Energy exchange among heterogeneous prosumers under price uncertainty
Marta Castellini (Università degli Studi di Brescia, Fondazione Eni Enrico Mattei); Luca Di Corato (Ca’ Foscari University of Venice); Michele Moretto (Università degli Studi di Padova); Sergio Vergalli (Università degli Studi di Brescia, Fondazione Eni Enrico Mattei)
Q42, C61, D81
Smart Grids, Renewable Energy Sources, Real Options, Prosumer, Peer to Peer Energy Trading
In this paper, we provide a real options model framing prosumers’ investment in photovoltaic plants. This is presented in a Smart Grid context where the exchange of energy among prosumers is possible. We determine the optimal size of the photovoltaic installations based on the influence the self-consumption profiles on the exchange of energy among prosumers. We calibrate the model using figures relative to the Northern Italy energy market and investigate the investment decision allowing for different prosumer profiles and consider several combinations of their individual energy demand and supply. Our findings show that the shape of individual energy demand and supply curves is crucial to the exchange of energy among prosumers, and that there could be circumstances under which no exchange occurs.
Suggested citation: M. Castellini, L. Di Corato, M. Moretto, S. Vergalli, ‘Energy exchange among heterogeneous prosumers under price uncertainty’, Nota di Lavoro 25.2021, Milano, Italy: Fondazione Eni Enrico Mattei