Policy seminar

Policy Seminar: Impact of renewables on electricity markets

During a Policy Seminar on Thursday April 2nd, Paul Koutstaal and Ozge Ozdemir (ECN) will give a presentation "Impact of renewables on electricity markets".

April 2, 2015
CPB-office, Van Stolkweg 14, The Hague

Time: 13.00-14.00 hours
Location: CPB-office, Van Stolkweg 14, The Hague

Presentation: Paul Koutstaal and Ozge Ozdemir (ECN)

Discussant: Annemiek Verrips (CPB)

Language: English

Registration:  Please register by sending an email to polinars@cpb.nl.

Abstract subject:
Increasing shares of wind and solar-PV in electricity generation have a considerable impact on the electricity market. In addition to the costs of wind turbines and solar-pv panels themselves, the variable and uncertain generation from these renewables are a source of additional costs in the electricity system. These costs are, for example, the costs of back-up needed for periods with low wind and solar production or the costs of balancing the electricity system. Furthermore, electricity from wind and solar with zero marginal costs depresses electricity prices on the wholesale market, an effect that is even more pronounced for the price which wind and solar earn on the market. While these cost increases and price effects are common to all electricity markets, the magnitude of the effects will to a large extent depend on the local characteristics of an electricity market, such as the incumbent generation mix and the interconnections with other markets. Therefore, to quantify these effects for the Netherlands, we have used a detailed European electricity market model. Our results for the Netherlands are in line with the existing literature and underline the importance of interconnections in reducing the integration costs of renewables in the electricity system.

Policy seminars
CPB organises policy seminars for policy makers, researchers and other stakeholders. These policy seminars focus on policy implications. Policy seminars are held on Thursday from 1.00 pm. to 2.00 pm. Read here how to subscribe (or unsubscribe) to our alert service (CPB Calendar).

CPB also organises seminars for researchers. During these seminars, always held on Tuesday from 1.00 pm. to 2.00 pm., academic papers are presented and discussed. Read here how to subscribe (or unsubscribe) to our alert service (CPB Calendar).