This paper analyses several common transmission pricing methods of marginal cost and embedded cost deeply. It analyses pricing models of several transmission pricing methods, long-run marginal cost (LRMC) method, MW-Mile method, sensitivity method, flow tracing method, contract path method and stamp method. It also gives a comprehensive comparison of characteristics and limitations of these pricing methods, discusses their applicable conditions in aspects of fairness, economic, financial balance, transparency, operability and others, and makes a quantitative research of comparison based on a case, and verifies the results.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.