Maximizing generator profits across energy and ancillary-services markets

Electricity Journal

Volumn 13, Issue 5, 2000, Pages 61-69

  Hirst, Eric ^a  

^a Department of Electric industry Restructuring Based ^*  (United States)

Author keywords

[No Author keywords available]

Indexed keywords

COMMERCE;

ANCILLARY SERVICES MARKETS; BIDDING STRATEGY; ENERGY SERVICES MARKETS; OPTIMAL SOLUTIONS;

PROFITABILITY;

EID: 21844450231     PISSN: 10406190     EISSN: None     Source Type: Journal    
DOI: 10.1016/S1040-6190(00)00115-9     Document Type: Article

References (6)

1. Federal Energy Regulatory Commission, Regional Transmission Organizations, Order No. 2000, Docket No. RM99-2-000, Dec. 20,1999. See also FERC, Regional Transmission Organizations, Order No. 2000-A, Docket No. RM99-2-001. Feb. 25, 2000.
2. Brendan Kirby and Eric Hirst, Customer-Specific Metrics for the Regulation and Load-following Ancillary Services, ORNL/CON-474, Oak Ridge National Laboratory, Oak Ridge, TN, Jan. 2000.
3. Marc A. Vallen and Christopher D. Bullinger, The Due Diligence Process for Acquiring and Building Power Plants, ELEC. J., Oct. 1999, at 28-37.
4. Rajat Deb, Rethinking Asset Values in a Competitive Environment, PUB. UTIL. FORTNIGHTLY, Feb. 1, 2000, at 48-55.
5. This minimum-bid price assumes that the unit's startup and shutdown costs will be recovered in the energy market during hours when the price of energy exceeds the unit's variable cost. Otherwise, the bid price for regulation or spinning reserve would have to include these unit-commitment costs.
6. The model calculates operations for hour 24 of the previous day to determine whether the unit is on- or offline at the start of the day. The unit's online/offline status affects the unit's subsequent operations, in particular, whether it needs to incur startup costs to operate during the day of interest.