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  • Objectives

    The strategic objective of the project is to provide the Commission and the member states with coherent guidelines and recommendations to optimise the future nature of electricity provision and the electricity generation mix in Europe so as to guarantee a sustainable electricity supply system.

    A first concrete objective is to make a review of the current electricity provision and the regulatory framework in the EU-25 countries. Further objectives are to define a sustainability ramework, to figure out a reasonable evolution of demand of electricity and to make an analysis of electricity generation technology in order to optimise the electricity provision from a total social cost perspective. Though the horizon is 2030, a high degree of realism has to be ensured and the projected electricity system has to be compatible with the liberalised markets and guarantee a solid security of supply.

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  • Description of Work

    To realise the objectives a group of high-level energy scientists from all over Europe work together with the electric industry, and other stakeholders through a Consultative Committee. The project entails a major effort of reviewing and evaluating existing studies and publications, carefully complemented with the project participants own expertise and views.

    The methodology used mixes two directions of analysis. In a first (horizontal) one, the existing electricity systems of the 25 EU countries are analysed and national policy choices and future projections are studied. Next, vertically then, a subject-wise treatment is considered, whereby both the demand side as well as the supply side technologies and system integration are treated. Furthermore, the regulatory and liberalised market framework for an integrated European electricity market is carefully examined and appraised. Based on these analyses, it is then in a combined approach attempted to summarise the 'static' overall social cost (private cost plus external cost) for electricity generation. Subsequently, these cost figures are used as input in carefully screened simulation models in order to perform some well-defined and contrasting scenarios, but in line with the regulatory framework of the energy market. From these results, it must be possible to obtain the 'most optimal solution' (from an economic-effectiveness point of view -including environmental burdens) for the electricity provision in Europe.

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  • Expected Results

    The expected results draw conclusions on the possible future of electricity demand and supply in Europe, well embedded in a properly functioning liberalised electricity market. A possible most optimal mix for electricity generation, compatible with existing EU directives, regulation and guidelines, will emerge from the simulations. Clearly, by relaxing the boundary conditions, the results have a potential impact on EU legislation and policy in the energy field. The coordination and exchange of information amongst organisations from different member states, is an EU added value.

    A website, an international information seminar and well-readable documents serve to disseminate the progress and the final results of the project.

    Download the complete Description of Work: Link to pdf-file

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