Vitenskapelig artikkel   2010

Løland, Anders; Dimakos, Xeni Kristine

Publication details


Journal of Energy Markets, vol. 3, 2010



International Standard Numbers:

Printed: 1756-3607
Electronic: 1756-3615



The Nordic electricity spot power market (Nord Pool) is divided into several price areas. TheNO1area (southern Norway) is of particular interest. It is dominated by hydropower and has experienced large deviations from the system price. Using historical data (prices, reservoir levels and transmission congestion data), we statistically investigate the historical contributors to this price spread. The water reservoir level, followed by the Elspot capacity and Elspot net capacity utilization, are found to be the most important explanatory variables. As expected, lower capacity and more flow coincide with higher price spreads.