High Energy Prices: Implications for electricity Market design?
Thursday, 24 February 2022
14:00 to 15:30 (CET)
The recent increase in energy prices, driven mainly by global supply and demand factors, with some additional European elements, has triggered a discussion on electricity market design. While some EU Member States fully support the current design of the competitive energy market, others believe that reform is necessary, for example arguing that a closer link is needed between energy prices and the costs of the generation mix.
This webinar will look further at price formation in the electricity spot and forward markets and will ask what role these markets are playing during periods of high prices, and how price volatility can be effectively managed, now and in the future with a steadily increasing renewables share. The discussion will also reflect on how the market design can help to provide sufficient investment certainty for renewables, as well as incentivise flexibility both on the supply and demand-side.
Questions that will be discussed include:
- How to protect consumers from sudden price increases, while preserving the benefits of a competitive energy market?
- How can competitive energy markets further integrate more renewable energy and effectively manage price volatility?
- Are complementary instruments needed to ‘future-proof’ the electricity market design?
- What links are needed between the wholesale and retail markets?
Board Member, Europex
Vice President Portfolio and Business Development, Vattenfall Europe Windkraft GmbH
Professor, Vlerick Business School