We study the impact of renewable energy on forward markets for electricity. Previous literature shows that forward prices are determined by time-varying demand and volatile spot prices. We introduce supply risk from renewable generation and find that stochastic renewable output mitigates income risk for generating firms, in particular when negative shocks to renewable output have large positive price ...
As a result of the Russian attack on Ukraine, natural gas prices skyrocketed in 2022 and Germany in particular felt the impact of its strong dependency on Russia. Prices have since relaxed, the European natural gas industry has overcome the uncertainty due to the energy crisis in 2022, and the industry also survived the slump in Russian natural gas imports without supply interruptions. However, Russia ...
Driven by the motivation to raise the ambition level of climate action and to foster the transformation of economies, current climate policy discourse revolves around ways to improve cooperation between industrialized countries and emerging economies. We identify three broad types of initiatives—multilateral-cross sectoral, multilateral, sector specific, and climate and development partnerships—and ...
The pace of thermal retrofit of buildings in Germany remains slow. A Worst-First approach, prioritizing the retrofit of inefficient buildings, would address energy- and social policy objectives and deliver economic and climate benefits. Data from the German Socio-Economic Panel (SOEP) show how such an approach would protect especially low-income households often living in very inefficient buildings ...
Die energetische Sanierung von Gebäuden verläuft in Deutschland weiterhin schleppend. Dabei hat eine Sanierungsstrategie, bei der sehr ineffiziente Gebäude zuerst saniert werden, energie- und sozialpolitische sowie wirtschaftliche und klimapolitische Vorteile. Auf Grundlage von Daten des Sozio-ökonomischen Panels (SOEP) zeigt sich, dass vor allem einkommensschwache Haushalte gegen soziale Härten abgesichert ...