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Research Report / Energy

Moving the electricity transmission system towards a decarbonised and integrated Europe: missing pillars and roadblocks

Author(s): GLACHANT Jean-Michel, ROSSETTO Nicolò, VASCONCELOS Jorge

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ABSTRACT

The establishment of a seamless electricity transmission system and the completion of a single market for electricity in Europe are currently hindered by the lack of adequate answers to several, often basic, questions concerning the coordination of actions and decisions, the sharing of costs and benefits, and solidarity beyond costs and benefits. This research report, prepared by the Florence School of Regulation, looks at the development of the past decades and identifies the existence of three core ‘missing pillars’ which explain, at least partially, why the European electricity system is affected by numerous blocking factors. The report presents two case studies that show the importance and utility of looking at what is blocking the integration and the decarbonisation of the European electricity sector through the lens of coordination, sharing and solidarity. By doing that, the report offers a set of non-technical recommendations that points out key roles, tasks and responsibilities at national and European level for removing the two ‘roadblocks’ represented, on the one hand, by redispatching costs and, on the other, by capacity adequacy and electricity crisis management.