Demand response, market design and risk: A literature review

• Type: Another Publication in an International Scientific Journal
• Date: 2020-10

Authors

Isabel Soares (Author) FEP; Joana Sousa (Author) Other

Journal

Title: Utilities Policy

Vol. 66 No. Article number 101083

ISSN: 0957-1787

Publisher: Elsevier

Indexing

ISI Web of Knowledge - 11 Citations

Scopus - 11 Citations

Other information

Authenticus ID: P-00S-ER5

DOI: 10.1016/j.jup.2020.101083

Abstract (EN): Different market designs may create distortions on spot pricing equilibrium, thus providing different signals for market agents and investment decisions on new generation assets. Also, demand flexibility market value may differ according to market characteristics. This paper aims to study the demand response (DR) - market design risk nexus. According to our findings, despite the design differences among MIBEL, EEX and Nord Pool, some variables are common to all while those associated with risk premia might differ. This is due to the mismatch between the specific market structure characteristics and premises, particularly in what concerns the supply generation portfolio composition in the day-ahead markets.

Language: English

Type (Professor's evaluation): Scientific

No. of pages: 11