Power system restructuring & competitive wholesale electricity markets in deregulated environment

Abstract

The analysis and the formation of the electric energy industry implements by forming a platform for the three components covering the generation, transmission, and distribution. Once the electric power is formed, it is further passed through the transmission lines having high voltage and large capacity to the regions in which the electricity will be consumed. Then it is converted to a voltage that is low and is passed to the users. The energy/electricity restructured process has been performed in different parts economically to generate units that are small along with the separation of the utilities thereby increasing the market structure. But a number of defining factors makes electricity a difficult task to be dealt causing unstable conditions thereby leading to raise the cost of the electricity. A shortfall or surplus of electricity means not only few of the end users are not able to have the deficit/excess power, rather it focuses on the fact which endangers the whole power grid thereby causing it to be on the verge of instability further leading to extinction in the market structure. The bulk power market structure, which includes the exchange between utilities, sales to large commercial and contract based sales to distributors and industrial customers, is now characterized by-Sharp Price Competition. The objective of this paper is to evaluate the scope of the generation to be distributed based on Competitive Wholesale Market and study the impact of it on the deregulated power market [1].