Spot Prices Modeling Changes on the Wholesale Electricity Market in Russia with the Introduction of Carbon Payments as an Economic Incentive for the Power Industry Decarbonization

Abstract

The article looks at the scale of changes in the electricity spot price at the wholesale market due to the application of carbon payments as an economic incentive for the power generation low-carbon restructuring. The carbon payments impact on the production costs and inter-fuel competition is also evaluated. Dispatching model was used as a spot market simulator to evaluate hourly and seasonal supply curve profile deviations and spot prices.