On Distributional Effects in Local Electricity Market Designs—Evidence from a German Case Study

dc.contributor.authorLüth, Alexandra
dc.contributor.authorWeibezahn, Jens
dc.contributor.authorZepter, Jan Martin
dc.date.accessioned2020-06-17T11:22:34Z
dc.date.available2020-06-17T11:22:34Z
dc.date.issued2020-04-17
dc.date.updated2020-05-06T02:58:08Z
dc.description.abstractThe European Commission’s call for energy communities has motivated academia to focus research on design and trading concepts of local electricity markets. The literature provides a wide range of conceptual ideas and analyses on the technical and economic framework of single market features such as peer-to-peer trading. The feasible, system-wide integration of energy communities into existing market structures requires, however, a set of legal adjustments to national regulation. In this paper, we test the implications of recently proposed market designs under the current rules in the context of the German market. The analysis is facilitated by a simplistic equilibrium model representing heterogeneous market participants in an energy community with their respective objectives. We find that, on the one hand, these proposed designs are financially unattractive to prosumers and consumers under the current regulatory framework. On the other hand, they even cause distributional effects within the community when local trade and self-consumption are exempt from taxes. To this end, we introduce a novel market design—Tech4all—that counterbalances these effects. With only few legal amendments, it allows for ownership and participation of renewable technologies for all community members independent of their property structure and affluence. Our presented analysis shows that this design has the potential to mitigate both distributional effects and the avoidance of system service charges, while simultaneously increasing end-user participation.en
dc.description.sponsorshipDFG, 414044773, Open Access Publizieren 2019 - 2020 / Technische Universität Berlinde
dc.identifier.eissn1996-1073
dc.identifier.urihttps://depositonce.tu-berlin.de/handle/11303/11431
dc.identifier.urihttp://dx.doi.org/10.14279/depositonce-10312
dc.language.isoenen
dc.relation.ispartof10.14279/depositonce-10400en
dc.rights.urihttps://creativecommons.org/licenses/by/4.0/en
dc.subject.ddc330 Wirtschaftde
dc.subject.othermixed complementarity problemen
dc.subject.otherenergy communitiesen
dc.subject.otherdistributional effectsen
dc.subject.otherelectricity market designen
dc.subject.otherpeer-to-peer tradingen
dc.subject.otherlocal energy sharingen
dc.subject.otherMCPen
dc.titleOn Distributional Effects in Local Electricity Market Designs—Evidence from a German Case Studyen
dc.typeArticleen
dc.type.versionpublishedVersionen
dcterms.bibliographicCitation.articlenumber1993en
dcterms.bibliographicCitation.doi10.3390/en13081993en
dcterms.bibliographicCitation.issue8en
dcterms.bibliographicCitation.journaltitleEnergiesen
dcterms.bibliographicCitation.originalpublishernameMDPIen
dcterms.bibliographicCitation.originalpublisherplaceBaselen
dcterms.bibliographicCitation.volume13en
tub.accessrights.dnbfreeen
tub.affiliationFak. 7 Wirtschaft und Management::Inst. Volkswirtschaftslehre und Wirtschaftsrecht (IVWR)::FG Wirtschafts- und Infrastrukturpolitik (WIP)de
tub.affiliation.facultyFak. 7 Wirtschaft und Managementde
tub.affiliation.groupFG Wirtschafts- und Infrastrukturpolitik (WIP)de
tub.affiliation.instituteInst. Volkswirtschaftslehre und Wirtschaftsrecht (IVWR)de
tub.publisher.universityorinstitutionTechnische Universität Berlinen

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