Project references
We are proud of the 130+ projects we have delivered since 2014. They range from big public sector consulting projects spanning several years with multimillion euro budgets and several partners all the way to short-term advisory delivered in a matter of weeks. These are our recently published reports and all our project references:
Recent reports
Marginal pricing
Eurelectric · 2026
Regulation of large-scale batteries
ECO STOR · 2026
Regional wholesale prices
Enercity · 2026
Management premium
SFOE · 2025
Dynamic retail tariff
Naturstrom · 2025
Grid impact of batteries
multi client · 2026
Ongoing
Negative price compensation (EZK). The Dutch economics ministry EZK seeks a support mechanism to hedge renewables against increasingly frequent negative price periods. We compare two support options, a separate capacity payment and an adjusted energy payment, and recommend the latter. We also assess the compensation level, the intraday treatment, and the impact on financing.
Dynamic grid tariff pilot (dena). In this pilot, with FfE and UnternehmerTUM, we develop a data-driven framework for dynamic grid tariffs that turns congestion into targeted price signals. We analyze load and price data, examine how price signals affect consumption, assess implications for flexibility business models, and run a field test with load control via smart meter gateways. Website.
Grid-friendly storage (multi client). Germany plans dynamic grid tariffs for battery storage by the early 2030s. For Enspired, E.ON, EWE, and Green Flexibility, Neon, as a subcontractor to UnternehmerTUM, develops the methodology, translating local congestion into time- and location-specific price signals and testing calculation approaches and aggregation levels on real data.
Dynamic grid charges (EWE). Germany is redesigning its grid tariff system. As flexible assets increasingly optimize against spot prices, synchronization effects create new peaks in voltage-constrained grids. For grid operator EWE NETZ, Neon examines which of these problems time-variable or dynamic tariffs can address and simulates their effects on load, revenues, and cost allocation.
EE support scheme (BMWE). Germany is shifting its renewables support toward contracts for difference, requiring a redesign of the support framework. With our partners Guidehouse, Consentec, and Fraunhofer ISI, we provide conceptual advice on topics such as production-independent support and the treatment of negative prices, and quantify future support costs.
Swiss–EU agreement (Swissgrid). Switzerland and the EU have proposed an agreement to integrate their electricity markets more deeply. In this Consentec-led study, we assess what it would mean for system security, market efficiency, and regulation, giving Swissgrid a fact-based foundation for the debate. The work centers on balancing market integration.
Grid tariff reform (Creos). Luxembourg’s power system is changing fast, requiring a reform of grid tariffs for medium- and high-voltage customers by 2027. The process involves grid operator Creos, distribution operators, the regulator, and the government. Neon supports it by structuring the reform, engaging stakeholders, assessing tariff options, and drawing lessons from other countries.
Locational signals (BMWE). Locational signals are essential to integrate the growing number of flexible consumers efficiently and to limit rising grid investment. They can come from spatially differentiated wholesale markets, grid tariffs, or investment mechanisms such as the EEG and a capacity market. For the German government, we develop and evaluate such instruments with Consentec.
Progress report solar (BMWE). In this ZSW-led project with Bosch & Partner, we write the current edition of the German government’s regular progress report on solar energy, assessing the impact of dynamic tariffs and dynamic grid fees on small-scale solar. Dynamic tariffs set the financial value of solar power for prosumers.
Electricity strategy (BMWE). Transforming the power system toward climate neutrality requires a coherent overall strategy. Germany’s economics ministry engaged us to support the development and implementation of the overall strategy for transforming and decarbonizing the country’s electricity supply, including energy system questions and the overarching policy mix.
Electricity grid planning (BMWE). With structural congestion and planned grid investments of some €600 billion, grid financing ranks high on Germany’s energy policy agenda. This large project, led by Consentec, supports the German government on network expansion planning; we advise on grid financing, cross-border cost sharing (CBCA), and network charge reforms.
Demand-side flexibility (BMWE). Everyone supports demand-side flexibility, but it hasn’t taken off. A crucial reason is a variety of regulatory hurdles, from the (lack of) smart meters to peak demand network charges. With Fraunhofer IEG, Prof. Alexander Sauer, En2Flex, and AssmannPeiffer, we support the ministry and prepare a flexibility agenda.
