• DocumentCode
    2680835
  • Title

    Impacts of network constraints on electricity market equilibrium

  • Author

    Liu, Youfei ; Wu, Felix F.

  • Author_Institution
    Dept. of Electr. & Electron. Eng., Hong Kong Univ.
  • fYear
    0
  • fDate
    0-0 0
  • Abstract
    Nash equilibrium is usually used as the solution of generator´s strategic bidding in electricity markets. The available literatures have demonstrated by simulation that multiple market equilibria or no pure equilibrium may be induced with the inclusion of network constraints (e.g. transmission constraints). This paper presents a systematical analysis of the impacts of network constraints on the market equilibrium in oligopolistic electricity markets. In our modeling, the ISO dispatches generation and determines nodal prices via solving an OPF problem; and the individual generator optimizes its supply function with Nash-Cournot strategy, after taking into account of the ISO´s decision making process on dispatched generation and nodal prices. The conditions for the existence of equilibrium are given, and it is shown that there may be multiple equilibria; and the equilibrium, if exists, will be at a point where generators pay no congestion charge
  • Keywords
    decision making; oligopoly; power generation dispatch; power generation economics; power markets; pricing; ISO dispatches generation; Nash equilibrium; Nash-Cournot strategy; OPF problem; decision making process; dispatched generation; electricity market equilibrium; multiple market equilibria; network constraints; nodal prices; oligopolistic electricity markets; strategic bidding; Dynamic programming; Economic forecasting; Electricity supply industry; Genetic algorithms; ISO; Learning; Nash equilibrium; Optimization methods; Stochastic systems; Uncertainty; Electricity markets; Nash equilibrium; Optimal response curve; Strategic bidding;
  • fLanguage
    English
  • Publisher
    ieee
  • Conference_Titel
    Power Engineering Society General Meeting, 2006. IEEE
  • Conference_Location
    Montreal, Que.
  • Print_ISBN
    1-4244-0493-2
  • Type

    conf

  • DOI
    10.1109/PES.2006.1709396
  • Filename
    1709396