In the media

Study shows additional power markets in Europe could lead utilities to “game” the market

Lion Hirth comments in Montel News on a study he co-authored for US energy markets association.

The study, a working paper published in the United States Association of Energy Economics journal, argues that additional markets to deal with bottlenecks in Europe would encourage the aggravation of grid congestion and pursuit of “windfall profits”.

Hirth cites the Californian case in the 1990s, when utilities withheld generation capacity in one market to inflate prices in another, as an example of what can happen.

Read the full article and interview in Montel News.

  • Lion Hirth , Assistant Professor of Governance of Digitalisation and Energy Policy