Solution section
Capacity & Adequacy
How resource adequacy and investment sufficiency are addressed.
Capacity & Adequacy
There is no single capacity design intrinsic to zonal pricing.
Different jurisdictions combine zonal energy markets with different adequacy arrangements, including:
- capacity markets;
- strategic reserves;
- reliability reserves;
- energy-only approaches;
- long-term contracts.
Capacity design must therefore be assessed separately from the zonal pricing concept itself.