IDEAS home Printed from https://ideas.repec.org/p/hhs/nhhfms/2024_011.html

European Grid Development Modeling and Analysis: Established Frameworks, Research Trends, and Future Opportunities

Author

Listed:
  • Qu, Chunzi

    (Dept. of Business and Management Science, Norwegian School of Economics)

  • Bang, Rasmus Noss

    (SNF - Centre for Applied Research at NHH)

Abstract

This paper presents a comprehensive survey of recent literature on European energy system modeling and analysis with special focus on grid development. Spanning the years from 2013 to 2023, we analyze 59 selected articles, organizing them by geographical scope, grid expansion strategies, research focus, and methodology. Additionally, we provide an overview of established and recurring frameworks, including ELMOD, EMPIRE, AnyMOD, LIMES, TIMES, FlexPlan, PyPSA, REMix, and Balmorel. Further, we elaborate on the recent trends in research and modeling. Based on our observations, we propose avenues for future research. For instance, considering recent changes in the geopolitical environment, we suggest shifting the geographical research focus from the North Sea region to the Central and Eastern European regions. Other suggestions include investigating grid development under imperfect market competition, merging the study of grid development with sector coupling, and increasing the focus on blue hydrogen, which appear to not receive much focus, as opposed to green hydrogen. Overall, this work may serve as a useful resource for newcomers to grid-related research and a practical guide for seasoned researchers in the field.

Suggested Citation

  • Qu, Chunzi & Bang, Rasmus Noss, 2024. "European Grid Development Modeling and Analysis: Established Frameworks, Research Trends, and Future Opportunities," Discussion Papers 2024/11, Norwegian School of Economics, Department of Business and Management Science.
  • Handle: RePEc:hhs:nhhfms:2024_011
    as

