Economic analysis of the cross-border coordination of operation in the European power system.

Summary The European electricity system can be described by the concept of an integrated system, i.e. an interconnected network whose organization is divided by various administrative borders of a legal, technical or market nature. In this context, the improvement of the coordination of the operation on these internal borders, for a given set of infrastructures, should allow a more optimal use of the available resources.The economic analysis of these cross-border coordinations and of the improvement process underway in Europe in 2012 allows on the one hand to draw lessons from this experience and on the other hand to support the improvement process by contributing to the understanding of the stakes by the actors. To this end, the study first provides a summary of the management of the electrical system, which defines the subject of the study. Then, the second chapter details a functional analysis of the coordination mechanisms. This analysis makes it possible to make the link with the technical aspects that condition the economic organization. The third chapter deals with methods for evaluating the benefits, costs and redistributive effects of a change in coordination. Chapters four and five then address two key institutional angles. The first is the role of the European Union in establishing common rules at the continental level. The second is the institutional form of the Transmission System Operators' (TSOs) commitment to the success of these coordination mechanisms.