Review of the Structure of Bulk Power Markets

TitleReview of the Structure of Bulk Power Markets
Publication TypeReport
Year of Publication1999
AuthorsBrendan J Kirby, John D Kueck
Series TitleCERTS Grid of the Future Project Team
Date Published12/1999
InstitutionOak Ridge National Laboratory
Keywordselectricity markets, Grid of the Future, power system economics, RT-004

Historically, the bulk power market structure was dominated by vertically integrated utilities granted monopoly franchise service territories. Performance, both economic and reliability, was judged in a holistic fashion by regulators who approved tariffs that customers were obligated to pay. Restructuring seeks to introduce competition into electric power markets in order to improve economic efficiency. The impact of these changes on reliability is the subject of this report.