The electricity sector is undergoing a rapid transformation as countries transition toward cleaner energy sources as part of their overall energy mix. A key component of this transition is not only leveraging domestic resources but also facilitating Cross-Border Electricity Trade (CBET), which allows for the sharing of renewable energy across regions. This collaboration helps balance supply and demand more effectively, ensuring energy security and enhancing the resilience of energy infrastructure.

CBET plays a crucial role in mitigating the risks of supply fluctuations by providing access to a diverse mix of energy resources. For instance, when one renewable source—such as hydro, wind, or solar—underperforms due to weather variations, other sources from neighboring regions can help compensate. This resource-sharing approach ensures a more stable energy supply, particularly in times of fluctuating demand.

Beyond energy security and infrastructure improvement, CBET contributes to making electricity more accessible, affordable, and reliable. By expanding markets through interconnected systems, it fosters increased competition, which can result in lower prices for consumers. CBET also  promotes regional cooperation and spurs economic growth by creating opportunities for local industries and job creation. This interconnected approach not only strengthens energy markets but also fosters long-term, collaborative relationships between countries, driving sustainable development across regions.

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