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Spot market power is mitigated by putting suppliers and demanders in a more balanced position at the time of the spot market. The markets also reduce transaction costs and improve liquidity and tran...
This paper examines principles of market design as applied to electricity markets. I illustrate the principles with examples of both good and bad designs. I discuss one of the main design challe...
In mid-November, this Panel was constituted to investigate “whether the current rules for determining the market price in the California Power Exchange Day-Ahead market results in a fair and effic...
This paper compares the long-run generator revenues implications of a capacity payment mechanism relative to an energy-only market mechanism for the Chilean wholesale electricity supply industry...
To better understand how a cap-and-trade market might function under high-carbon-price conditions, the authors ran a simulation called the Electricity Strategy Gamecreated by Severin Borenstein ...
This paper analyzes the extent to which the conditions in the emissions permit market for nitrogen oxides (NOx) operated by the South Coast Air Quality Management District (SCAQMD) in the Los Ange...
Transmission expansions can increase the extent of competition faced by wholesale electricity suppliers with the ability to exercise unilateral market power. This can cause them to submit offer curv...
In its December 15, 2000 Report of the California electricity industry, the Federal Energy Regulatory Commission (FERC) stated that electricity prices in California during the summer and autumn of 2...
All wholesale electricity markets currently operating in the United States are unlikely to yield significant consumer benefits relative to the former vertically-integrated monopoly regime because of...
We present a method for decomposing wholesale electricity payments into production costs, inframarginal competitive rents, and payments resulting from the exercise of market power. Using data from Jun...
This paper first describes those features of the electricity supply industry that make a prospective market monitoring process essential to a well-functioning wholesale market. Some of these featu...
This paper argues that the market rules governing the operation of the England and Wales electricity market in combination with the structure of this market presents the two major generators—Nationa...
A major concern in the design of wholesale electricity markets is the potential for the exercise of market power by generating unit owners. To better understand the determinants of generating unit...
Such generators possess ‘local’ monopoly power, and in deregulated settings have frequently been able to extract significant rents from their advantageous locations within a power system. Sinc...
This report responds to the Terms of Reference (TOR) attached to the end of this document as an appendix. The objective of the TOR is “to identify an action plan for activities to be undertaken by...

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