EU electricity market design (BMWE). European legislation shapes electricity markets, and more change is coming. This Consentec-led project provides support and advice for Germany’s energy ministry in upcoming EU electricity market negotiations, from support schemes to grid fees and capacity mechanisms. The goal: the cornerstones of a decarbonized EU electricity market.
2026
Costs of transformers (Thyssenkrupp). The EU shields domestic makers of transformer steel through anti-dumping duties, and further trade measures are under discussion amid rising imports. For steelmaker Thyssenkrupp, we quantified how rising costs of transformer core steel would feed through to grid costs and tariffs for European electricity consumers.
Grid impact of BESS (investor). Very large battery storage projects connect directly to the transmission grid, where their impact on congestion and system operation shapes connection terms. For a storage investor, we simulate the grid impact of a very large stand-alone, TSO-connected BESS project.
Subsidies for co-located BESS (MECO). Luxembourg’s economy ministry MECO is considering support for utility-scale batteries sharing a grid connection with PV plants. Using our BESS optimization model, we quantified BESS revenues under a wide range of parameters and scenarios and assessed subsidy options, delivering a spreadsheet and an interactive dashboard for the ministry.
Solar bonus (Green Party). A novel proposal would provide German residential consumers with a block of electricity free of charge. For the Green parliamentary group in the Bundestag, we assessed the proposal’s design and its economic effects.
Injection charges for offshore wind (BWO). Germany’s regulator plans to charge generators for grid costs from 2029, aiming to relieve consumers and incentivize grid-friendly behavior. For the offshore wind association BWO, we find neither is met: as the state largely sets sites, connections, and capacity, the charge cannot steer behavior and raises CfD bids, burdening the federal budget.
Industrial grid fees (Aurubis). Building on Model C of Germany’s network regulator, we develop a proposal to reform industrial grid fee discounts. We identify grid operators’ needs, analyze the flexible processes of copper producer Aurubis, and specify key design parameters such as lead times and intervention frequency, keeping the grid benefit at the center.
BESS grid fees & FCAs (project developer). German grid operators restrict the dispatch of batteries through flexible connection agreements. For a battery project developer, we analyzed the project-specific economic impact of balancing limits, schedule freezes, ramp rate limits, and grid fees.
BESS grid fees & FCAs (project developer). Grid operators in Germany increasingly use flexible connection agreements to manage the grid impact of battery storage. For another battery developer, we assessed the project-specific financial effects of grid fees and connection restrictions.
Flexibility (industrial company). For an industrial company, we assessed the potential to market its flexibility, with a focus on balancing services. We reviewed the technical and regulatory requirements, ran a workshop on the fundamentals of balancing energy and prequalification, and identified concrete options for commercialization.
Biomethane (project developer). As the 20-year EEG support for biogas expires, plants need new ways to fit the changing energy system. For a biogas project developer, we assessed the value of converting baseload plants into biomethane peakers via compressed biogas and injection hubs, weighing benefits for power and heat markets, the grid, firm capacity, and flexibility.
Grid impact of BESS (battery developer). Battery developers often struggle in grid connection talks, facing uncertainty over the interventions and restrictions flexible connection agreements may impose on revenues. To support a battery developer in a more constructive dialogue with system operators, we assess the expected grid impact of its BESS on the 110 kV network in Brandenburg.
Marginal pricing (Eurelectric). The debate about marginal pricing and the “merit order” has flared up again, with policymakers proposing wholesale interventions echoing the “Iberian Mechanism.” For the industry association Eurelectric, we produced a short study benchmarking prices against other markets, explaining marginal pricing, and debunking key merit-order misconceptions. Report.
Austrian electricity market design (multi client). The rapid transformation of the power system keeps raising new market design questions. For Austrian renewable energy associations, we ran workshops on current topics in electricity market design, such as system-friendly operation and capacity markets. 2025–26.
Regulation of large-scale batteries (ECO STOR). Battery optimization is becoming increasingly constrained by flexible connection agreements and grid fees. For battery developer ECO STOR, we are developing a coherent set of incentives, rules, and restrictions for batteries that minimizes adverse grid impacts while preserving their value for balancing and wholesale markets. Report.
