Regulatory barriers for activating flexibility in the Nordic-Baltic electricity market

Claire Bergaentzlé; Klaus Skytte; Emilie Rosenlund Soysal; Luis Rafael Boscán Flores; Ole Jess Olsen

doi:10.1109/EEM.2017.7981948

Regulatory barriers for activating flexibility in the Nordic-Baltic electricity market

Claire Bergaentzlé, Klaus Skytte, Emilie Rosenlund Soysal, Luis Rafael Boscán Flores, Ole Jess Olsen

Research output: Chapter in Book/Report/Conference proceeding › Article in proceedings › Research › peer-review

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Abstract

The rapid growth of variable renewable energy (VRE) and the expected decrease of conventional generation capacities will generate more flexibility needs in power systems and require flexibility resources to be activated. Flexibility potentials do exist, whether they refer to installed generation, load adjustment or to a greater coupling to other energy sectors.
In this paper, we identify the framework conditions that influence the provision of VRE-friendly flexibility in the Nordic and Baltic electricity sector, i.e., the market and regulatory settings that act as drivers or barriers to flexibility.
We find that the most restrictive barriers against flexibility are emitted by public authorities as part of broader policy strategies. Overall, we find that current regulatory and market framework conditions do not hinder flexibility. However, despite that, flexibility remains limited due to a lack of coherent instruments intended to both the demand and supply-side to effectively act flexibly.

Original language	English
Title of host publication	2017 14th International Conference on the European Energy Market (EEM)
Number of pages	7
Publisher	IEEE
Publication date	2017
ISBN (Electronic)	978-1-5090-5499-2
DOIs	https://doi.org/10.1109/EEM.2017.7981948
Publication status	Published - 2017
Event	14th International Conference on the European Energy Market - Dresden, Germany Duration: 6 Jun 2017 → 9 Jun 2017 Conference number: 14 http://eem2017.com/

Conference

Conference	14th International Conference on the European Energy Market
Number	14
Country/Territory	Germany
City	Dresden
Period	06/06/2017 → 09/06/2017
Internet address	http://eem2017.com/

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This output contributes to the following UN Sustainable Development Goals (SDGs)

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10.1109/EEM.2017.7981948

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Flex4RES: Flexible Nordic Energy Systems
Skytte, K. (Project Manager), Kitzing, L. (Project Participant), Karlsson, K. B. (Project Participant), Pizarro Alonso, A. R. (Project Participant), Balyk, O. (Project Participant), Bolwig, S. (Project Participant), Pade, L.-L. (Project Participant), Soysal, E. R. (Project Participant), Katz, J. (Project Participant), Olsen, O. J. (Project Participant), Bergaentzlé, C. M. (Project Participant), Sneum, D. M. (Project Participant), Vasileiou, T. (PhD Student), Ravn, H. V. (Project Participant), Boscán Flores, L. R. (Project Participant), Koivisto, M. J. (Project Participant), Sørensen, P. E. S. (Project Participant) & Jensen, I. G. (Project Participant)
01/10/2015 → 30/09/2019
Project: Research

Cite this

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title = "Regulatory barriers for activating flexibility in the Nordic-Baltic electricity market",

abstract = "The rapid growth of variable renewable energy (VRE) and the expected decrease of conventional generation capacities will generate more flexibility needs in power systems and require flexibility resources to be activated. Flexibility potentials do exist, whether they refer to installed generation, load adjustment or to a greater coupling to other energy sectors. In this paper, we identify the framework conditions that influence the provision of VRE-friendly flexibility in the Nordic and Baltic electricity sector, i.e., the market and regulatory settings that act as drivers or barriers to flexibility. We find that the most restrictive barriers against flexibility are emitted by public authorities as part of broader policy strategies. Overall, we find that current regulatory and market framework conditions do not hinder flexibility. However, despite that, flexibility remains limited due to a lack of coherent instruments intended to both the demand and supply-side to effectively act flexibly.",

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year = "2017",

doi = "10.1109/EEM.2017.7981948",

language = "English",

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Bergaentzlé, C, Skytte, K, Soysal, ER, Boscán Flores, LR & Olsen, OJ 2017, Regulatory barriers for activating flexibility in the Nordic-Baltic electricity market. in 2017 14th International Conference on the European Energy Market (EEM). IEEE, 14th International Conference on the European Energy Market, Dresden, Saxony, Germany, 06/06/2017. https://doi.org/10.1109/EEM.2017.7981948

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AU - Olsen, Ole Jess

N1 - Conference code: 14

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N2 - The rapid growth of variable renewable energy (VRE) and the expected decrease of conventional generation capacities will generate more flexibility needs in power systems and require flexibility resources to be activated. Flexibility potentials do exist, whether they refer to installed generation, load adjustment or to a greater coupling to other energy sectors. In this paper, we identify the framework conditions that influence the provision of VRE-friendly flexibility in the Nordic and Baltic electricity sector, i.e., the market and regulatory settings that act as drivers or barriers to flexibility. We find that the most restrictive barriers against flexibility are emitted by public authorities as part of broader policy strategies. Overall, we find that current regulatory and market framework conditions do not hinder flexibility. However, despite that, flexibility remains limited due to a lack of coherent instruments intended to both the demand and supply-side to effectively act flexibly.

AB - The rapid growth of variable renewable energy (VRE) and the expected decrease of conventional generation capacities will generate more flexibility needs in power systems and require flexibility resources to be activated. Flexibility potentials do exist, whether they refer to installed generation, load adjustment or to a greater coupling to other energy sectors. In this paper, we identify the framework conditions that influence the provision of VRE-friendly flexibility in the Nordic and Baltic electricity sector, i.e., the market and regulatory settings that act as drivers or barriers to flexibility. We find that the most restrictive barriers against flexibility are emitted by public authorities as part of broader policy strategies. Overall, we find that current regulatory and market framework conditions do not hinder flexibility. However, despite that, flexibility remains limited due to a lack of coherent instruments intended to both the demand and supply-side to effectively act flexibly.

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DO - 10.1109/EEM.2017.7981948

M3 - Article in proceedings

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PB - IEEE

T2 - 14th International Conference on the European Energy Market

Y2 - 6 June 2017 through 9 June 2017

ER -

Regulatory barriers for activating flexibility in the Nordic-Baltic electricity market

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Conference

UN SDGs

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Projects

Flex4RES: Flexible Nordic Energy Systems

Cite this