Econonomics of Energy and Environmental Policy

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Energy System Transition in the Nordic Market: Challenges for Transmission Regulation and Governance

Abstract:
The energy system in the Nordic countries faces changes driven by increasing integration with the rest of Europe and changes to the generation mix. These developments pose challenges with respect to future network development and operation. We focus on three major aspects: market integration; generation and network adequacy; the need for more flexibility and frequency control. We describe factors behind these problems and present possible solutions within the Nordic context. One conclusion is that supranational cooperation should be further improved.
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JEL Codes:L51: Economics of Regulation, L94: Electric Utilities, Q41: Energy: Demand and Supply; Prices


Keywords: transmission regulation, energy policy, market integration

DOI: 10.5547/2160-5890.7.1.agri


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Published in Volume 7, Number 1 of The Quarterly Journal of the IAEE's Energy Economics Education Foundation.


 

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