Electricity market design under increasing renewable energy penetration: Misalignments observed in the European Union

The participation of small-scale variable distributed renewable energy sources to the balancing services market

“…RES to ancillary and balancing markets is one relevant aspect of their integration in the electricity system ( [19]), but there is a need for modifications in both design and rules of current markets to allow renewables' participation ( [20]). Despite the great attention to the topic and the political commitment in pursuing new markets to integrate renewables, still a coordinated and effective regulation lacks ( [21]). In this sense, main issues are related to how to regulate the sector in presence of high innovation and high uncertainty ( [22]).…”

Enhancing grid flexibility under scenarios of a renewable-dominant power system in China

“…4,5 Overcoming the operational challenges of integrating higher penetrations of renewable energy into the grid requires changes in operations, markets, and investment planning. Existing research on addressing renewable variability and promoting renewable integration for U.S. European and Indian power systems has focused on several main roadmaps, [6][7][8] including transmission, 9 larger balancing area, [10][11][12][13][14][15][16][17] storage, [18][19] demand response, [20][21][22] power system operation, electricity market design, 23,24 grid exibility, 8,25 and integrating supply-load transmissions. 26 While several studies assess the overall potential of power system decarbonization in China, very few examine the key operational-level details and challenges.…”

The Value of Storage in Electricity Generation: A Qualitative and Quantitative Review

“…However, for storage, where the capital costs are high but operational costs are low, this classical market compensation scheme is problematic. The latter is also true for renewables, and significant research is currently being conducted to design markets that possess a significant share of renewables (Gerres et al 2019;Peng and Poudineh 2019).…”