Abstract: Texas electricity market saw a recent integration of electricity transmission as a part of Competitive Renewable Energy Zones (CREZ). Exploiting the commissioning date of CREZ based transmission integration as an exogenous shock, we analyze the effect of transmission expansion on market clearing prices of Congestion Revenue Rights (CRR). Reduced form estimates suggest that excess transmission led to a lowering of CRR prices for contracts at all Times of Use. We find strong evidence of spatial, distributional, and firm specific heterogeneity. The paper shows that transmission expansion enhanced efficiency of the CRR market in terms of a spatial convergence in prices and a decrease in aggregate auction expenditure of approximately $260 million over a period of 4.5 years post CREZ.

中文翻译：

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传输集成和拥塞收益权市场

摘要：德克萨斯电力市场最近将电力传输整合为竞争性可再生能源区 (CREZ) 的一部分。利用基于 CREZ 的输电整合的投产日期作为外生冲击，我们分析了输电扩张对拥塞收入权 (CRR) 市场出清价格的影响。简化形式估计表明，过度传输导致所有使用时间的合同 CRR 价格降低。我们发现了空间、分布和公司特定异质性的有力证据。该论文表明，在 CREZ 后的 4.5 年期间，输电扩张提高了 CRR 市场的效率，因为价格在空间上趋同，并且总拍卖支出减少了约 2.6 亿美元。