  Modeling power market dynamics is increasingly challenging, as both spatial
and temporal imbalances of demand and supply are becoming more pronounced with
higher shares of variable renewable energy (VRE). Therefore, a high-resolution
spatial and temporal distribution of both VRE and conventional generation, as
well as the load, is necessary for modeling the effect of policy measures on
the electricity market. Besides, technical constraints must be considered in
detail, as they fundamentally influence market outcomes. This contribution
presents the results and findings from a power market simulation model for the
case of the German market zone under different scenarios phasing out coal-fired
power generation. It is shown that the developed spatially resolved model can
realistically reproduce market outcomes and is, therefore, suitable for the
analysis of future scenarios with increased VRE integration and reduced
conventional generation capacity.
