Title :
Managing financial risks for natural gas-fired power plants
Author :
Elias, R.S. ; Wahab, M.I.M. ; Fang, Liping
Author_Institution :
Dept. of Mech. & Ind. Eng., Ryerson Univ., Toronto, ON, Canada
Abstract :
Deregulation has brought significant challenges to risk management strategies in electricity markets. High volatilities in fuel prices, the spikes in electricity prices, and varying operational characteristics expose the power generation utilities to high financial risks. The focuses of this paper are to identify the risks, classify and characterize the diverse approaches, locate the gaps and provide future research direction to the valuation of power generation utilities, particularly, natural gas-fired power plants.
Keywords :
power generation economics; power markets; pricing; risk management; steam power stations; electricity markets; electricity prices; financial risks; fuel prices; natural gas-fired power plants; power generation utilities; risk management strategies; Cost accounting; Electricity supply industry; Electricity supply industry deregulation; Energy management; Financial management; Fuels; Natural gas; Power generation; Risk management; Sparks; Spark spread; operational characteristics of power plants; risk hedging; risk management;
Conference_Titel :
Service Systems and Service Management (ICSSSM), 2010 7th International Conference on
Conference_Location :
Tokyo
Print_ISBN :
978-1-4244-6485-2
DOI :
10.1109/ICSSSM.2010.5530272
