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Utility-cogenerator game for pricing power sales and wheeling fees

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2 Author(s)
Kuwahata, A. ; Central Res. Inst. of Electr. Power Ind., Komae, Japan ; Asano, H.

The authors have studied an extensive game model of an electricity market where a cogenerator sells excess electricity to an electric utility or to an end user. They found that a buy-back system (the utility purchases cogenerated power) is as efficient as a cogenerator-customer wheeling system and that these two systems are more desirable than a monopoly system for the regulator. The buy-back rate should be equal to (LP bargaining solution) or less than (Nash bargaining solution) the marginal cost of the electric utility. They also conducted an analysis of a two-period electricity market in which they found that the cogenerator that can supply excess power during peak period obtains the market advantage

Published in:

Power Systems, IEEE Transactions on  (Volume:9 ,  Issue: 4 )

Date of Publication:

Nov 1994

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