In the first lecture, we will talk about the many changes that are occurring in electricity markets with an emphasis on the expansion of renewables with stronger climate policies and cheaper costs.
In the practical session, we will get familiar with a dataset of electricity market hourly data, and analyze the impact that wind is having on this market.
Slides: day1.pdf
We will start the practicum with a short tutorial on Julia. The exercise will be based on the paper by Petersen, Reguant, and Segura (2021). Reading the paper in advance is encouraged.
Exercise file: julia_tutorial.ipynb day1.ipynb
Data file: data_spain.csv
❗ Save the exercise Julia file (.ipynb) and the data CSV file in the same folder. Then, open the exercise Julia file from Jupyter Notebooks to start exploring. Note that the .pdf file provides a snapshot of the exercise. It does not require any installation but it will not allow interactions.
Abrell, J., Kosch, M., & Rausch, S. (2019). Carbon abatement with renewables: Evaluating wind and solar subsidies in Germany and Spain. Journal of Public Economics, 169, 172–202. https://doi.org/10.1016/j.jpubeco.2018.11.007
Bushnell, J., & Novan, K. (2021). Setting with the Sun: The Impacts of Renewable Energy on Conventional Generation. Journal of the Association of Environmental and Resource Economists, 8(4), 759–796. https://doi.org/10.1086/713249
Cullen, J. (2013). Measuring the environmental benefits of wind-generated electricity. American Economic Journal: Economic Policy, 5(4), 107–133. https://doi.org/10.1257/pol.5.4.107
Gowrisankaran, G., Reynolds, S. S., & Samano, M. (2016). Intermittency and the value of renewable energy. Journal of Political Economy, 124(4), 1187–1234. https://doi.org/10.1086/686733
Joskow, P. L. (2019). Challenges for wholesale electricity markets with intermittent renewable generation at scale: the US experience. Oxford Review of Economic Policy, 35(2), 291–331. https://doi.org/10.1093/OXREP/GRZ001
Liski, M., & Vehviläinen, I. (2020). Gone with the Wind? An Empirical Analysis of the Equilibrium Impact of Renewable Energy. Journal of the Association of Environmental and Resource Economists, 7(5), 873–900. https://doi.org/10.1086/709648
Novan, K. (2015). Valuing the Wind: Renewable Energy Policies and Air Pollution Avoided. American Economic Journal: Economic Policy, 7(3), 291–326. https://doi.org/10.1257/pol.20130268
Petersen, C., Reguant, M. & Segura, L. (2021) Measuring the Impact of Wind Power: Output- vs. Capacity-based Subsidies. Work in progress