Base Case

Marginal Costs

First, have a look at How to Navigate to grasp all the capabilities of the interactive results.

The methodology provides another interesting output: a commodity price for each energy carrier (electricity, methane, hydrogen) that represents the marginal cost of supply (production or import) for every hour. It is possible to identify the marginal technology for every hour. This reflects the functioning of a perfect market.

The average marginal cost of electricity is €107.6/MWh. It is the most volatile commodity and its value changes hour by hour when the marginal technology changes in the electricity supply curve. As the marginal production technology switches from solar PV to wind onshore/offshore to CCGTs, the hourly cost changes accordingly. If demand cannot be served, the price rises to €3000/MWh.

The average marginal cost of hydrogen is €73.2/MWh, driven by the fixed import cost of €75/MWh.

The average marginal cost of methane is €50.4/MWh, driven by the fixed import cost of €40/MWh and more expensive biomethane production needed to achieve a carbon-neutral energy system.