The present project focuses on electricity market design to support a more efficient integration of renewable electricity (RES-E) into the pan-European electricity system, in line with the 2020 objectives and their follow up towards the forthcoming 2030 targets.
The present project would like to address the following question:
Can the current design of the liberalised European market for electricity, the Target Model (TM), provide sufficient investment incentives for RES post 2020?
The Market4RES anticipates that new market mechanisms are needed to complement the Target Model (TM) expected to be fully implemented by 2015 (including day-ahead price coupling, cross-borders intraday continuous trading and long-term cross-border capacity allocation with harmonized rules at European scale). The TM has significant strengths: It will help making the most of existing infrastructures at a European scale. However, crucial concerns remain about the suitability of existing instruments to trigger the new investments required to reach a progressive de-carbonization of the electricity sector in a cost-effective way, while ensuring system adequacy and security of supply.
