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New study shows how locational market reform can support net zero

On Tuesday 13 November, Energy Systems Catapult published a new study, demonstrating how reforming the British electricity market so that wholesale prices reflect local supply and demand conditions, could be the foundation of a net zero system. International Learnings on Investment Support for Clean Electricity also claims that this could facilitate large-scale investment in renewable generation. The report analyses evidence from markets across the US and in New Zealand where Locational Marginal Pricing (LMP) is commonplace, and European markets that use zonal pricing mechanisms.

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