Electricity | Article
Power transmission network investment as an anticipation problem
03 April 2012
BY: RIOUS Vincent, Yannick Perez, Jean-Michel Glachant
Review of Network Economics, 2011, Vol. 10, No. 4, Article 2, pp. 1-21
Power generation and transmission are complementary activities that must be coordinated to ensure an optimal use and development of the transmission network. This coordination is today more difficult in a liberalized system, because of unbundling and the freedom for investors to choose their generation technologies (Joskow, 2006). Shorter investment time between generation and network create uncertainty for the network planning and congestions. In the economic literature, the efficiency of anticipating generation investment has been under-evaluated assuming that it is a cost free activity. Our model evaluates the effect of anticipation costs and defines in which cases the previous results by Sauma and Oren (2006, 2007) could still hold.
logo cadmus Read it on Cadmus

LATEST FSR PUBLICATIONS

Dataset
This dataset is composed of five indicators which provide information on the economic and environmental performance of sectors covered by the European Union’s Emissions Trading Scheme (EU ETS). The focus [...]
Other
On 21 February 2024 the European Commission Directorate General for Mobility and Transport in cooperation with the Florence School of Regulation hosted an academic conference to explore opportunities and challenges [...]
Other
Rail has a key role to play in making transport more efficient and sustainable in the EU and elsewhere. However, increasing passenger and cargo volumes require investment in infrastructure, and [...]
Technical Report
In this work, we present the major application and impact areas of Contracts-for-Difference (CfDs) in a European context, describe the most relevant design dimensions and discuss several design packages for [...]
Other
After years of record announcements, frantic policy development and the establishment of substantial public support mechanisms, the clean hydrogen sector is nearing an inflexion point. Many clean hydrogen projects have [...]
Other
The safeguarding of critical offshore energy infrastructure has assumed a heightened level of urgency in the wake of the Nord Stream pipeline explosions in September 2022 and the suspected sabotage [...]

Join our community

To meet, discuss and learn in the channel that suits you best.

scroll

top