Analysis of the AggregateEU mechanism: implications of overbidding and non-commitment

This study proposes a quantitative modelling framework to analyse the effect of over-bidding in the AggergateEU demand aggregation or joint purchasing mechanism. It concludes that the mechanism is prone to overbidding and that overbidding has ambiguous effects on trade. AggregateEU is a new centralised mechanism that provides a no-commitment platform to trade natural gas in the European Union. Throughout the […]