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Abuse of dominance in intraday coupled electricity markets/ Impact onmarket integration of renewables

Author

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  • Podlesnaya Alina

    (Department of Economics, Lomonosov Moscow State University)

Abstract

Electricity market coupling aimed at reducing electricity price differential by optimizing cross-border capacity allocation is the main mechanism of the EU electricity market integration. The paper considers the problem of the abuse of dominance in intraday coupled electricity markets and the consequences of this abuse for the market integration of renewables. The paper found that the abuse of dominance in coupled markets could occur when the owner of essential facilities (i.e. power exchange) prohibits his competitors access to the infrastructure necessary for the intraday coupled auctions (i.e. shared order book). Since intraday coupled auctions combine two main instruments of market integration of renewables, i.e. close to real time trading and optimization of cross-border capacity allocation, distortion of competition in intraday coupled electricity markets can prevent efficient market integration of renewables and the greening of the power industry.

Suggested Citation

  • Podlesnaya Alina, 2022. "Abuse of dominance in intraday coupled electricity markets/ Impact onmarket integration of renewables," Working Papers 0040, Moscow State University, Faculty of Economics.
    • Handle: RePEc:upa:wpaper:0040
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    File URL: https://www.econ.msu.ru/sys/raw.php?o=86024&p=attachment
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    More about this item

    Keywords

    market coupling; intraday electricity market; renewables; abuse of dominance;
    All these keywords.

    JEL classification:

    • K21 - Law and Economics - - Regulation and Business Law - - - Antitrust Law
    • L40 - Industrial Organization - - Antitrust Issues and Policies - - - General
    • L41 - Industrial Organization - - Antitrust Issues and Policies - - - Monopolization; Horizontal Anticompetitive Practices
    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General

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