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Europe’s Energy Transition by Manuel Welsch

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Chapter 17

Market Design Options for Promoting Low-Carbon Technologies

Rupert Hartel, Dogan Keles and Wolf Fichtner,    Karlsruhe Institute of Technology (KIT), Karlsruhe, Germany

Abstract

The increasing share of electricity production from renewables is achieved by political promotion strategies, which allot payments for renewables outside of the electricity market. Assuming a phase out of the existing promotion strategies, the question arises if other or additional market design options for promoting low-carbon technologies are necessary. In this chapter, an assessment of market design options is carried out based on the literature about design options that promote low-carbon technologies. The discussed options for altering the current market ...

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