Print Email Facebook Twitter Market Failures in Local Flexibility Market Proposals for Distribution Network Congestion Management Title Market Failures in Local Flexibility Market Proposals for Distribution Network Congestion Management Author Hennig, R.J. (TU Delft Energie and Industrie) Tindemans, Simon H. (TU Delft Intelligent Electrical Power Grids) De Vries, Laurens (TU Delft Energie and Industrie) Date 2022 Abstract The steady uptake of PV cells and high-power flexible loads such as electric vehicles (EVs) and heat pumps can lead to localized network congestion, if their power consumption or feed-in is not controlled well. One potential way that has been proposed to manage this congestion, are so-called Local Flexibility Markets. It is often argued, that these proposals are theoretically efficient, as they are market-based. However, some of these proposals may suffer from design flaws that allow market participants to obtain undue profits at the expense of the network operator. In this contribution, we discuss which kinds of market failures can occur based on theoretical reasoning and demonstrate them in a toy model. Based on this, we argue for a more careful consideration of congestion management options. To reference this document use: http://resolver.tudelft.nl/uuid:a4bf6019-7064-448e-b199-fbc109fd06da DOI https://doi.org/10.1109/EEM54602.2022.9920980 Publisher IEEE Embargo date 2023-03-20 ISBN 978-1-6654-0896-7 Source 18th International Conference on the European Energy Market, EEM 2022 Event European Energy Markets Conference 2022, 2022-09-13 → 2022-09-15, Ljubljana, Slovenia Series International Conference on the European Energy Market, EEM, 2165-4077, 2022-September Bibliographical note Green Open Access added to TU Delft Institutional Repository ‘You share, we take care!’ – Taverne project https://www.openaccess.nl/en/you-share-we-take-care Otherwise as indicated in the copyright section: the publisher is the copyright holder of this work and the author uses the Dutch legislation to make this work public. Part of collection Institutional Repository Document type conference paper Rights © 2022 R.J. Hennig, Simon H. Tindemans, Laurens De Vries Files PDF Market_Failures_in_Local_ ... gement.pdf 568.09 KB Close viewer /islandora/object/uuid:a4bf6019-7064-448e-b199-fbc109fd06da/datastream/OBJ/view