Market integration VS temporal granularity: How to provide needed flexibility resources?

Abstract

The aim of this paper is to study the implications of the decision of the French regulator to join the FCR Cooperation, a common platform for cross-border procurement of primary reserve. Two aspects will be analyzed: 1) cost of procurement and increase of social welfare by cross-border procurement and 2) implications for entry of new entrants like aggregators of Electric Vehicles. Our results are that joining the FCR Cooperation will impact negatively participation of aggregators and might not result to lower costs for procurement of reserve.