DataFlex (TSOs). Germany manages grid congestion through mandatory, cost-compensated redispatch, but fair compensation for flexible demand is hard to determine. Market-based redispatch is an alternative but invites baseline manipulation and inc-dec gaming. With Consentec, we help two German TSOs refine the auction and compensation rules and prepare deployment. 2025–26.
Grid impact of thermal storage (industrial company). Heat batteries turn variable renewable power into steady industrial heat, but grid tariffs favor baseload profiles and discourage flexible operation. We supported a heat battery provider in Germany’s grid fee reform consultation, showing that flexible demand offers both grid and customer cost advantages over baseload. 2025–26.
Synchronizing renewables with grids (dena). Germany’s rapid renewable expansion is driving up network costs. For the German Energy Agency dena, with Consentec, we design and evaluate policy options internalizing these costs and support the government’s goal of synchronizing renewable deployment with grid expansion without slowing the energy transition. 2025–26.
Renewables support scheme (BMWE). Germany needs to reform its support scheme by January 2027. A particular concern is undistorted dispatch incentives for wind and solar energy. Along with our partners Guidehouse, Consentec, Fraunhofer ISI, and Becker Büttner Held, we provide the ministry with assessment and advice on various proposed reforms. Options include two-sided CfDs. 2024–26.
Capacity market (BMWE). After a political decision to introduce a capacity market, this multi-year project develops such a market for Germany’s economics ministry. It examines options from a hedging obligation to a central capacity market. Consentec coordinates the overall project with r2b and Öko-Institut; we lead the work on hedging obligations. 2024–26.
2025
Congestion management review (ENTSO-E). With the rise of wind and solar energy, batteries, and electrification, grid congestion is a growing challenge for many TSOs. ENTSO-E’s report provides a comprehensive summary and evaluation of solutions for congestion management and system operation. We reviewed and discussed the study with TSO representatives from 20 European countries.
EV flexibility (industrial company). On behalf of a German car manufacturer, we examined structural barriers to marketing flexibility and the role OEMs may play in the flexibility ecosystem. We showed that gaps in digital infrastructure, unclear responsibilities, and weak incentives for grid operators prevent EVs from providing flexibility, giving the company a strategic compass.
Electricity procurement costs (industrial company). Wholesale prices, subsidies, and grid tariffs are critical for electrification investments in energy-intensive industries. For a major European energy consumer, we provided technical and regulatory expertise for a planned billion-euro investment.
Regional wholesale prices (Enercity). Few energy policy questions are debated so fiercely as the split of the German bidding zone: the wholesale market is blind to grid congestion, leading to inefficient dispatch, costly redispatch, and distorted cross-border trade. For the utility Enercity, we delivered a study on the pros and cons of uniform, zonal, and nodal pricing. Report.
Smart charging & V2G analysis (Enercity). For the German utility Enercity, we assessed decentralized flexibility with a focus on smart charging and vehicle-to-grid. We analyzed how market and grid signals shape flexibility use and evaluated smart bidirectional charging strategies for vehicle fleets, providing a clear basis for internal strategy and communication.
Management premium (SFOE). Switzerland’s move to a single-price imbalance settlement in 2026 requires updating the management fee methodology for renewables. For the Swiss Federal Office of Energy, we analyzed the current approach and developed a transparent formula reflecting balancing costs under the new market design. Report.
Dynamic retail tariff (Naturstrom). German utilities with more than 200,000 customers must offer a dynamic retail tariff, but only a few households have adopted such tariffs. For Naturstrom, one of the ten largest German utilities, we analyzed which household types benefit from dynamic tariffs and quantified the potential to unlock household flexibility. Report.
Balancing energy auctions (ElCom). Since the introduction of the PICASSO-compatible bidding process, Switzerland has seen a sharp increase in balancing prices. For the Swiss regulator ElCom, with Takon and ZEW, we analyzed the causes of the price rise, evaluated the current market design, and developed concrete proposals to improve the Swiss balancing market.
Grid impact of batteries (multi client). The expansion of utility-scale batteries in Germany faces strong opposition, driven by concerns about their impact on the grid. For a consortium of five battery developers, with Consentec, we outlined the welfare benefits that batteries provide to the power system and proposed guidelines for instruments that improve their grid impact. Report.
