TY - JOUR
T1 - Expert survey on capacity markets in the US
T2 - Lessons for the EU
AU - Bhagwat, Pradyumna
AU - de Vries, Laurens
AU - Hobbs, B.F.
PY - 2016
Y1 - 2016
N2 - We present a survey of US capacity market experts with the purpose of drawing lessons for the EU. Of the respondents, 41% advised EU member states against implementing capacity markets, while the remaining were neutral or provided suggestions for improving capacity markets. Cross-border effects are currently not a concern but may become so in the future. Imports may dampen prices in a capacity market, but neighbouring markets may also experience pressure to implement a capacity market. The capacity markets in the USA were believed to have achieved their goals with respect to reliability, but in an economically inefficient manner.
AB - We present a survey of US capacity market experts with the purpose of drawing lessons for the EU. Of the respondents, 41% advised EU member states against implementing capacity markets, while the remaining were neutral or provided suggestions for improving capacity markets. Cross-border effects are currently not a concern but may become so in the future. Imports may dampen prices in a capacity market, but neighbouring markets may also experience pressure to implement a capacity market. The capacity markets in the USA were believed to have achieved their goals with respect to reliability, but in an economically inefficient manner.
U2 - 10.1016/j.jup.2015.11.005
DO - 10.1016/j.jup.2015.11.005
M3 - Article
SN - 0957-1787
VL - 38
SP - 11
EP - 17
JO - Utilities Policy: strategy, performance, regulation
JF - Utilities Policy: strategy, performance, regulation
ER -