Regulation and integration in the energy sector. A danish and european perspestive. A Danish and European perspective

The focus has been mainly on the development of the electricity market. The project has outlined a number of potential problems that a competitive Danish electricity industry might have. These problems can be classified into three catagories given by the geographical levels: the Danish, the Nordic and the European. At the internal Danish market it is problems like; fragmentation, incentives for efficiency and regulation. At the Nordic level is it volatility of prices, capaicty and regulation and finally at the European level regulation and competition. How does one start to address questions like these? We have used and developed a method based on strategic simulation models. This method can be used at markets which are out of equilibrium, with long time delays and a high degree of complexity. The method helps to identify unantivipated side-effects of any potential policy