Projects of common interest? Evaluation of European electricity interconnectors

Mezősi, András, Kácsor, Enikő and Diallo, Alfa (2023) Projects of common interest? Evaluation of European electricity interconnectors. Utilities Policy, 84 . DOI

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This paper evaluates the new electricity interconnection projects on the fifth list of Energy Projects of Common Interest. A cost-benefit analysis is carried out with electricity market modelling. The results show that out of the 13 planned lines, 12 are socially beneficial. Moreover, the sensitivity checks highlight that most projects remain beneficial despite differing market assumptions. In those scenarios, where Europe's average wholesale electricity price is relatively higher, the projects yield greater social benefits. A complementarity index is also calculated, showing that PCI projects are generally weak competitors to each other.

Item Type:Article
Uncontrolled Keywords:Electricity market model, Cost-benefit analysis, Cross-border infrastructure, Welfare analysis, Europe
Subjects:Energy economy
ID Code:8474
Deposited By: MTMT SWORD
Deposited On:21 Aug 2023 13:08
Last Modified:21 Aug 2023 13:08

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