Sebastian Schwenen’s main research interest lies in the industrial organization of energy markets. His recent work studies market design in electricity markets and the impact different designs have on consumers and producers. In addition to research and teaching, he has provided research-based economic consulting to DG Energy and the German Federal Ministry for Economic Affairs and Energy within the scope of various research projects on energy markets.
Sebastian Schwenen obtained a Ph.D. in Economics & Management from Copenhagen Business School and a MSc in Economics from Humboldt University Berlin. He has been a visiting Ph.D. student at the London School of Economics and Political Science and a post-doctoral researcher at the European University Institute in Florence and at DIW Berlin. Sebastian Schwenen joined the TUM School of Management as Assistant Professor in September 2015.
Pricing and Capacity Provision in Electricity Markets – An Experimental Study: We study experimentally the impact of different market designs on investment and pricing behavior in electricity markets. Experimental subjects invest in generation capacity and subsequently compete in prices to sell power. Motivated by varying market designs currently implemented in US and European markets, we apply different design treatments to the experiment to identify their impact on producers‘ pricing and investment strategies.
Renewable Energy and the Pricing of Electricity Futures: We analyze how forward contracting of electricity can mitigate risks in production costs introduced by renewable energy. Specifically, we investigate theoretically and empirically how the massive market entry of fluctuating renewable energy sources such as wind and solar PV – and the resulting risk from shocks to production costs – changes incentives to sell power on forwarding markets and influences risk premia.