Flexibility roadmap (utility). With the rise of EVs and batteries, electricity consumers are becoming far more flexible, so load shifting is now less about technical capability than about the right incentives, with major implications for the utility business model. We support a leading European utility in developing a comprehensive flexibility roadmap.
Price spikes (50Hertz). Episodes of extremely high power prices have raised concerns about capacity withholding. For TSO 50Hertz, we evaluated the economic causes of extreme prices, including whether plant operators withheld capacity to artificially inflate them, and developed practical recommendations to prevent future price spikes and mitigate their effects on consumers. Report.
Offshore energy island (project developer). Germany has ambitious offshore wind targets that require costly grid expansion. For a large project developer, we assessed whether a hybrid hydrogen/electrical connection of North Sea wind can reduce system costs.
REMIT (court). We prepared an expert witness report on behalf of a court in an ongoing REMIT-related lawsuit involving alleged market manipulation in the allocation and use of transmission rights.
Grids & Benefits (UnternehmerTUM). Grids & Benefits is a pilot implementing dynamic grid fees together with TSOs, DSOs, and aggregators. Granular fees were published day-ahead and used for grid-friendly load shifting, yielding strong evidence of their impact on low-voltage consumption. For UnternehmerTUM, Neon led stakeholder management, quantitative analysis, and communication.
Flexibility (utility). Power system flexibility is a cross-cutting issue for utilities, network operators, and providers of decentralized power services. We assisted an integrated utility in consolidating flex-related activities across all units of the holding.
Grid fees for BESS (ECO STOR). Concerns about grid congestion are the main reason grid operators are hesitant to connect utility-scale batteries. With battery developer ECO STOR, we quantified the congestion impact of two sites in the German grid. The result: dynamic grid fees reduce congestion without undermining the batteries’ business case. Report.
REMIT (utility). REMIT prohibits market manipulation and insider trading in wholesale energy markets. On behalf of a European power plant operator, we prepared an expert witness report in a REMIT-related market manipulation case concerning the balancing market.
Electricity surplus (trading house). Rapid renewables growth with insufficient curtailment raises the probability that the day-ahead market fails to clear — the case when supply exceeds demand even at −500 €/MWh. For a trading house, we developed a model forecasting the probability of such events.
Scheduling process (TSOs). Market parties have to submit a schedule to their connecting TSO, forecasting generation and consumption. However, they often have an incentive to submit a biased forecast. For the German TSOs, we evaluated options to improve schedule accuracy, building on lessons learned from other countries. 2024–25.
Excess electricity (BMWK). The fast expansion of solar energy comes at a price: because many investments are small-scale and subject to a feed-in tariff, they keep generating even if supply exceeds demand. In this project with Consentec, we forecast the probability of excess electricity situations for coming years and supported the German government in addressing the problem. 2024–25.
Injection charges (TenneT). Countries such as the Netherlands are discussing injection charges as a means to recover offshore grid connection costs, partly from foreign consumers. With our partner Consentec, we provided Dutch TSO TenneT with an economic assessment of such charges, cautioning in particular against capacity-based injection charges. 2024–25. Report.
2024
Settlement price (utility). Several European countries are moving toward more liberal imbalance settlement rules and introducing a symmetric imbalance settlement price. Against this background, we supported a utility in updating its trading and investment strategies.
Strategic advisory (project developer). For a European wind, solar, and battery developer, we provided strategic advice, focusing on capture rates, regulatory change, and market design — a solid basis for investment and portfolio decisions.
Solar price effect (BSW). Imagine a year without solar energy. With reduced supply, wholesale prices would be much higher than they actually are. For trade association BSW, we empirically quantified this solar price effect.
Smart charging (Rabot). Dynamic tariffs allow EV owners to benefit financially from charging their cars when electricity is cheapest; time-of-use grid fees, intraday optimization, and bidirectional charging add further value. For Rabot Energy, a smart charging pioneer, we quantified the financials for a range of typical German drivers. Report.
Power market consultation (industrial company). After the German government published an electricity market white paper (“Strommarkt der Zukunft”), we supported an industrial company in drafting its stakeholder consultation response.
Dynamic FIT (50Hertz). Germany now has 60+ GW of solar capacity under the feed-in tariff, and those generators won’t stop producing even if oversupply sends wholesale prices into negative territory. For TSO 50Hertz, with Fraunhofer FIT, IEE, IEG, and BTU Cottbus, we developed a reformed feed-in tariff that incentivizes producers to turn off in situations of oversupply.
