The European energy system model simulates the market outcome on the European electricity market on the basis of economically correct relationships. In doing so, it uses the assumption of perfect competition on these markets and assumes perfect foresight of the market participants about the underlying input parameters.
Key strengths of the EIREM model:
- Regional development of installed capacity and electricity generation of renewable energies
- Economic efficiency of individual renewable energy technologies and regions
- Subsidy costs of different renewable energy technologies for European countries, if applicable
- Hourly feed-in profiles for renewable energies
Through the development of automated calculation models and the creation of extensive geodatabases, it is possible to carry out flexibly parameterizable white space and land potential analyses worldwide. At the same time, it is also possible to take into account small-scale regional specifics, such as requirements from regional planning in Germany. Thanks to years of optimization of the GIS models and our powerful servers, resource- and time-efficient calculations of various scenarios at any spatial level are possible.
We calculate the profit-maximizing hourly production and marketing structure on the basis of predefined hourly electricity and balancing energy market prices, as well as the variable costs of the power plant.
In addition to marketing on the spot market, the model also calculates a maximum profit bid strategy on all balancing energy markets, taking account of energy and power prices as well as the stochastic demand of balancing energy.