    Download full text from publisher

    File URL: https://hdl.handle.net/11250/3161791
    File Function: Full text
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Richard Loulou & Maryse Labriet, 2008. "ETSAP-TIAM: the TIMES integrated assessment model Part I: Model structure," Computational Management Science, Springer, vol. 5(1), pages 7-40, February.
    2. Brown, T. & Schlachtberger, D. & Kies, A. & Schramm, S. & Greiner, M., 2018. "Synergies of sector coupling and transmission reinforcement in a cost-optimised, highly renewable European energy system," Energy, Elsevier, vol. 160(C), pages 720-739.
    3. Tselika, Kyriaki, 2022. "The impact of variable renewables on the distribution of hourly electricity prices and their variability: A panel approach," Energy Economics, Elsevier, vol. 113(C).
    4. repec:aen:journl:ej37-3-cohen is not listed on IDEAS
    5. Jaehnert, Stefan & Wolfgang, Ove & Farahmand, Hossein & Völler, Steve & Huertas-Hernando, Daniel, 2013. "Transmission expansion planning in Northern Europe in 2030—Methodology and analyses," Energy Policy, Elsevier, vol. 61(C), pages 125-139.
    6. Radu, David & Berger, Mathias & Dubois, Antoine & Fonteneau, Raphaël & Pandžić, Hrvoje & Dvorkin, Yury & Louveaux, Quentin & Ernst, Damien, 2022. "Assessing the impact of offshore wind siting strategies on the design of the European power system," Applied Energy, Elsevier, vol. 305(C).
    7. Abrell, Jan & Rausch, Sebastian, 2016. "Cross-country electricity trade, renewable energy and European transmission infrastructure policy," Journal of Environmental Economics and Management, Elsevier, vol. 79(C), pages 87-113.
    8. Pietzcker, Robert & Osorio, Sebastian & Rodrigues, Renato, 2021. "Tightening EU ETS targets in line with the European Green Deal: Impacts on the decarbonization of the EU power sector," EconStor Preprints 222579, ZBW - Leibniz Information Centre for Economics, revised 2021.
    9. Kuepper, Lucas Elias & Teichgraeber, Holger & Baumgärtner, Nils & Bardow, André & Brandt, Adam R., 2022. "Wind data introduce error in time-series reduction for capacity expansion modelling," Energy, Elsevier, vol. 256(C).
    10. Konstantelos, Ioannis & Moreno, Rodrigo & Strbac, Goran, 2017. "Coordination and uncertainty in strategic network investment: Case on the North Seas Grid," Energy Economics, Elsevier, vol. 64(C), pages 131-148.
    11. Rowinski, Marcin Karol & White, Timothy John & Zhao, Jiyun, 2015. "Small and Medium sized Reactors (SMR): A review of technology," Renewable and Sustainable Energy Reviews, Elsevier, vol. 44(C), pages 643-656.
    12. Hess, Denis, 2018. "The value of a dispatchable concentrating solar power transfer from Middle East and North Africa to Europe via point-to-point high voltage direct current lines," Applied Energy, Elsevier, vol. 221(C), pages 605-645.
    13. Fraunholz, Christoph & Hladik, Dirk & Keles, Dogan & Möst, Dominik & Fichtner, Wolf, 2021. "On the long-term efficiency of market splitting in Germany," Energy Policy, Elsevier, vol. 149(C).
    14. Frysztacki, Martha Maria & Hörsch, Jonas & Hagenmeyer, Veit & Brown, Tom, 2021. "The strong effect of network resolution on electricity system models with high shares of wind and solar," Applied Energy, Elsevier, vol. 291(C).
    15. Kunz, Friedrich, 2018. "Quo Vadis? (Un)scheduled electricity flows under market splitting and network extension in central Europe," Energy Policy, Elsevier, vol. 116(C), pages 198-209.
    16. 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.
    17. Shruthi Patil & Leander Kotzur & Detlef Stolten, 2022. "Advanced Spatial and Technological Aggregation Scheme for Energy System Models," Energies, MDPI, vol. 15(24), pages 1-26, December.
    18. Jan Abrell & Friedrich Kunz, 2015. "Integrating Intermittent Renewable Wind Generation - A Stochastic Multi-Market Electricity Model for the European Electricity Market," Networks and Spatial Economics, Springer, vol. 15(1), pages 117-147, March.