Grid fees (industrial company). Network charges make up an ever-increasing share of industrial electricity bills, jeopardizing electrification investments. For an industrial client, we provided forecasts of TSO grid fees until 2040, including projections of capacity and energy charges.
Industrial grid tariff rebates (TenneT). For decades, Germany’s system of grid fee rebates for heavy industry has prevented industrial demand-side response. Finally, a reform window has opened. For transmission operator TenneT, we identified the numerous problems of the current rebates and developed a range of reform options. Report.
Wind competitiveness (RE project developer). The cannibalization effect threatens to make wind energy a victim of its own success. For a large onshore developer, we assessed future factors that support wind competitiveness and provided input for a new business strategy.
Imbalance settlement price (Swissgrid). Concerned about large system imbalances, Switzerland has decided to reform its imbalance settlement price. For the Swiss TSO, we provided a quantitative assessment of the proposed system and developed a new pricing regime, derived from first principles and informed by the real-world experience of other countries.
RE support scheme (BMWE). Germany needs to update its support scheme for wind and solar energy to comply with EU law; efficient dispatch incentives during negative prices are the central concern. With Consentec, we provided the ministry with assessment and advice on a range of options, from adjustments to the sliding market premium and incremental reforms to “financial CfDs”.
Network charges (Chancellery). Rising network charges are increasingly perceived as a central energy policy problem, mainly out of concern for industrial competitiveness. For the Federal Chancellery, we assessed current and projected future network costs and charges.
Grid fees (industrial company). Network charges weigh increasingly on industrial electricity bills. For an industrial client, we forecast German TSO network charges annually until 2040, based on projections of investment, cost of capital, ancillary services, electricity prices, and demand.
Ancillary services (battery developer). Battery projects eye ancillary services as sources of revenue, including upcoming markets such as reactive power and synthetic inertia. We provided an assessment of ancillary services markets and ad hoc input to business case development for a European battery project developer.
Offshore tender (RE project developer). Offshore wind tenders now often include non-price criteria. We reviewed the tender documents for a European developer’s offshore project and provided input regarding system integration.
REMIT (utility). REMIT prohibits market manipulation and insider trading in wholesale energy markets. On behalf of a European utility, we prepared an expert witness report in a REMIT-related market manipulation case concerning the balancing markets. 2023–24.
Value of decentralized flexibility (ZVEI). Small-scale demand-side flexibility resources such as EVs, heat pumps, and solar batteries are widely acknowledged as core ingredients of future energy systems, but scale-up is sluggish in practice. For the industry association ZVEI, we estimated the economic value for markets and grids based on a numerical Python model. 2023–24. Report.
Cross-border forward markets (TSOs). European TSOs issue long-term transmission rights, and ACER has proposed numerous changes, including the establishment of a virtual hub. In a report for the German TSOs, we developed an analytical framework for cross-border forward markets and evaluated these proposals. 2023–24. Report.
Real-time price (Elia). Belgian TSO Elia worked on reforming its imbalance settlement price in the context of PICASSO. As part of a review committee, we provided input and assessments and supported external communication. 2023–24.
PKNS (BMWK). The “Platform Climate-Neutral Power System” is Germany’s principal stakeholder forum for electricity market design. With our partners Guidehouse, Consentec, Fraunhofer ISI, r2b, and Öko-Institut, we provided scientific guidance to the economics ministry. Neon led the work package on locational signals, covering a bidding zone split and dynamic grid fees. 2023–24. Website.
Congestion Management Games (TenneT). Local flexibility markets are prone to strategic bidding. For TSO TenneT, jointly with Takon and ZEW, we assessed such markets game-theoretically, formally identifying optimal increase-decrease bidding strategies and mitigation measures. 2021–24. Paper.
EU electricity market design (BMWK). In this multi-year project for Germany’s economics ministry, we advised on EU electricity market reform and crisis response. With Consentec, Neon co-led the consortium (with Fraunhofer ISI, r2b, SUER), headed the core market-design work package, and shaped Germany’s position on Fit-for-55 and emergency measures, opposing harmful price interventions. 2021–24.
