Investigating the market effects of increased RES penetration with BSAM: A wholesale electricity market simulator

Currently electricity markets worldwide encounter a transition phase into cleaner energy. This is specially the case in Greece, where not only the market structure changes to a harmonized EU target model, but also 'green electricity' is projected to reach 50% share by 2030 according to the National Energy and Climate Plan of Greece. This paper presents the extension of the Business Strategy Assessment Model (BSAM) into a computationally efficient central-dispatch wholesale market model. BSAM integrates agent-based profit-maximizing policy making with unit commitment scheduling, into one novel tool that can be used to explore the effects of mid-term market design policies in wholesale electricity markets. BSAM is subsequently utilized to model the Greek market's transitional phase and explore the effects of even higher RES penetration scenarios. Results indicate that the planned shortto-mid-term "de-lignification'' and transition of the Greek power system is feasible and will not lead to an excessive RES curtailment situation, but would yield significant CO2 emissions' reductions and small reductions in the system marginal price, with even more ambitious RES shares also being possible. (C) 2021 The Authors. Published by Elsevier Ltd.