Electricity prices and public acceptance of renewable energy, in the face of the socio-technical transformation of the electricity system towards achieving Denmark climate ambitions in 2030
Translated title
Electricity prices and public acceptance of renewable energy, in the face of the socio-technical transformation of the electricity system towards achieving Denmarks climate ambitions in 2030
Author
Kock, Johan Edwin
Term
4. Term
Publication year
2024
Submitted on
2024-02-07
Pages
60
Abstract
Denmark has increased the share of renewables in its electricity supply. A key concern is how large-scale renewable deployment will affect future electricity prices, and how prices may shape public support for renewable projects. At the same time, the variable output of renewables makes it harder for the transmission system operator (TSO) to keep the grid balanced and stable. In response, the Danish TSO plans to allow small household solar PV units to participate in balancing markets, which help align supply and demand. This study examines the link between electricity prices and public acceptance of renewable energy, and the role society can play in the socio-technical transformation of the power sector, given Denmark’s goal of climate neutrality by 2050. The study has four parts: (1) problem identification, outlining Danish climate ambitions and strategy within a liberalized electricity market, (2) a review of methods for forecasting electricity prices, (3) an analysis of the relationship between electricity prices and public support for renewable development, and (4) modeling public participation in the balancing market.
Danmark har øget andelen af vedvarende energi i elforsyningen. En central bekymring er, hvordan en stor udbygning af vedvarende kilder vil påvirke fremtidige elpriser, og hvordan priserne kan påvirke den offentlige opbakning til udbygningen. Samtidig gør den svingende produktion fra vedvarende energi det vanskeligere for systemansvarlig (TSO) at holde nettet i balance og stabilt. Derfor planlægger den danske TSO at lade små solcelleanlæg i husstande deltage i balanceringsmarkederne, som hjælper med at matche forbrug og produktion. Formålet med studiet er at undersøge sammenhængen mellem elpriser og offentlig accept af vedvarende energi, samt hvilken rolle samfundet kan spille i den socio-tekniske omstilling af elsektoren i lyset af Danmarks mål om klimaneutralitet i 2050. Studiet er opdelt i fire dele: (1) problemidentifikation, der beskriver de danske klimaambitioner og strategien i en liberaliseret elmarkedskontekst, (2) en gennemgang af metoder til at forudsige elpriser, (3) en analyse af forholdet mellem elpriser og offentlig opbakning til vedvarende energi, og (4) modellering af offentlig deltagelse i balanceringsmarkedet.
[This apstract has been rewritten with the help of AI based on the project's original abstract]