• DocumentCode
    808381
  • Title

    Forward contracts for the operation of an electricity industry under spot pricing

  • Author

    Kaye, R.J. ; Outhred, H.R. ; Bannister, C.H.

  • Author_Institution
    New South Wales Univ., Kensington, NSW, Australia
  • Volume
    5
  • Issue
    1
  • fYear
    1990
  • fDate
    2/1/1990 12:00:00 AM
  • Firstpage
    46
  • Lastpage
    52
  • Abstract
    A study is reported of the use of forward contracts as risk instruments for electricity industries operating under spot pricing. Forward contracts involve financial transactions or commitments which relate to a physical trade at a later time instance. Price setting and appropriate participant responses are discussed. Simulation studies are used to demonstrate that forward contracts offer participants an opportunity to reduce their risk exposure without removing the incentive to respond to higher spot prices
  • Keywords
    electricity supply industry; tariffs; electricity industry; forward contracts; price setting; spot pricing; Australia; Economic forecasting; Forward contracts; Instruments; Intelligent systems; Marketing and sales; Power system simulation; Pricing; Supply and demand; Uncertainty;
  • fLanguage
    English
  • Journal_Title
    Power Systems, IEEE Transactions on
  • Publisher
    ieee
  • ISSN
    0885-8950
  • Type

    jour

  • DOI
    10.1109/59.49085
  • Filename
    49085
    • Link To Document
    https://search.isc.ac/dl/search/defaultta.aspx?DTC=49&DC=808381