    19. Mallapragada, Dharik S. & Papageorgiou, Dimitri J. & Venkatesh, Aranya & Lara, Cristiana L. & Grossmann, Ignacio E., 2018. "Impact of model resolution on scenario outcomes for electricity sector system expansion," Energy, Elsevier, vol. 163(C), pages 1231-1244.
    20. Haller, Markus & Ludig, Sylvie & Bauer, Nico, 2012. "Decarbonization scenarios for the EU and MENA power system: Considering spatial distribution and short term dynamics of renewable generation," Energy Policy, Elsevier, vol. 47(C), pages 282-290.
    21. Stéphane Allard & Silvana Mima & Vincent Debusschere & Tuan Tran Quoc & Patrick Criqui & Nouredine Hadjsaid, 2020. "European transmission grid expansion as a flexibility option in a scenario of large scale variable renewable energies integration," Post-Print hal-02502378, HAL.
    22. Reichenberg, Lina & Siddiqui, Afzal S. & Wogrin, Sonja, 2018. "Policy implications of downscaling the time dimension in power system planning models to represent variability in renewable output," Energy, Elsevier, vol. 159(C), pages 870-877.
    23. Nikolaos E. Koltsaklis & Athanasios S. Dagoumas, 2018. "Transmission Expansion and Electricity Trade: A Case Study of the Greek Power System," International Journal of Energy Economics and Policy, Econjournals, vol. 8(5), pages 64-71.
    24. Göke, Leonard & Kendziorski, Mario, 2022. "Adequacy of time-series reduction for renewable energy systems," Energy, Elsevier, vol. 238(PA).
    25. Lüth, Alexandra & Seifert, Paul E. & Egging-Bratseth, Ruud & Weibezahn, Jens, 2023. "How to connect energy islands: Trade-offs between hydrogen and electricity infrastructure," Applied Energy, Elsevier, vol. 341(C).
    26. Héctor Marañón-Ledesma & Asgeir Tomasgard, 2019. "Analyzing Demand Response in a Dynamic Capacity Expansion Model for the European Power Market," Energies, MDPI, vol. 12(15), pages 1-24, August.
    27. Seljom, Pernille & Tomasgard, Asgeir, 2015. "Short-term uncertainty in long-term energy system models — A case study of wind power in Denmark," Energy Economics, Elsevier, vol. 49(C), pages 157-167.
    28. Gea-Bermúdez, Juan & Pade, Lise-Lotte & Koivisto, Matti Juhani & Ravn, Hans, 2020. "Optimal generation and transmission development of the North Sea region: Impact of grid architecture and planning horizon," Energy, Elsevier, vol. 191(C).
    29. Leuthold, Florian & Weigt, Hannes & von Hirschhausen, Christian, 2008. "ELMOD - A Model of the European Electricity Market," MPRA Paper 65660, University Library of Munich, Germany.
    30. Spiridonova, Olga, 2016. "Transmission capacities and competition in Western European electricity market," Energy Policy, Elsevier, vol. 96(C), pages 260-273.
    31. Backe, Stian & Zwickl-Bernhard, Sebastian & Schwabeneder, Daniel & Auer, Hans & Korpås, Magnus & Tomasgard, Asgeir, 2022. "Impact of energy communities on the European electricity and heating system decarbonization pathway: Comparing local and global flexibility responses," Applied Energy, Elsevier, vol. 323(C).
    32. David Ritter & Roland Meyer & Matthias Koch & Markus Haller & Dierk Bauknecht & Christoph Heinemann, 2019. "Effects of a Delayed Expansion of Interconnector Capacities in a High RES-E European Electricity System," Energies, MDPI, vol. 12(16), pages 1-32, August.
    33. Frysztacki, Martha Maria & Hagenmeyer, Veit & Brown, Tom, 2023. "Inverse methods: How feasible are spatially low-resolved capacity expansion modelling results when disaggregated at high spatial resolution?," Energy, Elsevier, vol. 281(C).
    34. Matthias Greiml & Florian Fritz & Josef Steinegger & Theresa Schlömicher & Nicholas Wolf Williams & Negar Zaghi & Thomas Kienberger, 2022. "Modelling and Simulation/Optimization of Austria’s National Multi-Energy System with a High Degree of Spatial and Temporal Resolution," Energies, MDPI, vol. 15(10), pages 1-33, May.
    35. Göke, Leonard, 2021. "A graph-based formulation for modeling macro-energy systems," Applied Energy, Elsevier, vol. 301(C).
    36. Tony H. Grubesic & Ran Wei & Alan T. Murray, 2014. "Spatial Clustering Overview and Comparison: Accuracy, Sensitivity, and Computational Expense," Annals of the American Association of Geographers, Taylor & Francis Journals, vol. 104(6), pages 1134-1156, November.
