Governing Decentral Energy Systems
AbstractAgainst the backdrop of an energy system moving from vertically integrated monopolies towards a decentral system with a multitude of actors in ever-changing roles, we observe a gradual strengthening of central governance mechanisms on the nation-state and on the European level. Such a top-down approach to the governance of the energy system might have been necessary to open up energy markets to competitive processes and innovation. With social goals shifting and security of supply and environmental concerns gaining importance, the governance of the energy system has to be reshaped anew, enabling, e.g., the optimization of regional energy systems by local actors. In particular, strict unbundling rules may hinder or preclude system-serving behavior, to the detriment of all market participants and consumers. Lawmakers and regulators should provide some leeway to cooperative approaches, such as the empowerment of local actors to devise their own energy regimes.
