The huge divergence of electricity prices between nations after the energy crises of 2021 and 2022 exposed Europe’s pressing need to increase cross-border transmission capacity, explain George Dimopoulos, Conall Heussaff and Georg Zachmann at Bruegel. Without it, generation costs will be higher, emissions too, and new generation will continue to be badly congested. The author’s calculations reveal that one additional MW of cross-border capacity … [Read more...]