Over the last few years electricity markets are going through liberalization and modernization processes, which have resulted in introduction of smart grids. The Power Trading Agent Competition (Power TAC) is a simulation platform for evaluating trading strategies for the smart grid electricity markets: the tariff and the wholesale market. This paper gives an outline of our proposed strategies ...

Recent trends in many U.S. states are to deregulate their electric power industry and markets with the desire to provide a more consumer-friendly environment than under regulation. However, deregulation also creates uncertainty and risk. It is this risk that we wish to address and contain. In this thesis, we review recently developed stochastic models of physical and nancial aspects of deregula...

As the electricity industry in California undergoes a process of fundamental restructuring, important new products and markets will be created while others will lose signi cance. In this paper, we make an initial survey of the products and markets that will be prominent in the emerging new electricity industry. We describe approaches to analyzing the prospects for, and the impacts of, market po...

In this paper, we describe a framework for modeling investment in restructured electricity markets. This framework is extremely flexible, and is designed to be able to capture many of the key considerations that distinguish investment in deregulated electricity markets from both investment in regulated markets, and investment in competitive markets for other commodities. The model is composed o...

The paper concentrates on four aspects of mitigating market power in European electricity networks: capacity divestiture, entry, promoting interconnection, and the capacity to regulate competition in generation, drawing on lessons from Britain, California and the Continent. Each of these actions can improve the intensity of competition in electricity wholesale markets, but attractive strategies...

In this paper we discuss second-generation electricity reforms being formulated in Latin America and how they are being reshaped by the California crisis, which had stood as a paradigm, at least in theory, for fully competitive markets. We argue that the main lesson policy makers in Latin America should draw from the experience in California and other electricity markets around the world is tha...

The Introduction lays out some background and issues that motivate the subsequent discussion. The following sections consider the general architecture of wholesale markets for electricity. The first examines the choice among forms of organization, such as bilateral contracting or multilateral trading, and in the latter, the choice between a market-clearing exchange or a tight pool with centrall...

Reliable and efficient operation of deregulated electricity markets requires supply and demand elasticity. This paper presents incentive control of spinning reserves in electricity multi-markets using game theory. Interruptible load contracts (ILC) could reduce the amount of spinning reserve requirements during system contingencies such as transmission congestion. It is shown that the power uti...

This paper reports on work the Consortium for Electric Reliability Technology Solutions (CERTS) has been pursuing to hasten the arrival of meaningful load participation in competitive electricity markets. The activities include: experimental economic analysis of the effect of price responsive load in reducing market prices and price volatility; assessments of emerging demand response programs a...

In vein with the new energy market rules drafted in the EU this paper presents and discusses two contract types for hedging the risks connected to long-term transmission rights, the financial transmission right (FTR) and the electricity price area differentials (EPAD) that are used in the Nordic electricity markets. The possibility to replicate the FTR contracts with a combination of EPAD contr...