Business Commons^™

Economically Rational Trading Between The All Island Single Electricity Market And Great Britain; Theory Vs Practice, Aoife Wilson

Masters

Economic trading across electricity interconnectors is considered to be a key factor in delivering the economic welfare benefits of an integrated European electricity market. This research examines this assumption as it applies to the interconnection between the electricity markets in Ireland, Northern Ireland and Great Britain. In doing so it reviews the assumption of economically rational trading behaviour by participants in the market. This assumption underpinned the cost benefit studies justifying construction of the East-West interconnector. Actual patterns of trading that have arisen post commissioning are compared with projected rational behaviour.

The research also considers the consequences of these behavioural …