scholarly journals Household electricity demand, the intrinsic flexibility index and UK wholesale electricity market prices

2020 ◽  
Author(s):  
Jacopo Torriti
Keyword(s):  
Electricity Market ◽  
Power Plants ◽  
Electricity Demand ◽  
Market Prices ◽  
Vast Number ◽  
Spot Prices ◽  
Time Use Survey ◽  
Wholesale Electricity Market ◽  
The Uk ◽  
Flexibility Index

AbstractDuring peak electricity demand periods, prices in wholesale markets can be up to nine times higher than during off-peak periods. This is because if a vast number of users is consuming electricity at the same time, power plants with higher greenhouse gas emissions and higher system costs are typically activated. In the UK, the residential sector is responsible for about one third of overall electricity demand and up to 60% of peak demand. This paper presents an analysis of the 2014–2015 Office for National Statistics National Time Use Survey with a view to derive an intrinsic flexibility index based on timing of residential electricity demand. It analyses how the intrinsic flexibility varies compared with wholesale electricity market prices. Findings show that spot prices and intrinsic flexibility to shift activities vary harmoniously throughout the day. Reflections are also drawn on the application of this research to work on demand side flexibility.

Nuclear Power in the UK Electricity Market: From a Limited Future to Eternal Life and Back Again?

2002 ◽  
Vol 13 (2) ◽  
pp. 239-261
Author(s):  
Steve Thomas
Keyword(s):  
Greenhouse Gas ◽  
Electricity Market ◽  
Nuclear Power ◽  
Power Plants ◽  
Nuclear Power Plants ◽  
Greenhouse Gas Emission ◽  
Eternal Life ◽  
Nuclear Plants ◽  
Supply Industry ◽  
The Uk

In 1990, the privatisation of the British electricity supply industry revealed how uneconomic Britain's nuclear power plants were. The nuclear sector was withdrawn from privatisation and it seemed likely that by 2000, most of Britain's nuclear power plants would be closed. However, operating costs were dramatically reduced and in 1996, most of the nuclear plants were privatised in British Energy. Nuclear output made an important contribution to the reduction of greenhouse gas emissions and the future looked secure for the existing plants. However, the early success of British Energy was based on an inflated wholesale electricity price and by 2000, British Energy was struggling to cover its costs. The British government is now conducting a review of energy policy. The economic case for new nuclear power plants is poor but the need to meet greenhouse gas emission targets and the influence British Energy and BNFL may ensure the long-term future of the existing plants.

A method of forecasting wholesale electricity market prices

2016 ◽  
Vol 9 (1) ◽  
pp. 1-20 ◽  
Author(s):  
Joe Maisano ◽  
Igor Skryabin ◽  
Alex Radchik
Keyword(s):  
Electricity Market ◽  
Market Prices ◽  
Wholesale Electricity Market

Synthesis of the Algorithm for Control of the Thermal Power Plant Generating Equipment Based on System Dynamics Models

2021 ◽  
Vol 22 (1) ◽  
pp. 20-27
Author(s):  
I. N. Fomin ◽  
T. E. Shulga ◽  
V. A. Ivaschenko
Keyword(s):  
System Dynamics ◽  
Economic System ◽  
Electricity Market ◽  
Power Plants ◽  
Thermal Power ◽  
Thermal Power Plants ◽  
Mathematical Apparatus ◽  
Wholesale Electricity Market ◽  
Generating Equipment ◽  
Technical And Economic Indicators

