Bruegel
Key findings
This paper analyses the balance between efficient electricity system operation, investment incentives and social fairness. It discusses the impact of different demand growth scenarios on the sustainability of Contracts for Difference to support renewable energy investments. It concludes that management of the demand side of the power market is critical to reducing the social cost of supporting deployment in renewable generation capacity.
Source : https://www.bruegel.org/policy-brief/changing-dynamics-european-electricity-markets-and-supply-demand-mismatch-risk (2024)
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