Tools for the Design and Modelling of New Markets and Negotiation Mechanisms for a ~100% Renewable European Power System
This project is funded by the EU framework programme for research and innovation Horizon 2020 and its main objective is the development and testing of an innovative electricity market design which will enable a cost-effective and secure development of a nearly 100% renewable power system and realise the full extent of the system-wide benefits of flexibility resources.
Considering an electricity system that is characterized by a high share of variable renewable energy sources, its increased integration with other energy sectors and the active participation of flexible loads, the market design for being long-term sustainable, needs to provide (i) efficient operational and investment incentives, (ii) security of supply by ensuring sufficient controllable generation/storage capacity, and (iii) limitation/mitigation of the price risk so that the key actors are not exposed to uncertainty and unmanageable swings of cash flows.
The proposed market design will also be tested and evaluated in a sophisticated simulation environment in which real-world characteristics such as actors’ limited foresight into the future and risk aversion are included. The performance of the market design with respect to quantitative indicators, such as security of supply, average costs to consumers, and investment cost recovery, will be compared to a benchmark calculation of an optimal power system, which will also be developed in the project. Throughout the model development and the market design process, representatives of all key stakeholder groups (consumers, generators, system operators and policy makers) will be involved in order to ensure the social acceptability of the outcomes.
Imperial’s CAP group is among the seven renowned, specialized research groups from six European countries who are key players in their fields and participate in the consortium, along with one large electric utility, one energy optimisation company, and a renewable generation forecaster. The team has profound technical expertise to cover the modelling challenges and the knowledge on how to design electricity markets with very high renewable energy integration.
More details available at: https://traderes.eu/
Other project details
- Funding body: European Commission, H2020-EU.3.3.4 (Grant agreement ID: 864276)
- Duration: 1 February 2020 – 31 January 2024
- Total budget: €3.989m (EC contribution: €3.989m)
- Number of partners: 10
CAP people involved in the project
- Prof. Goran Strbac (email@example.com)
- Dr. Dimitrios Papadaskalopoulos (firstname.lastname@example.org)
- Dr. Nikolaos Chrysanthopoulos (email@example.com)
External partners involved in the project