    37. Göke, Leonard & Kendziorski, Mario & Kemfert, Claudia & Hirschhausen, Christian von, 2022. "Accounting for spatiality of renewables and storage in transmission planning," Energy Economics, Elsevier, vol. 113(C).
    38. Richard Loulou, 2008. "ETSAP-TIAM: the TIMES integrated assessment model. part II: mathematical formulation," Computational Management Science, Springer, vol. 5(1), pages 41-66, February.
    39. Oosthuizen, Anna Maria & Inglesi-Lotz, Roula & Thopil, George Alex, 2022. "The relationship between renewable energy and retail electricity prices: Panel evidence from OECD countries," Energy, Elsevier, vol. 238(PB).
    40. Gorenstein Dedecca, João & Lumbreras, Sara & Ramos, Andrés & Hakvoort, Rudi A. & Herder, Paulien M., 2018. "Expansion planning of the North Sea offshore grid: Simulation of integrated governance constraints," Energy Economics, Elsevier, vol. 72(C), pages 376-392.
    41. Jed Cohen & Klaus Moeltner & Johannes Reichl & Michael Schmidthaler, 2016. "An Empirical Analysis of Local Opposition to New Transmission Lines Across the EU-27," The Energy Journal, , vol. 37(3), pages 59-82, July.
    42. Pietzcker, Robert C. & Osorio, Sebastian & Rodrigues, Renato, 2021. "Tightening EU ETS targets in line with the European Green Deal: Impacts on the decarbonization of the EU power sector," Applied Energy, Elsevier, vol. 293(C).
    43. Jorge, Raquel S. & Hertwich, Edgar G., 2014. "Grid infrastructure for renewable power in Europe: The environmental cost," Energy, Elsevier, vol. 69(C), pages 760-768.
    44. Allard, Stéphane & Mima, Silvana & Debusschere, Vincent & Quoc, Tuan Tran & Criqui, Patrick & Hadjsaid, Nouredine, 2020. "European transmission grid expansion as a flexibility option in a scenario of large scale variable renewable energies integration," Energy Economics, Elsevier, vol. 87(C).
    45. Schmid, Eva & Knopf, Brigitte, 2015. "Quantifying the long-term economic benefits of European electricity system integration," Energy Policy, Elsevier, vol. 87(C), pages 260-269.
    46. Trepper, Katrin & Bucksteeg, Michael & Weber, Christoph, 2015. "Market splitting in Germany – New evidence from a three-stage numerical model of Europe," Energy Policy, Elsevier, vol. 87(C), pages 199-215.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Qu, Chunzi & Bang, Rasmus Noss & Sandal, Leif Kristoffer, 2025. "Construction and operational cost requirements for competitive small modular reactors in Europe," Applied Energy, Elsevier, vol. 401(PA).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Martínez-Gordón, R. & Morales-España, G. & Sijm, J. & Faaij, A.P.C., 2021. "A review of the role of spatial resolution in energy systems modelling: Lessons learned and applicability to the North Sea region," Renewable and Sustainable Energy Reviews, Elsevier, vol. 141(C).
    2. Qu, Chunzi & Bang, Rasmus Noss & Sandal, Leif Kristoffer, 2025. "Construction and operational cost requirements for competitive small modular reactors in Europe," Applied Energy, Elsevier, vol. 401(PA).
    3. Majidi, Hassan & Hayati, Mohammad Mohsen & Breyer, Christian & Mohammadi-ivatloo, Behnam & Honkapuro, Samuli & Karjunen, Hannu & Laaksonen, Petteri & Sihvonen, Ville, 2025. "Overview of energy modeling requirements and tools for future smart energy systems," Renewable and Sustainable Energy Reviews, Elsevier, vol. 212(C).
    4. Backe, Stian & Zwickl-Bernhard, Sebastian & Schwabeneder, Daniel & Auer, Hans & Korpås, Magnus & Tomasgard, Asgeir, 2022. "Impact of energy communities on the European electricity and heating system decarbonization pathway: Comparing local and global flexibility responses," Applied Energy, Elsevier, vol. 323(C).
    5. David Franzmann & Heidi Heinrichs & Felix Lippkau & Thushara Addanki & Christoph Winkler & Patrick Buchenberg & Thomas Hamacher & Markus Blesl & Jochen Lin{ss}en & Detlef Stolten, 2023. "Green Hydrogen Cost-Potentials for Global Trade," Papers 2303.00314, arXiv.org, revised May 2023.
