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European Electricity Grid Infrastructure Expansion in a 2050 Context

Author

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  • Jonas Egerer
  • Clemens Gerbaulet
  • Casimir Lorenz

Abstract

The European climate targets until 2050 require an adaptation of the generation portfolio in terms of renewable and fossil based generation. Assumptions on the timeline of the targets and the availability and costs of generation technologies are used in energy system models to optimize the cost minimal system transformation. The results include investments in generation technologies and their national allocation. Yet, the models are limited to the national aggregation and lack the spatial resolution required to represent individual network investments and related costs. In this paper, we analyze the impact the results of an energy system model have on demand for network expansion in the European power grid in a line-sharp representation. A cost minimizing mixed-integer problem (MIP) model calculates where in the European electricity grid expansion needs to take place for different time steps (2020/30/40/50) in order to obtain minimal total costs for power plant dispatch and grid expansion. Scenarios based on the generation infrastructure options from the PRIMES EU-wide energy model scenarios invoke different expansion needs and are compared. The model allows investments in the AC network and an overlay DC grid. Resulting investment costs are compared to the numbers of the European Energy Roadmap 2050.

Suggested Citation

  • Jonas Egerer & Clemens Gerbaulet & Casimir Lorenz, 2013. "European Electricity Grid Infrastructure Expansion in a 2050 Context," Discussion Papers of DIW Berlin 1299, DIW Berlin, German Institute for Economic Research.
  • Handle: RePEc:diw:diwwpp:dp1299
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    File URL: http://www.diw.de/documents/publikationen/73/diw_01.c.421678.de/dp1299.pdf
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    References listed on IDEAS

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    1. Juan Rosellón & Hannes Weigt, 2011. "A Dynamic Incentive Mechanism for Transmission Expansion in Electricity Networks: Theory, Modeling, and Application," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1), pages 119-148.
    2. Egerer, Jonas & Kunz, Friedrich & Hirschhausen, Christian von, 2013. "Development scenarios for the North and Baltic Seas Grid – A welfare economic analysis," Utilities Policy, Elsevier, vol. 27(C), pages 123-134.
    3. Weigt, Hannes & Hirschhausen, Christian von, 2008. "Price formation and market power in the German wholesale electricity market in 2006," Energy Policy, Elsevier, vol. 36(11), pages 4227-4234, November.
    4. Juan Rosellón & Wolf-Peter Schill & Jonas Egerer, 2011. "Regulated Expansion of Electricity Transmission Networks: The Effects of Fluctuating Demand and Wind Generation," Working papers DTE 523, CIDE, División de Economía.
    5. Weigt, Hannes & Jeske, Till & Leuthold, Florian & von Hirschhausen, Christian, 2010. ""Take the long way down": Integration of large-scale North Sea wind using HVDC transmission," Energy Policy, Elsevier, vol. 38(7), pages 3164-3173, July.
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    Citations

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    Cited by:

    1. repec:wsi:ccexxx:v:04:y:2013:i:supp0:n:s201000781340006x is not listed on IDEAS
    2. Janda, Karel & Málek, Jan & Rečka, Lukáš, 2017. "Influence of renewable energy sources on transmission networks in Central Europe," Energy Policy, Elsevier, vol. 108(C), pages 524-537.
    3. repec:eee:energy:v:134:y:2017:i:c:p:469-481 is not listed on IDEAS
    4. Creutzig, Felix & Goldschmidt, Jan Christoph & Lehmann, Paul & Schmid, Eva & von Blücher, Felix & Breyer, Christian & Fernandez, Blanca & Jakob, Michael & Knopf, Brigitte & Lohrey, Steffen & Susca, Ti, 2014. "Catching two European birds with one renewable stone: Mitigating climate change and Eurozone crisis by an energy transition," Renewable and Sustainable Energy Reviews, Elsevier, vol. 38(C), pages 1015-1028.
    5. Christian von Hirschhausen, 2014. "The German Energiewend - An Introduction," Economics of Energy & Environmental Policy, International Association for Energy Economics, vol. 0(Number 2).
    6. Zerrahn, Alexander & Huppmann, Daniel, 2014. "Network Expansion to Mitigate Market Power: How Increased Integration Fosters Welfare," Annual Conference 2014 (Hamburg): Evidence-based Economic Policy 100459, Verein für Socialpolitik / German Economic Association.
    7. Huppmann, Daniel & Egerer, Jonas, 2015. "National-strategic investment in European power transmission capacity," European Journal of Operational Research, Elsevier, vol. 247(1), pages 191-203.

    More about this item

    Keywords

    Electricity; European Transmission Network; Investment Model;

    JEL classification:

    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
    • L94 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Electric Utilities

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