In this paper, we discuss the implementation of Capacity Remuneration Mechanisms (CRM) in the European Union (EU). We first illustrate that the costs of CRMs in the EU are significantly lower than in the US. Next, we discuss how the Clean Energy Package (CEP) intends to limit the future role of CRMs. Two steps are introduced to check if CRMs are really needed: a European resource adequacy assessment and a national implementation plan to improve current electricity market design. In case residual adequacy concerns persist, the CEP also includes provisions to guide the design of a CRM. Last, we discuss the role of the consumer in securing resource adequacy in the future.
As stated by the OECD, “water security in many regions will continue to deteriorate due to increasing water demand, water stress and water pollution.” Indeed water supply and sanitation (WSS) [...]
Electricity is used for railway traction. With the 4th Railway Package, traction current became excluded from the Minimum Access Package to be provided by the Infrastructure Managers (IMs) and was [...]
Transforming Europe into a climate neutral economy by 2050 in line with the European Green Deal places a particular responsibility on the transport sector, which accounts for a quarter of [...]
The European Union (EU) is likely to face a gas supply-demand gap of 27 bcm in 2023-2024. This gap could be reduced by enhancing its partnership with oil and gas [...]
New European rules are being developed to shape electricity market design in a way that improves TSO- DSO coordination, makes efficient use of distribution-connected resources, and empowers the smallest network [...]
Having identified the basic characteristics of the current energy crisis and its particular shape in the European Union, three questions immediately arise. 1) If gas is at the ‘core’ of [...]
Join our community
To meet, discuss and learn in the channel that suits you best.