Deregulation of electricity industries often poses enormous risk for retailers who must purchase electricity from spot markets at volatile prices and sell it to end-use consumers at stable retail rates. Absent any demand-side response, one recourse available to retailers in order to hedge against this exposure is to offer interruptible load (IL) contracts. These financial instruments enable the...

The Power TAC is a competition-based simulation of an electricity market. The goal of the competition is to test retailer (broker) strategies in a competitive environment. Participants create broker agents that trade electricity. In this paper we describe our broker, which we created as a participant of the 2014 Power TAC competition. We describe the strategies for two main components of the ga...

As public utilities continue to evolve from regulated monopoly structures to open markets that promote free and fair competition, new players, new rules and new behaviors will continue to emerge, and given the uncertainties associated with this process, the need for suitable and a well-representative model increases. In this paper we present an Agent-Based Model (ABM) developed to capture some ...

We compare various flexible tariffs that have been proposed to cost-effectively govern a prosumer’s electricity management—in particular time-of-use (TOU), critical-peak-pricing (CPP), and real-time-pricing tariff (RTP). As the outside option, we consider fixed-price (FP) restricts specific characteristics of TOU, CPP, RTP, so are at least as profitable for prosumer FP tariff. propose bilevel m...

Generators in a wholesale electricity market can exercise market power, but the existence of forward hedging contracts between consumers and generators mitigates this market power. A question arises as to why generators are willing to enter contracts with consumers to surrender their market power. In this paper, we model the role of the consumers (retailers here) in offering hedging contracts t...

We use a profit-maximizing model of forward pricing, which revealed that an electricity retailer’s fixed price offer (FPO) contains large premium encourages vertical integration generation company and retailer. However, does not always reduce FPOs, particularly when residential customers are segmented by consumption size sensitivity. Hence, proposed merger big retailer requires regulatory scrut...

this paper proposes a novel decision making framework for an electricity retailer to procure its electric demand in a bilateral-pool market in presence of charging and discharging of electric vehicles (evs). the operational framework is a two-stage programming model in which at the first stage, the retailer and ev aggregator do their medium-term planning. determination of retailer's optimum sel...

In this paper, the problem of optimal dynamic pricing for retail electricity with an unknown demand model is considered. Under the day-ahead dynamic pricing (a.k.a. real time pricing) mechanism, a retailer obtains electricity in a twosettlement wholesale market and serves its customers in real time. Without knowledge on the aggregated demand function of its customers, the retailer aims to maxim...