Using MANOVA Methodology in a Competitive Electric Market under Uncertainties

Competitive electricity markets are based on a set of hypotheses which sustain a vertical and horizontal segmentation of the generation, transmission and distribution sectors in different functions. In Argentina, this theoretical model was implemented in a wholesale electricity market (WEM) and its operation for more than a decade produced a great amount of data which are analyzed by public authorities to make further decisions. Proposals regarding reforms in the design of the Argentinean WEM should be based on a deep knowledge of the influence exerted by different factors connected with the main technological and economic WEM parameters. Consequently, it is important to have methodologies and statistical techniques to help public authorities make decisions. This paper presents the application of the methodology of analysis of variance of multivariate data (MANOVA) to detect the influence that days and months exert on the spot price (or market price) in the Argentinean WEM. A fixed-effect with two factors model (seven-level factor for days and a twelve-level factor for months) is used