Title :
Financial transmission rights in electricity market
Author :
Quintana, Victor ; Bautista, Guillermo
Author_Institution :
Dept. of Electr. & Comput. Eng., Waterloo Univ., Ont.
Abstract :
In this paper, financial transmission rights (FTRs) are introduced. First, the basics of FTRs are presented; second, different markets of FTRs are described, namely: i) one-period, ii) multi-period and iii) multi-round, for both forwards and options. Finally, the interaction of FTRs and strategic bidding of generators is studied. It is shown how FTRs can exacerbate market power. Based on a DC-network approximation, a three-node system is used for illustrative purposes
Keywords :
power markets; power transmission economics; DC-network approximation; electricity market; financial transmission rights; generators strategic bidding; three-node system; Costs; Energy management; Engineering management; Financial management; Forward contracts; Instruments; Load flow; Power markets; Power system management; Pricing;
Conference_Titel :
Electrotechnical Conference, 2006. MELECON 2006. IEEE Mediterranean
Conference_Location :
Malaga
Print_ISBN :
1-4244-0087-2
DOI :
10.1109/MELCON.2006.1653251
