Which electricity market design to encourage the development of demand response?

Article English OPEN
Rious, Vincent; Perez, Yannick; Roques, Fabien;
  • Publisher: Elsevier B.V
  • Identifiers: doi: 10.1016/j.eap.2015.11.006
  • Subject: [SHS.ECO]Humanities and Social Sciences/Economics and Finance | Capacity Market | Market Design | Demand Response

International audience; Demand response is a cornerstone problem in electricity markets under climate change constraints. Most liberalized electricity markets have a poor track record at encouraging the deployment of smart meters and the development of demand response. ... View more
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    3.2 The  need  to  remunerate  a  demand  response  program  for  its  availability   Figure  3  -­‐  Comparison  between  the  minimum  annualised  investment  cost  of  a  demand  response   program  and  its  annual  revenue  from  the  arbitrage  between  the  day-­‐ahead  and  real  time  markets   between  2003  and  2011    

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