Multiperiod Energy Market Competition

Abstract

Traditionally, business among electric utilities, fuel suppliers and consumers were conducted through bilateral contracts or multiple interchange transactions. These changes in the energy sector in terms of trade between participants, seller and buyers, needs for energy modeling, either as a stand-alone or within the context of a complete system. Market forces will dictate the equilibrium price-quantity, subject to operational constraints in each one of the industries. This paper develops an energy market model that includes generating unitspsila operational and temporal constraints. We assume the existence of hourly spot electricity and fuel markets in where few producers compete to supply markets demand. Numerical examples are provided.