems between end-users under the same low voltage/medium voltage transformer substat... [more]
517. LAPSE:2023.21306
A State-of-the-Art Review on the Drive of Renewables in Gujarat, State of India: Present Situation, Barriers and Future Initiatives
March 22, 2023 (v1)
Subject: Energy Policy
Keywords: energy policy, Gujarat energy initiatives, India’s most solar-powered state, lessons learned from renewables, RE barriers in India, RE current scenarios, RE policy, RE prospects in India, Renewable Energy (RE), renewables recommendation in India
Given the recent increasing public focus on climate change issues, the share of electricity generation by renewable energy resources is increasing day by day. Increased renewables share will give us robust, sustainable, and climate-friendly energy systems for the future. Renewable energy penetration with the current power systems needs substantial research, planning and development which are now the primary focus throughout the world. In this study, a global renewable energy scenario is explained in detail in contrast with India, considering a case study elucidating the comprehensive review of the Gujarat state in India. The primary focus is on Gujarat state’s actions plans to pertain to harvest renewable energy and maximizing its share in the energy mix. This study examines the actions and the policies adopted by the Gujarat government to overcome the potential barriers in order to support non-conventional as well as renewable energy development. It also investigates the numerous tech... [more]
518. LAPSE:2023.21211
Effectiveness of a Power Factor Correction Policy in Improving the Energy Efficiency of Large-Scale Electricity Users in Ghana
March 21, 2023 (v1)
Subject: Energy Policy
Keywords: Energy Efficiency, power factor, regression discontinuity design
Confronting an energy crisis, the government of Ghana enacted a power factor correction policy in 1995. The policy imposes a penalty on large-scale electricity users, namely, special load tariff (SLT) customers of the Electricity Company of Ghana (ECG), whose power factor is below 90%. This paper investigates the impact of this policy on these firms’ power factor improvement by using panel data from 183 SLT customers from 1994 to 1997 and from 2012. To avoid potential endogeneity, this paper adopts a regression discontinuity design (RDD) with the power factor of the firms in the previous year as a running variable, with its cutoff set at the penalty threshold. The result shows that these large-scale electricity users who face the penalty because their power factor falls just short of the threshold are more likely to improve their power factor in the subsequent year, implying that the power factor correction policy implemented by Ghana’s government is effective.
519. LAPSE:2023.21203
Forecasting India’s Electricity Demand Using a Range of Probabilistic Methods
March 21, 2023 (v1)
Subject: Energy Policy
Keywords: forecasting, India, linear and nonlinear model, power generation
With serious energy poverty, especially concerning power shortages, the economic development of India has been severely restricted. To some extent, power exploitation can effectively alleviate the shortage of energy in India. Thus, it is significant to balance the relationship between power supply and demand, and further stabilize the two in a reasonable scope. To achieve balance, a prediction of electricity generation in India is required. Thus, in this study, five methods, the metabolism grey model, autoregressive integrated moving average, metabolic grey model-auto regressive integrated moving average model, non-linear metabolic grey model and non-linear metabolic grey model-auto regressive integrated moving average model, are applied. We combine the characteristics of linear and nonlinear models, making a prediction and comparison of Indian power generation. In this way, we enrich methods for prediction research on electrical energy, which avoids large errors in trends of electrici... [more]
520. LAPSE:2023.21196
On the Stability of Energy-Only Markets with Government-Initiated Contracts-for-Differences
March 21, 2023 (v1)
Subject: Energy Policy
Keywords: energy policy, Renewable and Sustainable Energy, wholesale market design
Rising levels of variable renewable energy (VRE) in Australia’s National Electricity Market have been driven by a 20% renewable energy target by 2020. This certificated renewable portfolio standard has successfully driven new investment, allocated risk amongst buy- and sell-side market participants and met overall policy objectives. But a policy vacuum for achieving long-term CO2 emission targets post-2020 has led to sub-national and, potentially, national governments initiating contract-for-differences (CfDs) to drive further investment activity in new plant—with virtually no coordination between the jurisdictions. In a gross pool energy-only market setting, replacing on-market transactions between retailers and generators with off-market transactions between governments and generators may have unintended side-effects vis-à-vis market stability. In this article, an energy-only gross pool is modeled with rising levels of off-market government-initiated CfDs, with a specific focus on sp... [more]
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