The European Network of Transmission System Operators for Electricity (ENTSO-E) published a position paper on offshore wind development in October, where it advocated applying a holistic perspective when choosing the market design concept for integrating large amounts of offshore wind generation.
ENTSO-E considered three perspectives on market design:
- Market design efficiency – price formation to reflect true costs and market outcomes to reflect physical electricity flows.
- System operation efficiency – incentives for consumption and generation to have a balanced position and provide flexibility to the markets.
- Alignment with policy objectives.