2023
Passive balancing (multi client). Market parties bet on the imbalance settlement price, thereby helping to balance the system — arguably one reason Germany’s balancing reserve demand halved while wind and solar capacity quintupled. This study, commissioned by a group of market parties, explains the mechanisms and addresses concerns about this kind of “passive balancing.” Report.
Industrial power prices (Agora Energiewende). 2023 saw an intensive political debate about introducing subsidized prices for heavy industry. For Agora Energiewende, we developed a feasible proposal for such a temporary production subsidy, designed to buy time while maintaining incentives for short-term flexibility and hedging. Report.
Network charges (Staatskanzlei Niedersachsen). Distribution grids are often expanded to accommodate generators, yet the costs fall on local consumers, making electricity most expensive precisely where generation is highest. For the state chancellery of Lower Saxony, we prepared briefing material on the status quo, its underlying causes, and reform options.
Electricity market reform (European Parliament). The 2023 EU electricity market reform sparked debate over CfDs, PPAs, price caps, and peak shaving. Together with Bruegel, we assessed the reform proposals for the European Parliament’s ITRE committee, based on a quantitative model of contractual arrangements, and derived recommendations. Report.
Smart retail tariffs (LichtBlick). Dynamic retail tariffs unlock decentralized flexibility but expose customers to price risks. For the utility LichtBlick, we developed a dynamic retail tariff that offers price insurance without stifling flexibility, as well as dynamic grid fees. Report.
German electricity market (utility). A global energy company needed a clear read on the German power market to guide its strategy. Together with PA Consulting, we provided strategic assessments of market fundamentals, price trends, and the regulatory outlook.
Revenue cap implementation (BNetzA). Germany’s energy regulator was tasked with implementing the revenue cap on power generators. Along with Frontier Economics, we provided economic expertise.
Intraday / balancing (TSO). Balancing activation may leak into intraday prices. For a German TSO, we econometrically identified the link between intraday prices and balancing activation, based on millions of individual transactions, and found a strong correlation, a possible sign of insider trading.
Electricity market design (utility). The EU market design reform raised strategic questions for power producers. We supported a European utility with analytics and assessments, focusing on offshore wind topics such as CfD design and transmission access guarantees. 2022–23.
Coal exit (BMWi). Germany’s government committed to cancel carbon certificates along with its coal exit. In this project with Aurora and Grischa Perino, we provided estimates of how many certificates to delete. 2021–23.
2022
Imbalance settlement pricing (Elia). As Belgium prepared to join the European balancing platform PICASSO, its imbalance settlement price had to be redesigned. We supported Belgian TSO Elia in developing a new pricing scheme and in the related discussions with the regulator CREG.
Future gas costs (E3G). The 2022 gas crisis raised urgent questions about the future cost of heating. For the Berlin-based think tank E3G, we assessed the likely development of gas supply costs and their implications for affordable heat. Report.
Home battery storage (Sonnen). During the energy crisis, volatile prices reshaped the economics of home storage. For home storage provider Sonnen, we ran simulations to optimize the operation of home battery systems under these conditions and to quantify the savings for households.
PV support scheme design (Swissgrid). As solar becomes central to Switzerland’s power system, its support scheme must safeguard generation adequacy cost-effectively. For Swissgrid, we reviewed European support instruments and proposed an optimized contract for differences to strengthen security of supply.
Using instead of curtailing (Agora Energiewende). We supported Agora Energiewende, Germany’s leading energy think tank, on electricity market design, in particular regional dynamic network charges, developing a proposal for “using rather than curtailing” surplus wind power. Report.
Consumer-centric market design (50Hertz / Elia). Flexible consumers are still poorly integrated into power markets. For TSOs 50Hertz and Elia, in a Guidehouse-led project, we studied remedies, focusing on device-specific metering, passive balancing, and ex-ante firm imbalance pricing.
Balancing markets (investor). A European storage investor needed a clear view of revenue prospects across balancing markets. We assessed several European balancing markets and provided long-term price forecasts to inform investment decisions.
Future Energy Outlook (TransitionZero). The NGO TransitionZero set out to build a credible global energy outlook. We advised on setting it up, from recruitment through to the technical design and development of the underlying energy system model. 2021–22.
