European wood pellet market integration - A study of the residential sector

Abstract

The integration of European energy markets is a key goal of EU energy policy, and has also been the focal point of many scientific studies in recent years. International markets for coal, oil, natural gas and electricity have previously been investigated in order to determine the extent of the respective markets. This study enhances this field of research to bioenergy markets. Price series data and time series econometrics are used to determine whether residential sector wood pellet markets of Austria, Germany and Sweden are integrated. The results of the econometric tests show that the German and Austrian markets can be considered to be integrated, whereas the Swedish market is separate from the other two countries. Although increased internationalization of wood pellet markets is likely to contribute to European price convergence and market integration, this process is far from completed. (C) 2010 Elsevier Ltd. All rights reserved.

Keywords

Pellet markets; Pellet prices; Market integration; Bioenergy trade; Time series analysis

Published in

Biomass and Bioenergy
2011, volume: 35, number: 1, pages: 153-160
Publisher: PERGAMON-ELSEVIER SCIENCE LTD

SLU Authors

• Olsson, Olle

  • Department of Energy and Technology, Swedish University of Agricultural Sciences
    

• Hillring, Bengt

  • Department of Energy and Technology, Swedish University of Agricultural Sciences
    

• Vinterbäck, Johan

  • Department of Energy and Technology, Swedish University of Agricultural Sciences
    

Global goals (SDG)

SDG7 Affordable and clean energy

UKÄ Subject classification

Forest Science
Renewable Bioenergy Research

Publication identifier

• DOI: https://doi.org/10.1016/j.biombioe.2010.08.020

Permanent link to this page (URI)

https://res.slu.se/id/publ/56970