Study on Power Grid Interconnection and Electricity Trading in Northeast Asia

Abstract

This research report analyses the costs and benefits of power grid interconnection in the Northeast Asia (NEA) region – covering north and northeast of China, Japan, Mongolia, East Russia, and South Korea – using a linear programming and optimisation model. Based on such analysis, several important observations are made on the feasibility and optimal plans of power infrastructure development for power grid interconnection in the region. Policy implications are also drawn based on these observations. It is strongly believed that these findings and policy implications are complementary to the existing literature on power grid interconnection in the NEA region.