IDEAS home Printed from https://ideas.repec.org/a/eee/rensus/v191y2024ics1364032123010377.html
   My bibliography  Save this article

Methodology to assess prosumer participation in European electricity markets

Author

Listed:
  • Rodríguez-Vilches, Rubén
  • Martín-Martínez, Francisco
  • Sánchez-Miralles, Álvaro
  • Gutiérrez de la Cámara, Javier Rodrigo
  • Muñoz Delgado, Sergio

Abstract

The emergence of distributed generation and the electrification of demand have opened the possibility for prosumers to participate in electricity markets, receiving economic benefits on their bills and contributing to the reduction of carbon emissions, aligning with United Nations Sustainable Development Goal 7. Consumers and prosumers can participate through implicit and explicit demand flexibility and (collective) self-consumption. This study analyses the potential markets in which prosumers can participate and indicates whether these are currently open. The markets studied include day-ahead, intraday, ancillary services, adequacy services, constraint management, and local flexibility markets. Additionally, collective self-consumption is analysed as a service through which prosumers can participate in the electricity market. Previous studies are usually focused on a single market or in a single country, making impossible a complete comparison. This analysis has been done in Spain, Italy, Croatia, and the United Kingdom as representative countries to obtain a methodology to assess countries' openness to prosumer participation in electricity markets, comparing regulatory frameworks and assigning scores based on their prosumer inclusion across various markets. This work updates current literature reviews with the changes and a new description of local market designs in Spain. This methodology can be used to compare other countries' grade of openness. The results of this study show that the analysed countries can be categorised into three groups: almost open, partially open, and closed markets. Analysing the differences, recommendations on the following steps to foster user participation are suggested for each group.

