Print Email Facebook Twitter The effectiveness of a strategic reserve in the presence of a high portfolio share of renewable energy sources Title The effectiveness of a strategic reserve in the presence of a high portfolio share of renewable energy sources Author Bhagwat, P.C. (TU Delft Energie and Industrie) Richstein, J.C. (TU Delft Energie and Industrie) Chappin, E.J.L. (TU Delft Energie and Industrie) De Vries, Laurens (TU Delft Energie and Industrie) Date 2016 Abstract To ensure sufficient investment in electricity generation capacity, mechanisms such as strategic reserves are being considered or already implemented. We analyze the effectiveness of a strategic reserve in the presence of a growing portfolio share of renewable energy sources (RES) with EMLab-Generation, an agent-based electricity market model. A strategic reserve can stabilize investment, but within limits. Uncertainty regarding future demand may cause the market to become instable, potentially leading to periods with very high electricity prices. In the presence of a large share of variable renewable energy sources, the reserve design should be adjusted or replaced by an alternative capacity mechanism. Subject Agent-based modelingCapacity mechanismsStrategic reserve To reference this document use: http://resolver.tudelft.nl/uuid:87d25d1d-ccdf-478f-b664-cb539da4f1d1 DOI https://doi.org/10.1016/j.jup.2016.01.006 ISSN 0957-1787 Source Utilities Policy: strategy, performance, regulation, 39, 13-28 Part of collection Institutional Repository Document type journal article Rights © 2016 P.C. Bhagwat, J.C. Richstein, E.J.L. Chappin, Laurens De Vries Files PDF 1_s2.0_S0957178716300169.pdf 2.11 MB Close viewer /islandora/object/uuid:87d25d1d-ccdf-478f-b664-cb539da4f1d1/datastream/OBJ/view