Overview of Electricity Market Monitoring

Abstract

ABSTRACT. The main goal of this paper is to present various aspects of electricity market monitoring and to focus on the monitoring of economic parameters, placing a special emphasis on market power, market performance and behavioral monitoring. This paper provides a view of the monitoring and its components. It presents available monitoring techniques and further it indicates the need to modify the existing structure or to develop a new structure of the monitoring system based on new indices which could be used by both operator and market participants.

EU Carbon Emissions Market Development and Its Impact on Penetration of Renewables in the Power Sector

“…This is due to the fact that especially power plants based on renewable energy sources rarely work with nominal power. Therefore, the model introduces a maximum power utilization factor to be able to compare individual technologies with each other [50][51][52][53]. Maximum power utilisation rates for specific power production plants are given in Table 6 [48].…”

Reengineering of Electricity Market Monitoring

“…As it was discussed in the previous paper (Pinczynski & Kasperowicz, 2016), the existing methods have a limited applicability to the real power systems, due to specific data requirements, or the theoretical limitations. The proposed indexes can be readily applied to the existing system (Spanish power system) and provide relevant information about the market behavioral.…”

“… Hertlndahl-Hirschman Index,  Residual Supply Index,  Price-Cost Margin Index,  Markup Ability,  Market clearing price distribution index,  Earnings in Total Income,  Earnings in Price Markup (Pinczynski & Kasperowicz, 2016).…”

“…The mutual relations between the modules could be observed, however, they are not indicated in the Figure 3, due to the simplified form of the scheme. Nevertheless, the full specification of monitoring techniques is presented in "Overview of electricity market monitoring" (Pinczynski & Kasperowicz, 2016). The aim of the last sub-module (Final interpretation of the analysis) is the final integration and analysis of the results originating from submodules: detailed analysis of indexes, benchmark analysis and screening thresholds.…”

“…Supervisory actions are important for the system operator as well as regulatory commissions in their ensuring efficient market performance. This article omits the basic concepts and issues of electricity markets functioning and monitoring, since a detailed literature review as well as theoretical introduction to these issues can be found in our previous article "Overview of electricity market monitoring" (Pinczynski & Kasperowicz, 2016) and the interested reader is advised to read these two papers as a whole entity. After a broad study of the literature related to monitoring and analysis of the electricity market we can conclude that there is lack of information concerning the techniques to be used for monitoring economic parameters at the markets with a structure similar to Spanish market.…”