Proceedings of the Csee · 2005 · 11 citations · 0 references
Natural ResourcesBusiness EconomicsAuction TheoryEnergy EconomicsRevenue ManagementElectricity Market RegulationElectricity MarketsElectricity RegulationEnergy Market RegulationEnergy PricingPower Sector EconomicsAuction AlgorithmsElectricity Market AnalysisGeneration Cost AnalysisWholesale Energy Markets
The concept of peak regulation right and the corresponding transaction mechanism are presented and the auction model is also discussed in this paper. Generation costs are proved to be decrease with the implementation of peak regulation right transaction. The transaction mechanism provides a venture profit market, which is called peak regulation capacity transaction market. The new market offers a transaction mode for the units to get rational profit and also encourage them to join peak-regulation of the whole system. The analysis illustrates that the purpose of decreasing the peak-to-valley ratio can be reached by the way of transacting the peak regulation capacity before the traditional auction. Generation cost of the particular unit and the whole market are decreased with less stoppage. Case study shows that the mechanism is effective and feasible.