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The interdependence of electricity and natural gas markets is becoming a major topic in energy research. Integrated energy models are used to assist decision-making for businesses and policymakers addressing challenges of energy transition…

General Finance · Quantitative Finance 2020-09-11 Iegor Riepin , Thomas Möbius , Felix Müsgens

The energy transition is reshaping electricity systems, bringing new challenges, and emphasizing the need for strategic planning. Energy policies play a crucial role in guiding this transition. However, assessing their impacts often…

An increase in energy production from renewable energy sources is viewed as a crucial achievement in most industrialized countries. The higher variability of power production via renewables leads to a rise in ancillary service costs over…

General Finance · Quantitative Finance 2017-09-25 Mario Mureddu , Hildegard Meyer-Ortmanns

Reliable gas price forecasts are an essential information for gas and energy traders, for risk managers and also economists. However, ahead of the war in Ukraine Europe began to suffer from substantially increased and volatile gas prices…

Machine Learning · Computer Science 2024-07-25 Stephan Schlüter , Sven Pappert , Martin Neumann

Accurate electricity demand forecasting is crucial to meet energy security and efficiency, especially when relying on intermittent renewable energy sources. Recently, massive savings have been observed in Europe, following an unprecedented…

Applications · Statistics 2026-05-05 Nathan Doumèche , Yann Allioux , Yannig Goude , Stefania Rubrichi

Recent research finds that forecasting electricity prices is very relevant. In many applications, it might be interesting to predict daily electricity prices by using their own lags or renewable energy sources. However, the recent turmoil…

Statistical Finance · Quantitative Finance 2022-12-21 Claudia Foroni , Francesco Ravazzolo , Luca Rossini

The European Union's Carbon Border Adjustment Mechanism (CBAM) creates a complex challenge for the interconnected European electricity market. Traditional static analyses often miss the cross-border spillover effects that are vital for…

Machine Learning · Computer Science 2026-05-06 Jiachen Shen , Jian Shi , Dan Wang , Han Zhu

We examine the household-specific effects of the introduction of Time-of-Use (TOU) electricity pricing schemes. Using a causal forest (Athey and Imbens, 2016; Wager and Athey, 2018; Athey et al., 2019), we consider the association between…

General Economics · Economics 2019-10-17 Eoghan O'Neill , Melvyn Weeks

Energy system models for long-term planning are widely used to explore the future electricity system. Typically, to represent the future electricity demand in these models, historical demand profiles are used directly or scaled up linearly.…

Popular Physics · Physics 2021-10-14 Xiaoming Kan , Lina Reichenberg , Fredrik Hedenus

Global warming is one of the main threats to the future of humanity and extensive emissions of greenhouse gases are found to be the main cause of global temperature rise as well as climate change. During the last decades international…

General Economics · Economics 2021-05-13 Markus Schlott , Omar El Sayed , Mariia Bilousova , Fabian Hofmann , Alexander Kies , Horst Stöcker

We propose a new structural model that can compute the electricity spot and forward prices in two coupled markets with limited interconnection and multiple fuels. We choose a structural approach in order to represent some key…

Mathematical Finance · Quantitative Finance 2017-04-21 Clemence Alasseur , Olivier Feron

We analyse the drivers of European Power Exchange (EPEX) wholesale electricity prices between 2012 and early 2022 using machine learning. The agnostic random forest approach that we use is able to reduce in-sample root mean square errors…

General Economics · Economics 2022-09-01 Emanuel Kohlscheen , Richhild Moessner

Carbon prices are one of the most prominent methods to reduce global greenhouse gas emissions and have been adopted by several countries around the world. However, regionally different carbon prices can lead to carbon leakage. We…

Physics and Society · Physics 2022-02-15 Markus Schlott , Fabian Hofmann , Changlong Wang , R. O. Gomes , Alexander Kies

Energy policy in Europe has been driven by the three goals of security of supply, economic competitiveness and environmental sustainability, referred to as the energy trilemma. Although there are clear conflicts within the trilemma, member…

Econometrics · Economics 2018-02-22 Anthony D Stephens , David R Walwyn

Traditional electric energy markets do not explicitly model generator contingencies. To improve the representation of resources and to enhance the modeling of uncertainty, existing markets are moving in the direction of including generator…

Systems and Control · Electrical Eng. & Systems 2019-10-08 N. G. Singhal , J. Kwon , K. W. Hedman

Russia's attack on Ukraine on Thursday 24 February 2022 hitched financial markets and the increased geopolitical crisis. In this paper, we select some main economic indexes, such as Gold, Oil (WTI), NDAQ, and known currency which are…

Statistical Finance · Quantitative Finance 2022-03-04 Javad T. Firouzjaee , Pouriya Khaliliyan

A prominent media topic in the UK in the early 2020s is the energy crisis affecting the UK and most of Europe. It brings into a single public debate issues of energy dependency and sustainability, fair distribution of economic burdens and…

Computation and Language · Computer Science 2024-04-03 Rrubaa Panchendrarajan , Geri Popova , Tony Russell-Rose

Electricity accounts for 25% of global greenhouse gas emissions. Reducing emissions related to electricity consumption requires accurate measurements readily available to consumers, regulators and investors. In this case study, we propose a…

Physics and Society · Physics 2019-06-11 Bo Tranberg , Olivier Corradi , Bruno Lajoie , Thomas Gibon , Iain Staffell , Gorm Bruun Andresen

This paper addresses a gap in the current state of the art by providing a solution for modeling causal relationships that evolve over time and occur at different time scales. Specifically, we introduce the multiscale non-stationary directed…

Machine Learning · Computer Science 2023-11-21 Gabriele D'Acunto , Gianmarco De Francisci Morales , Paolo Bajardi , Francesco Bonchi

Electricity price forecasting (EPF) plays a major role for electricity companies as a fundamental entry for trading decisions or energy management operations. As electricity can not be stored, electricity prices are highly volatile which…

Applications · Statistics 2024-05-27 Grégoire Dutot , Margaux Zaffran , Olivier Féron , Yannig Goude