Nodal pricing model (TSO). Nodal pricing reflects transmission constraints in locational prices, which requires detailed network modeling. For a European TSO, in a d-fine-led project, we developed a GAMS-based load flow model covering all of Europe to simulate locational marginal prices. 2021–22.
Dispatch Hubs (Elia / 50Hertz). Grid congestion is widespread in Europe, but splitting bidding zones is politically deadlocked, so Belgian TSO Elia proposed “dispatch hubs,” small flexible zones within existing ones. For Elia and 50Hertz, we assessed eight options to compensate parties in a hub and recommended cost-based payments, independent of bidding behavior, to limit gaming. 2020–22. Report.
2021
Strommarkttreffen (Agora Energiewende). For many years, we organized and grew Strommarkttreffen, a professional network that links researchers with practitioners in the power sector. Agora Energiewende supported this work financially. 2016–21. Website.
Charging infrastructure (Agora Verkehrswende). As EV adoption took off, public charging had to scale quickly, with no consensus on how to organize it. For Agora Verkehrswende, with Consentec, we assessed the market and proposed a competitive design, finding that high-power chargers at everyday locations work best and advising against DSO-run charging or exclusive municipal rights. Report.
Intraday balancing energy (multi client). Short-term trading is vital for system stability in wind- and solar-heavy markets, and balancing activation is known in real time only to reserve providers, giving them an information edge. For five German trading houses, we used state-of-the-art econometrics and found that reserve activation is reliably followed by price movements. Report.
Open energy outlook (TransitionZero). Robust energy policy needs transparent, reproducible modeling. On behalf of the NGO TransitionZero, we developed a technical proposal for a transparent and rigorous global energy systems model.
Redispatch for loads (BMWi). Integrating electricity consumers into Germany’s redispatch system requires the right incentives. For the economics ministry, we outlined an incentive-based participation of loads built on capacity remuneration rather than activation payments, assessing key design parameters with respect to economic efficiency and inc-dec gaming incentives. 2020–21.
Procurement of ancillary services (BMWi). Whether to procure non-frequency ancillary services such as inertia, black start capability, and voltage support through markets is a key regulatory question. For the economics ministry, Neon assessed market-based procurement, teaming up with EF.Ruhr, EWL, and BBH as work package leader. 2019–21. Report.
RE auction design (BMWi). We evaluated Germany’s renewable energy auctions and assessed reform options on behalf of the economics ministry. Navigant led the consortium with Consentec, Fraunhofer ISI, ZSW, Takon, and BBG; Neon contributed analyses of system-friendly wind power and locational signals, advising against explicit support for low wind speed turbines. 2018–21. Report.
Earlier
Italy’s PUN (BMWi). The Italian electricity market has six different bidding zones, but consumers pay a uniform prezzo unico nazionale (PUN). For Germany’s Federal Ministry of Economic Affairs and Energy, we assessed the pros and cons of such an arrangement. 2020.
System imbalances (trading company). During three episodes in June 2019, Germany’s power system was heavily out of balance. For a European trading house, we provided expertise and analysis on the reasons and regulatory implications. 2019–20.
Future market design (utility). A major utility wanted to stress-test its long-term strategy against different market futures. We supported an internal process assessing alternative scenarios for the design of future European power markets. 2019.
Nodal pricing (Forum Energii). Nodal pricing reflects grid constraints in wholesale prices and is widely debated in Europe. For the think tank Forum Energii and transmission system operator PSE, we ran a series of workshops on introducing nodal pricing in Poland. 2018.
UK wind value (RE project developer). For a renewables developer, we assessed the capture price of UK onshore and offshore wind, identifying drivers and differences from other European markets. 2018.
Electricity supply contract (industrial company). In a litigation case, we provided an expert evaluation of a long-term electricity supply contract for a large energy-intensive industrial consumer. 2018–19.
Open modeling (BMWi). Open data and open source models make energy system analysis transparent, reproducible, and accessible. For the German economics ministry, Neon led a consortium of DIW Berlin, TU Berlin, ETH Zurich, and Tom Brown studying open source energy modeling, the usability of open data, and the Open Power System Data platform. 2018–20. Report | Paper | Website.
