TY - JOUR
T1 - The impact of carbon cap and trade regulation on congested electricity market equilibrium
JF - Journal of Regulatory Economics
Y1 - 2011/12//
SP - 237
EP - 260
A1 - Tanachai Limpaitoon
A1 - Yihsu Chen
A1 - Shmuel S. Oren
KW - cap-and-trade programs
KW - CERTS
KW - electricity markets
KW - power market modeling
KW - reliability and markets
KW - RM10-001
AB - Greenhouse gas regulation aimed at limiting the carbon emissions from the electric power industry will affect system operations and market outcomes. The impact and the efficacy of the regulatory policy depend on interactions of demand elasticity, transmission network, market structure, and strategic behavior of generators. This paper develops an equilibrium model of an oligopoly electricity market in conjunction with a cap-and-trade policy to study such interactions. We study their potential impacts on market and environmental outcomes which are demonstrated through a small network test case and a reduced WECC 225-bus model with a detailed representation of the California market. The results show that market structure and congestion can have a significant impact on the market performance and the environmental outcomes of the regulation while the interactions of such factors can lead to unintended consequences.
VL - 40
IS - 3
JO - J Regul Econ
DO - 10.1007/s11149-011-9161-4
ER -
TY - CONF
T1 - Integration of Contracted Renewable Energy and Spot Market Supply to Serve Flexible Loads
T2 - Proceedings of the 18th IFAC World Congress
Y1 - 2011/08//
SP - 12852
EP - 12857
A1 - Anthony Papavasiliou
ED - Sergio, Bittanti,
KW - electricity markets
KW - reliability and markets
KW - renewables integration
KW - RM10-001
AB - We present a contract for integrating renewable energy supply and electricity spot markets for serving deferrable electric loads in order to mitigate renewable energy intermittency. The contract which we describe results in a stochastic optimal control problem for minimizing the cost of serving flexible load. We solve the optimal control problem by using a recombinant lattice for modeling renewable power supply and electricity spot price uncertainty. We compare various control policies, and we analyze the sensitivity of our results with respect to various problem parameters.
JF - Proceedings of the 18th IFAC World Congress
PB - IFAC, Elsevier
CY - Milan, Italy
JO - IFAC WC 2011
DO - 10.3182/20110828-6-IT-1002.00381
ER -
TY - JOUR
T1 - Reserve Requirements for Wind Power Integration: A Scenario-Based Stochastic Programming Framework
JF - IEEE Transactions on Power Systems
Y1 - 2011/11//
SP - 2197
EP - 2206
A1 - Anthony Papavasiliou
A1 - Shmuel S. Oren
A1 - Richard P. O'Neill
KW - power system reliability
KW - reliability and markets
KW - reserve requirements
KW - RM10-001
KW - uncertainty
KW - wind power
AB - We present a two-stage stochastic programming model for committing reserves in systems with large amounts of wind power. We describe wind power generation in terms of a representative set of appropriately weighted scenarios, and we present a dual decomposition algorithm for solving the resulting stochastic program. We test our scenario generation methodology on a model of California consisting of 122 generators, and we show that the stochastic programming unit commitment policy outperforms common reserve rules.
VL - 26
IS - 4
JO - IEEE Trans. Power Syst.
DO - 10.1109/TPWRS.2011.2121095
ER -
TY - CONF
T1 - Supplying renewable energy to deferrable loads: Algorithms and economic analysis
T2 - IEEE Power and Energy Society (PES) General Meeting
Y1 - 2010/07//
SP - 1
EP - 8
A1 - Anthony Papavasiliou
A1 - Shmuel S. Oren
KW - deferrable loads
KW - electricity markets
KW - power generation
KW - reliability and markets
KW - renewables integration
KW - RM10-001
AB - In this paper we propose a direct coupling of renewable generation with deferrable demand in order to mitigate the unpredictable and non-controllable fluctuation of renewable power supply. We cast our problem in the form of a stochastic dynamic program and we characterize the value function of the problem in order to develop efficient solution methods. We develop and compare two algorithms for optimally supplying renewable power to time-flexible electricity loads in the presence of a spot market, backward dynamic programming and approximate dynamic programming. We describe how our proposition compares to price responsive demand in terms capacity gains and energy market revenues for renewable generators, and we determine the optimal capacity of deferrable demand which can be reliably coupled to renewable generation.
JF - IEEE Power and Energy Society (PES) General Meeting
PB - IEEE
CY - Minneapolis, MN
SN - 978-1-4244-6549-1
DO - 10.1109/PES.2010.5589405
ER -
TY - CONF
T1 - Environmental regulation in transmission-constrained electricity markets
T2 - 2009 IEEE Power & Energy Society (PES) General Meeting
Y1 - 2009/07//
SP - 1
EP - 8
A1 - Anthony Papavasiliou
A1 - Chen, Yihsu
A1 - Shmuel S. Oren
KW - CERTS
KW - electricity markets
KW - reliability and markets
KW - RM10-001
AB - We discuss potential competitive effects of regulating carbon emissions in a transmission constrained electricity market. We compare two regulatory instruments, renewable portfolio standards and taxing emmissions. We derive general conclusions about impacts on prices and output on a three node network. We find that renewable portfolio standards increase the market power of nonpolluting generators whereas the tax is market-power neutral. We verify our conclusions through simulations.
JF - 2009 IEEE Power & Energy Society (PES) General Meeting
PB - IEEE
CY - Calgary, Canada
SN - 978-1-4244-4241-6
DO - 10.1109/PES.2009.5275408
ER -
TY - CONF
T1 - Coupling Wind Generators with Deferrable Loads
T2 - 2008 IEEE Energy 2030 Conference (Energy)
Y1 - 2008/11//
SP - 1
EP - 7
A1 - Anthony Papavasiliou
A1 - Shmuel S. Oren
KW - deferrable loads
KW - electricity markets
KW - reliability and markets
KW - renewables integration
KW - RM10-001
AB - We explore the possibility of directly coupling deferrable loads with wind generators in order to mitigate the variability and randomness of wind power generation. Loads engage in a contractual agreement of deferring their demand for power by a fixed amount of time and wind generators optimally allocate available wind power with the objective of minimizing the cost of unscheduled and variable supply. We simulate the performance of the proposed coupling in a market environment and we demonstrate its compatibility with existing technology, grid operations and economic incentives. The results indicate that the combination of existing deregulated power markets and demand side flexibility could support large scale integration of wind power without significant impacts on grid operations and without the requirement for prohibitive investments in backup generation.
JF - 2008 IEEE Energy 2030 Conference (Energy)
PB - IEEE
CY - Atlanta, GA, USA
SN - 978-1-4244-2850-2
DO - 10.1109/ENERGY.2008.4781058
ER -