    6. Seljom, Pernille & Lindberg, Karen Byskov & Tomasgard, Asgeir & Doorman, Gerard & Sartori, Igor, 2017. "The impact of Zero Energy Buildings on the Scandinavian energy system," Energy, Elsevier, vol. 118(C), pages 284-296.
    7. Peecock, Anna & Huang, Jiangyi & Martinez-Felipe, Alfonso & McKenna, Russell, 2025. "Reviewing sector coupling in offshore energy system integration modelling: the North Sea context," Renewable and Sustainable Energy Reviews, Elsevier, vol. 210(C).
    8. Xu, Jin-Hua & Yi, Bo-Wen & Fan, Ying, 2020. "Economic viability and regulation effects of infrastructure investments for inter-regional electricity transmission and trade in China," Energy Economics, Elsevier, vol. 91(C).
    9. Ringkjøb, Hans-Kristian & Haugan, Peter M. & Solbrekke, Ida Marie, 2018. "A review of modelling tools for energy and electricity systems with large shares of variable renewables," Renewable and Sustainable Energy Reviews, Elsevier, vol. 96(C), pages 440-459.
    10. Grimm, Veronika & Sölch, Christian & Zöttl, Gregor, 2022. "Emissions reduction in a second-best world: On the long-term effects of overlapping regulations," Energy Economics, Elsevier, vol. 109(C).
    11. Ruhnau, O. & Bucksteeg, M. & Ritter, D. & Schmitz, R. & Böttger, D. & Koch, M. & Pöstges, A. & Wiedmann, M. & Hirth, L., 2022. "Why electricity market models yield different results: Carbon pricing in a model-comparison experiment," Renewable and Sustainable Energy Reviews, Elsevier, vol. 153(C).
    12. Göke, Leonard & Kendziorski, Mario, 2022. "Adequacy of time-series reduction for renewable energy systems," Energy, Elsevier, vol. 238(PA).
    13. Abadie, Luis María & Chamorro, José Manuel, 2021. "Evaluation of a cross-border electricity interconnection: The case of Spain-France," Energy, Elsevier, vol. 233(C).
    14. Seljom, Pernille & Tomasgard, Asgeir, 2017. "The impact of policy actions and future energy prices on the cost-optimal development of the energy system in Norway and Sweden," Energy Policy, Elsevier, vol. 106(C), pages 85-102.
    15. DeCarolis, Joseph & Daly, Hannah & Dodds, Paul & Keppo, Ilkka & Li, Francis & McDowall, Will & Pye, Steve & Strachan, Neil & Trutnevyte, Evelina & Usher, Will & Winning, Matthew & Yeh, Sonia & Zeyring, 2017. "Formalizing best practice for energy system optimization modelling," Applied Energy, Elsevier, vol. 194(C), pages 184-198.
    16. Golab, Antonia & Loschan, Christoph & Zwickl-Bernhard, Sebastian & Auer, Hans, 2025. "The value of flexibility of commercial electric vehicle fleets in the redispatch of congested transmission grids," Energy, Elsevier, vol. 316(C).
    17. Abuzayed, Anas & Liebensteiner, Mario & Hartmann, Niklas, 2025. "Hydrogen-ready power plants: Optimizing pathways to a decarbonized energy system in Germany," Applied Energy, Elsevier, vol. 395(C).
    18. Javier Barba & Miguel Cañas-Carretón & Miguel Carrión & Gabriel R. Hernández-Labrado & Carlos Merino & José Ignacio Muñoz & Rafael Zárate-Miñano, 2025. "Integrating Hydrogen into Power Systems: A Comprehensive Review," Sustainability, MDPI, vol. 17(13), pages 1-64, July.
    19. Nagel, Niels Oliver & Böhringer, Christoph & Rosendahl, Knut Einar & Bolkesjø, Torjus Folsland, 2023. "Impacts of green deal policies on the Nordic power market," Utilities Policy, Elsevier, vol. 80(C).
    20. Joan Fuentes & Sebastian Zapata & Enrique Angel & Camila Ochoa & Valentina Betancur, 2025. "Modeling Infrastructure Delays and Congestion for Large-Scale Power Systems," Energies, MDPI, vol. 18(12), pages 1-19, June.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;

    JEL classification:

    • Q40 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - General
    • Q50 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hhs:nhhfms:2024_011. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Stein Fossen (email available below). General contact details of provider: https://edirc.repec.org/data/dfnhhno.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.