Market-based redispatch (BMWi). In a large study for the economics ministry, we assessed the competitive procurement of redispatch resources and local flexibility markets, leading a broad consortium with Consentec, Connect, Ecofys, Fraunhofer ISI, and SUER. Our core conclusion: the risk of inc-dec gaming likely outweighs the potential benefits. 2017–20. Report.
Grid benefits of offshore wind (RE project developer). For an offshore wind developer, Neon delivered input to a policy paper, assessing the grid and system benefits of offshore wind, driven by its high capacity factors. 2017.
EU electricity market design (BMWi). Policy advice on wholesale market and balancing market design for Germany’s Economics Ministry in the context of the Clean Energy Package. Neon was a member of a consortium with Connect Energy Economics, Consentec, r2b, BBH, and Formaet. 2016–20.
ENTSO-E Transparency Platform (EU Commission). For the European Commission’s DG Energy, in a Deloitte-led consortium with VVA and Copenhagen Economics, we assessed the quality of the data published by European transmission system operators. An article based on this study appeared in Applied Energy. 2017–18. Report | Paper.
Wind value lift (RE project developer). As wholesale prices fall when the wind blows, wind farms must lift their market value. For a renewable developer, we evaluated design options and operating strategies to improve the economics of wind power under market conditions. 2016.
Trading benchmark (trading company). Portfolio management costs for renewables are hard to benchmark. For the trading department of a major European utility, we teamed up with Rabot Energy to provide a regulatory assessment and quantitative cost benchmarks. 2017.
Nodal vs. zonal pricing (BMWi). Zonal and nodal pricing represent transmission limits in the wholesale market in fundamentally different ways. For Germany’s economics ministry, with Consentec, Ecofys, Connect, Frontier Economics, Öko-Institut, and Prognos, we compared the two against a catalog of criteria and organized a series of expert workshops. 2016–17. Report.
Open Power System Data (BMWi). Open energy modeling depends on accessible, high-quality data. For Germany’s economics ministry, Neon built and coordinated an online platform of free European power system data, leading a team with DIW Berlin, TU Berlin, and the University of Flensburg. 2016–17. Website.
RE time series (utility). Power system studies need realistic wind and solar profiles. For a utility, Neon developed high-resolution time series of wind and solar generation derived from meteorological reanalysis models. 2016.
Electricity market design (IEA-RETD). How should power markets be designed when variable renewables dominate? For IEA-RETD, in cooperation with FTI CL Energy, we assessed long-term wholesale and retail market design under very high renewable shares, studying four power system prototypes from energy-only to vertically integrated markets. 2015–16. Report.
Benefits of hydro flexibility (utility). Flexible hydropower shapes prices in renewables-rich markets. For a European utility, Neon provided a model-based assessment of the market value of wind energy and hydroelectricity. 2016.
Price drop (Svensk Energi). Swedish wholesale power prices declined by two thirds from 2010 to 2015. For the industry association Svensk Energi, Neon quantified the drivers of this price drop in a model-based factor decomposition; the single largest factor was the expansion of renewable energy, followed by demand, fuel, and CO₂ prices. 2016. Paper.
Wind value in the Nordics (Energiforsk). How valuable is wind power in the hydro-dominated Nordic power system? For the research organization Energiforsk, Neon designed and ran a model-based study showing that reservoir hydropower mitigates the value drop of wind power by a third; the results appeared in Applied Energy. 2016. Report | Paper.
Model development (trading company). Trading desks rely on power market models to value positions and inform strategy. Neon supported the trading arm of a major European utility in developing and improving its electricity market model. 2015.
Whole system costs (DECC). Estimating the whole system costs of variable renewables is methodologically contested. For the UK Department of Energy and Climate Change, Neon reviewed a report on the whole system costs of wind and solar power. 2015.
Renewables integration cost (Agora Energiewende). Integration costs are central to debates on the cost of renewables, yet their proper measurement is hotly contested. For Agora Energiewende, Neon reviewed the evidence and advised the think tank, helping run expert workshops with academics, industry, and policymakers in Berlin and Paris. 2015. Report.
System-friendly wind & solar (IEA). Wind turbines and solar panels can be designed to better fit the power system. For the International Energy Agency, Neon assessed the market and system benefits of low-wind-speed turbines and west-oriented PV in a model-based study. 2014–16. Paper.