Suggested Citation

  • Rodríguez-Vilches, Rubén & Martín-Martínez, Francisco & Sánchez-Miralles, Álvaro & Gutiérrez de la Cámara, Javier Rodrigo & Muñoz Delgado, Sergio, 2024. "Methodology to assess prosumer participation in European electricity markets," Renewable and Sustainable Energy Reviews, Elsevier, vol. 191(C).
  • Handle: RePEc:eee:rensus:v:191:y:2024:i:c:s1364032123010377
    DOI: 10.1016/j.rser.2023.114179
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1364032123010377
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.rser.2023.114179?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Ioannidis, Filippos & Kosmidou, Kyriaki & Makridou, Georgia & Andriosopoulos, Kostas, 2019. "Market design of an energy exchange: The case of Greece," Energy Policy, Elsevier, vol. 133(C).
    2. Dorian Frieden & Andreas Tuerk & Ana Rita Antunes & Vasilakis Athanasios & Alexandros-Georgios Chronis & Stanislas d’Herbemont & Mislav Kirac & Rita Marouço & Camilla Neumann & Esteban Pastor Catalayu, 2021. "Are We on the Right Track? Collective Self-Consumption and Energy Communities in the European Union," Sustainability, MDPI, vol. 13(22), pages 1-26, November.
    3. Barbero, Mattia & Corchero, Cristina & Canals Casals, Lluc & Igualada, Lucia & Heredia, F.-Javier, 2020. "Critical evaluation of European balancing markets to enable the participation of Demand Aggregators," Applied Energy, Elsevier, vol. 264(C).
    4. Calvillo, C.F. & Sánchez-Miralles, A. & Villar, J. & Martín, F., 2016. "Optimal planning and operation of aggregated distributed energy resources with market participation," Applied Energy, Elsevier, vol. 182(C), pages 340-357.
    5. Kühnbach, Matthias & Bekk, Anke & Weidlich, Anke, 2022. "Towards improved prosumer participation: Electricity trading in local markets," Energy, Elsevier, vol. 239(PE).
    6. Li, Songrui & Zhang, Lihui & Nie, Lei & Wang, Jianing, 2022. "Trading strategy and benefit optimization of load aggregators in integrated energy systems considering integrated demand response: A hierarchical Stackelberg game," Energy, Elsevier, vol. 249(C).
    7. Burger, Scott & Chaves-Ávila, Jose Pablo & Batlle, Carlos & Pérez-Arriaga, Ignacio J., 2017. "A review of the value of aggregators in electricity systems," Renewable and Sustainable Energy Reviews, Elsevier, vol. 77(C), pages 395-405.
    8. Mateo Beus & Ivan Pavić & Ivona Štritof & Tomislav Capuder & Hrvoje Pandžić, 2018. "Electricity Market Design in Croatia within the European Electricity Market—Recommendations for Further Development," Energies, MDPI, vol. 11(2), pages 1-20, February.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lago, Jesus & Poplavskaya, Ksenia & Suryanarayana, Gowri & De Schutter, Bart, 2021. "A market framework for grid balancing support through imbalances trading," Renewable and Sustainable Energy Reviews, Elsevier, vol. 137(C).
    2. Lu, Xiaoxing & Li, Kangping & Xu, Hanchen & Wang, Fei & Zhou, Zhenyu & Zhang, Yagang, 2020. "Fundamentals and business model for resource aggregator of demand response in electricity markets," Energy, Elsevier, vol. 204(C).
    3. Zorana Božić & Dušan Dobromirov & Jovana Arsić & Mladen Radišić & Beata Ślusarczyk, 2020. "Power Exchange Prices: Comparison of Volatility in European Markets," Energies, MDPI, vol. 13(21), pages 1-15, October.
    4. Jemma J. Makrygiorgou & Christos-Spyridon Karavas & Christos Dikaiakos & Ioannis P. Moraitis, 2023. "The Electricity Market in Greece: Current Status, Identified Challenges, and Arranged Reforms," Sustainability, MDPI, vol. 15(4), pages 1-40, February.
    5. Pinto, Edwin S. & Gronier, Timothé & Franquet, Erwin & Serra, Luis M., 2023. "Opportunities and economic assessment for a third-party delivering electricity, heat and cold to residential buildings," Energy, Elsevier, vol. 272(C).
    6. Castagneto Gissey, Giorgio & Subkhankulova, Dina & Dodds, Paul E. & Barrett, Mark, 2019. "Value of energy storage aggregation to the electricity system," Energy Policy, Elsevier, vol. 128(C), pages 685-696.
    7. Adrian Tantau & András Puskás-Tompos & Laurentiu Fratila & Costel Stanciu, 2021. "Acceptance of Demand Response and Aggregators as a Solution to Optimize the Relation between Energy Producers and Consumers in order to Increase the Amount of Renewable Energy in the Grid," Energies, MDPI, vol. 14(12), pages 1-19, June.
    8. Javier Rodríguez-García & David Ribó-Pérez & Carlos Álvarez-Bel & Elisa Peñalvo-López, 2019. "Novel Conceptual Architecture for the Next-Generation Electricity Markets to Enhance a Large Penetration of Renewable Energy," Energies, MDPI, vol. 12(13), pages 1-23, July.
    9. Fan, Wei & Tan, Zhongfu & Li, Fanqi & Zhang, Amin & Ju, Liwei & Wang, Yuwei & De, Gejirifu, 2023. "A two-stage optimal scheduling model of integrated energy system based on CVaR theory implementing integrated demand response," Energy, Elsevier, vol. 263(PC).
    10. Rancilio, G. & Rossi, A. & Falabretti, D. & Galliani, A. & Merlo, M., 2022. "Ancillary services markets in europe: Evolution and regulatory trade-offs," Renewable and Sustainable Energy Reviews, Elsevier, vol. 154(C).
    11. Moura, Ricardo & Brito, Miguel Centeno, 2019. "Prosumer aggregation policies, country experience and business models," Energy Policy, Elsevier, vol. 132(C), pages 820-830.
    12. Chen, Ting & Vandendriessche, Frederik, 2023. "Enabling independent flexibility service providers to participate in electricity markets: A legal analysis of the Belgium case," Utilities Policy, Elsevier, vol. 81(C).
    13. Anvari-Moghaddam, Amjad & Rahimi-Kian, Ashkan & Mirian, Maryam S. & Guerrero, Josep M., 2017. "A multi-agent based energy management solution for integrated buildings and microgrid system," Applied Energy, Elsevier, vol. 203(C), pages 41-56.
    14. Tomasi, Silvia, 2022. "The (Non) impact of the Spanish “Tax on the Sun” on photovoltaics prosumers uptake," Energy Policy, Elsevier, vol. 168(C).
    15. Han, Fengwu & Zeng, Jianfeng & Lin, Junjie & Zhao, Yunlong & Gao, Chong, 2023. "A stochastic hierarchical optimization and revenue allocation approach for multi-regional integrated energy systems based on cooperative games," Applied Energy, Elsevier, vol. 350(C).
    16. Jingpeng Yue & Zhijian Hu & Amjad Anvari-Moghaddam & Josep M. Guerrero, 2019. "A Multi-Market-Driven Approach to Energy Scheduling of Smart Microgrids in Distribution Networks," Sustainability, MDPI, vol. 11(2), pages 1-16, January.
    17. Yang, Yuyan & Xu, Xiao & Pan, Li & Liu, Junyong & Liu, Jichun & Hu, Weihao, 2024. "Distributed prosumer trading in the electricity and carbon markets considering user utility," Renewable Energy, Elsevier, vol. 228(C).
    18. Carmine Cancro & Camelia Delcea & Salvatore Fabozzi & Gabriella Ferruzzi & Giorgio Graditi & Valeria Palladino & Maria Valenti, 2022. "A Profitability Analysis for an Aggregator in the Ancillary Services Market: An Italian Case Study," Energies, MDPI, vol. 15(9), pages 1-26, April.
    19. Ioanna-M. Chatzigeorgiou & Christos Diou & Kyriakos C. Chatzidimitriou & Georgios T. Andreou, 2021. "Demand Response Alert Service Based on Appliance Modeling," Energies, MDPI, vol. 14(10), pages 1-15, May.
    20. Pearson, Simon & Wellnitz, Sonja & Crespo del Granado, Pedro & Hashemipour, Naser, 2022. "The value of TSO-DSO coordination in re-dispatch with flexible decentralized energy sources: Insights for Germany in 2030," Applied Energy, Elsevier, vol. 326(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:rensus:v:191:y:2024:i:c:s1364032123010377. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/600126/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.