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The evolution of electricity price on the German day-ahead market before and after the energy switch

textabstractIn Europe, Germany is taking the lead in the switch from fossil and nuclear energy to renewables. This creates new challenges as wind and solar energy are fundamentally intermittent and to some degree, unpredictable. It is therefore of considerable interest to investigate what effect these changes have on the overall trend and volatility of the electricity price. While market coupling promises to reduce price volatility, dependence on renewable energy sources (RES) might have the opposite effect. To elucidate the combined impact of these two developments, we investigate the evolution of the electricity price on the German day-ahead market over the course of the last 11 years (2006-2016). Our main observations are that price volatility has decreased rather than increased. Furthermore, excess wind production during off-peak hours correlates well with the occurrence of negative prices. Finally, daily price profiles show a gradual shift in peak- prices away from the day-light hours, and this shift is more pronounced during the summer than in winter. This points to a growing influence of solar production on prices.
- University of Amsterdam Netherlands
- Delft University of Technology Netherlands
- Centrum Wiskunde & Informatica Netherlands
- Vrije Universiteit Amsterdam Netherlands
- Vitenparken Norway
Renewable energy, 330, Sustainability and the Environment, Singular value decomposition, Energy switch, Electricity network, electricity network, Day-ahead price, 339, Volatility, SDG 7 - Affordable and Clean Energy, Renewable Energy
Renewable energy, 330, Sustainability and the Environment, Singular value decomposition, Energy switch, Electricity network, electricity network, Day-ahead price, 339, Volatility, SDG 7 - Affordable and Clean Energy, Renewable Energy
citations This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).16 popularity This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.Top 10% influence This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).Top 10% impulse This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.Top 10% visibility views 12 download downloads 9 - 12views9downloads
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