How renewables will change electricity markets in the next five years

► Accelerated cost decrease of photovoltaics rapidly changes all cost relations. ► PV power starts competing on the retail side, incentive policies lose control. ► Cheap solar self-supply pushes energy management and flexibility of prosumers. ► Prosumer flexibility challenges grids, requires variable tariffs in time and space. ► Bottom-up dynamics require new multi-level governance of grids and markets.