Investment decisions in the electricity sector: An agent-based modelling approach

Kurzfassung

The energy transition requires coherent and consistent investment in new carbon-neutral generation technologies and infrastructure. However, these investment decisions are neither centrally determined nor organized. Instead, they are done by a large set of heterogenous firms, each with its own interests, expectations, and conditions. How firms react to policy interventions and what combined effect those interventions have on the energy system is still poorly understood. We propose a new agent-based model of capacity investment decisions in the electricity sector. This presentation explains the model logic and two test cases for verification.