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Consumer Ownership in Liberalized Electricity Markets. The Case of Denmark
In: Annals of public and cooperative economics, Band 73, Heft 1, S. 69-88
ISSN: 1467-8292
The continuation of consumer ownership has been an important part of the Danish electricity reform from 1999. Consumer ownership refers to either a consumer co‐operative or a municipal utility. Contrary to conventional wisdom, consumer ownership can be supported by solid arguments from modern economic theory of organization. These arguments are presented and confronted with both present and future situation in Denmark. The development of the electricity supply industry after the Second World War has emptied consumer ownership of much of its original content. Nowadays, most consumers consider their electric utility as the (monopoly) supplier of a good they demand and not as something they own. Therefore, obligatory consumer ownership as specified in the new Danish Electricity Act of 1999 cannot be relied on to guarantee security of supply and reasonable prices for small consumers
Flexible Nordic Energy Systems
In: Skytte , K , Bergaentzlé , C , Fausto , F & Gunkel , P A 2019 , Flexible Nordic Energy Systems .
The Flex4RES project investigated how an intensified interaction between coupled energy markets supported by coherent regulatory frameworks can facilitate the integration of high shares of variable renewable energy (VRE) into Nordic-Baltic energy systems ensuring stability, sustainability, and cost-efficiency. Through a holistic system approach based on coupled energy markets, the potential costs and benefits of achieving flexibility in the Nordic-Baltic electricity market from the heat, gas and transport sectors, as well as through electricity transmission and generation were identified. Flex4RES developed and applied a multidisciplinary research strategy that combined the technical analysis of flexibility needs and potentials; the economic analysis of markets and regulatory frameworks; and the modelling of energy systems, which quantifies impacts. Flex4RES identified transition pathways to sustainable Nordic energy systems through the development of coherent regulatory frameworks and market designs that facilitate market interactions which are optimal for the Nordic-Baltic conditions in an EU context. Flex4RES will comprehensively discuss and disseminate the recommended pathways and market designs for achieving a future sustainable Nordic-Baltic energy solution with a variety of stakeholders from government, industry and civil society.
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Barriers for District Heating as a Source of Flexibility for the Electricity System
In: Journal of Energy Markets, Forthcoming
SSRN
Flexible Nordic Energy Systems: Policy brief - Key Recommendations
In: Skytte , K , Bergaentzlé , C , Fausto , F J , Gunkel , P A & Lund , P 2019 , Flexible Nordic Energy Systems: Policy brief - Key Recommendations .
The Flex4RES project investigated how intensified interaction between coupled energy markets supported by coherent regulatory frameworks can facilitate the integration of high shares of variable renewable energy (VRE) into Nordic-Baltic energy systems, thus ensuring stability, sustainability and cost-effectiveness. Through a holistic systemic approach based on coupled energy markets in the region, the potential costs and benefits of achieving flexibility in the Nordic -Baltic electricity market from the heat, gas and transport sectors, as well as through electricity transmission and generation, were identified. Flex4RES developed and applied a multidisciplinary research strategy that combined technical analysis of flexibility needs and potential, economic analysis of markets and regulatory frameworks, and the modelling of energy systems, which quantifies impacts. Flex4RES identified transition pathways to sustainable Nordic energy systems through the development of coherent regulatory frameworks and market designs that facilitate market interactions which are optimal for the Nordic -Baltic conditions in an EU context. Flex4RES results will be of high relevance to stakeholders from governments, industry and civil society for better market designs for achieving a sustainable energy system in the Nordic-Baltic region. WHY: To ensure that a future decarbonised energy system is possible, in line with climate concerns, national decarbonisation targets and the UN's SDGs. HOW: By increasing energy-system flexibility to accommodate high shares of variable renewable energy such as wind power. WHAT: Identifying and as sessing regulatory and technical pathways towards coherent Nordic energy systems.
