Enabling Active/Passive Electricity Trading in Dual-Price Balancing Markets

In electricity markets with a dual-pricing scheme for balancing energy, controllable production units typically participate in the balancing market as “active” actors by offering regulating energy to the system, while renewable stochastic units are treated as “passive” participants that create imbalances and are subject to less competitive prices. Against this background, we propose an innovative market framework whereby the participant in the...