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Privatisation and cross-border electricity trade: from internal market to European Supergrid?

Torriti, J. ORCID: https://orcid.org/0000-0003-0569-039X (2014) Privatisation and cross-border electricity trade: from internal market to European Supergrid? Energy, 77 (1). pp. 635-640. ISSN 0360-5442

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To link to this item DOI: 10.1016/j.energy.2014.09.057

Abstract/Summary

he perspective European Supergrid would consist of an integrated power system network, where electricity demands from one country could be met by generation from another country. This paper makes use of a bi-linear fixed-effects model to analyse the determinants for trading electricity across borders among 34 countries connected by the European Supergrid. The key question that this paper aims to address is the extent to which the privatisation of European electricity markets has brought about higher cross-border trade of electricity. The analysis makes use of distance, price ratios, gate closure times, size of peaks and aggregate demand as standard determinants. Controlling for other standard determinants, it is concluded that privatisation in most cases led to higher power exchange and that the benefits are more significant where privatisation measures have been in place for a longer period.

Item Type:Article
Refereed:Yes
Divisions:Interdisciplinary centres and themes > Energy Research
Science > School of the Built Environment > Energy and Environmental Engineering group
ID Code:38511
Publisher:Elsevier

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