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Climate-friendly but socially rejected energy-transition pathways: the integration of techno-economic and socio-technical approaches in the Nordic-Baltic region
In: Bolwig , S , Bolkesjø , T F , Klitkou , A , Lund , P , Bergaentzlé , C , Borch , K , Olsen , O J , Kirkerud , J G , Chen , Y-K , Gunkel , P A & Skytte , K 2020 , ' Climate-friendly but socially rejected energy-transition pathways: the integration of techno-economic and socio-technical approaches in the Nordic-Baltic region ' , Energy Research & Social Science , vol. 67 , 101559 . https://doi.org/10.1016/j.erss.2020.101559
A framework to account for social acceptance in the modelling of energy-transition pathways is outlined. The geographical focus is on the Nordic-Baltic energy region and the technological focus is on onshore wind power and power transmission, which are considered key technologies in achieving carbon-neutral energy systems in northern Europe. We combine qualitative analysis of social acceptance with quantitative assessments of scenarios using techno-economic energy-system modelling. Key factors in and consequences of social acceptance are identified, especially environmental, health, and distributional factors, as well as costs for developers and society. The energy system analysis includes four scenarios illustrating the system effects and costs of low social acceptance. The results indicate that if low social acceptance were to restrict investments in onshore wind power, costlier solar photovoltaics and offshore wind power would step in. Greater social acceptance cost for onshore wind and transmission lines favours local solutions and a more balanced renewable energy mix. There are important distributional effects: no restrictions on transmission line investments benefit power producers while raising consumer prices in the Nordic-Baltic energy region, while very low social acceptance of onshore wind power would lead to 12% higher consumer costs. The results imply that socio-technical and political factors such as social acceptance may significantly affect transition pathway scenarios based on techno-economic variables alone. Therefore, the techno-economic, socio-technical and political layers of co-evolution of energy systems should be considered when analysing long-term energy transitions. It is important to link energy-system models with a consideration of the dynamics of socio-technical factors.
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Climate-friendly but socially rejected energy-transition pathways:The integration of techno-economic and socio-technical approaches in the Nordic-Baltic region
In: Bolwig , S , Bolkesjø , T F , Klitkou , A , Lund , P D , Bergaentzlé , C , Borch , K , Olsen , O J , Kirkerud , J G , Chen , Y K , Gunkel , P A & Skytte , K 2020 , ' Climate-friendly but socially rejected energy-transition pathways : The integration of techno-economic and socio-technical approaches in the Nordic-Baltic region ' , Energy Research and Social Science , vol. 67 , 101559 . https://doi.org/10.1016/j.erss.2020.101559
A framework to account for social acceptance in the modelling of energy-transition pathways is outlined. The geographical focus is on the Nordic-Baltic energy region and the technological focus is on onshore wind power and power transmission, which are considered key technologies in achieving carbon-neutral energy systems in northern Europe. We combine qualitative analysis of social acceptance with quantitative assessments of scenarios using techno-economic energy-system modelling. Key factors in and consequences of social acceptance are identified, especially environmental, health, and distributional factors, as well as costs for developers and society. The energy system analysis includes four scenarios illustrating the system effects and costs of low social acceptance. The results indicate that if low social acceptance were to restrict investments in onshore wind power, costlier solar photovoltaics and offshore wind power would step in. Greater social acceptance cost for onshore wind and transmission lines favours local solutions and a more balanced renewable energy mix. There are important distributional effects: no restrictions on transmission line investments benefit power producers while raising consumer prices in the Nordic-Baltic energy region, while very low social acceptance of onshore wind power would lead to 12% higher consumer costs. The results imply that socio-technical and political factors such as social acceptance may significantly affect transition pathway scenarios based on techno-economic variables alone. Therefore, the techno-economic, socio-technical and political layers of co-evolution of energy systems should be considered when analysing long-term energy transitions. It is important to link energy-system models with a consideration of the dynamics of socio-technical factors.
BASE
Climate-friendly but socially rejected energy-transition pathways
A framework to account for social acceptance in the modelling of energy-transition pathways is outlined. The geographical focus is on the Nordic-Baltic energy region and the technological focus is on onshore wind power and power transmission, which are considered key technologies in achieving carbon-neutral energy systems in northern Europe. We combine qualitative analysis of social acceptance with quantitative assessments of scenarios using techno-economic energy-system modelling. Key factors in and consequences of social acceptance are identified, especially environmental, health, and distributional factors, as well as costs for developers and society. The energy system analysis includes four scenarios illustrating the system effects and costs of low social acceptance. The results indicate that if low social acceptance were to restrict investments in onshore wind power, costlier solar photovoltaics and offshore wind power would step in. Greater social acceptance cost for onshore wind and transmission lines favours local solutions and a more balanced renewable energy mix. There are important distributional effects: no restrictions on transmission line investments benefit power producers while raising consumer prices in the Nordic-Baltic energy region, while very low social acceptance of onshore wind power would lead to 12% higher consumer costs. The results imply that socio-technical and political factors such as social acceptance may significantly affect transition pathway scenarios based on techno-economic variables alone. Therefore, the techno-economic, socio-technical and political layers of co-evolution of energy systems should be considered when analysing long-term energy transitions. It is important to link energy-system models with a consideration of the dynamics of socio-technical factors. ; Peer reviewed
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