Research

The School carries out applied research with the purpose of developing economically, legally, and socially-sound regulation and policy, using a multidisciplinary approach.

Compensation mechanisms to mitigate the market risk in offshore bidding zones

The latest European electricity market design reform introduced a compensation mechanism for wind producers located in offshore bidding zones. In this paper, we evaluate...

Authors
Policy Paper
Proposal for reviewing the Regulation on trans-European Networks for Energy (TEN-E) : assessment and recommendations
Discover more
Article
Loss and damage of climate change : recognition, obligation and legal consequences
Discover more

Executive Education

We offer different types of training: Online, Residential, Blended and Tailor-made courses in all levels of knowledge.

Policy Events

A wide range of events for open discussion and knowledge exchange. In Florence, Brussels, worldwide and online.

More

Discover more initiatives, broader research, and featured reports.

Lights on Women

The Lights on Women initiative promotes, trains and advocates for women in energy, climate and sustainability, boosting their visibility, representation and careers.

Discover more
Working Paper

Cost allocation in energy data spaces

The digitalisation of the energy sector is giving rise to energy data spaces that aim to support secure, interoperable, and sovereign data sharing among stakeholders. While the focus has mainly been on technical aspects of data spaces, the economic dimensions, particularly the allocation of costs, are underexplored. This paper addresses this gap by examining principles and methods for cost allocation. We review ongoing European initiatives for energy data sharing and discuss how it can generate value while ensuring efficiency and fairness in cost allocation. We identify proportional and weighted proportional allocation rules as robust and implementable solutions. In addition, we briefly discuss governance options for fair access, data sovereignty, and economic sustainability, emphasising the complementary roles of public coordination and market mechanisms. We propose policy recommendations for a sustainable and equitable energy data ecosystem design in Europe: (i) the establishment of a single coordinating entity for a European energy data space, (ii) adoption of proportional cost allocation as default principle, (iii) distinguish between regulated and non-regulated exchanges, and (iv) incentivise early participation and data contribution.

JAMASB, Tooraj; LLORCA, Manuel; ROSSETTO, Nicolò; SCHMITT, Laurent; SMILGINS, Aleksandrs, Cost allocation in energy data spaces - hdl.handle.net

Don’t miss any update on this topic

Sign up for free and access the latest publications and insights

Sign up

Latest publication in the same area

Ronnie  Belmans Alberto Pototschnig ECSM
Tim Schittekatte KB ZB
Back to top