The article discusses an original solution for designing an algorithm for selecting the most optimal technical and economic indicators for the operation of generating equipment of thermal power plants, taking into account the requirements of the wholesale electricity market, the day-ahead market and the balancing market. To design an algorithm for controlling generating equipment, the activity of a generating company in the wholesale electricity market was considered in terms of system dynamics. The proposed solution made it possible to select and interpret the state variables of the model, build flow diagrams describing the functioning of a technical-economic system, and visualize cause-and-effect relationships in the form of structured functional dependencies. In this work according to the norms of industry legislation and previously conducted scientific research the most important parameters were identified that form the flows of a dynamic technical and economic system, which are optimization criteria in fact. On the basis of this data, a stream stratification of the production processes of generating companies was carried out and a complex of mathematical models of system dynamics was developed to determine and plan the financial efficiency of the operation of thermal power plants and generating companies. The mathematical apparatus and the algorithm of its functioning are developed on the basis of the digraph of cause-and-effect relationships between the investigated technical and economic indicators. On the basis of the graph of interrelationships of system variables, a system of nonlinear differential equations has been built, which makes it possible to determine planned performance indicators when various technical and economic conditions change. The novelty of the proposed approach is the use of new model solutions based on the mathematical apparatus of system dynamics to represent the proposed model in simulation systems, in industry ERP and MES systems, for the development of DDS.

A Methodology for Determining Optimum Solar Tower Plant Configurations and Operating Strategies to Maximize Profits Based on Hourly Electricity Market Prices and Tariffs

2016 ◽  
Vol 138 (2) ◽  
Author(s):  
Rafael Guédez ◽  
Monika Topel ◽  
Inés Conde ◽  
Francisco Ferragut ◽  
Irene Callaba ◽  
...  
Keyword(s):  
Electricity Market ◽  
Power Plants ◽  
Technology Development ◽  
Performance Indicator ◽  
Final Analysis ◽  
Cash Flows ◽  
Levelized Cost Of Electricity ◽  
Market Prices ◽  
Operating Strategies ◽  
Plant Configuration

The present study analyzes the influence that market conditions have on determining optimum molten salt solar tower plants with storage that maximizes profits (in terms of plant configuration, sizing, and operation) for a location in South Africa. Three different scenarios based on incentive programs and local wholesale electricity prices are considered. A multi-objective optimization modeling approach was followed, showing the tradeoff curves between minimizing investment and maximizing profits when varying critical size-related parameters (such as nameplate capacity, solar multiple (SM), and storage capacity) together with power-cycle design and operating specifications including dynamic startup curves and different storage dispatchability strategies. Results are shown by means of a comparative analysis between optimal plants found for each scenario, highlighting the value that storage has under the current two-tier tariff scheme and the relevance of designing a suitable policy for technology development. Finally, a final analysis is performed with regard to the indicators used for economic evaluation of power plants, by comparing the differences between optimum designs found when using the levelized cost of electricity (LCoE) solely as performance indicator instead of cash-flows and profit-based indicators, such as the internal rate of return (IRR).

scholarly journals Reducing fossil fuel-based generation: Impact on wholesale electricity market prices in the North-Italy bidding zone

2021 ◽  
Vol 194 ◽  
pp. 107095
Author(s):  
Marco G. Flammini ◽  
Giuseppe Prettico ◽  
Andrea Mazza ◽  
Gianfranco Chicco
Keyword(s):  
Electricity Market ◽  
Fossil Fuel ◽  
Market Prices ◽  
The North ◽  
Wholesale Electricity Market

A Methodology for Determining Optimum Solar Tower Plant Configurations and Operating Strategies to Maximize Profits Based on Hourly Electricity Market Prices and Tariffs

2015 ◽  
Author(s):  
Rafael Guédez ◽  
Monika Topel ◽  
Inés Conde Buezas ◽  
Francisco Ferragut ◽  
Irene Callaba ◽  
...  
Keyword(s):  
Electricity Market ◽  
Power Plants ◽  
Technology Development ◽  
Performance Indicator ◽  
Final Analysis ◽  
Cash Flows ◽  
Levelized Cost Of Electricity ◽  
Market Prices ◽  
Operating Strategies ◽  
Plant Configuration

The present study analyses the influence that market conditions have on determining optimum molten salt solar tower plants with storage that maximize profits (in terms of plant configuration, sizing and operation) for a location in South Africa. Three different scenarios based on incentive programs and local wholesale electricity prices are considered. A multi-objective optimization modeling approach was followed, showing the trade-off curves between minimizing investment and maximizing profits when varying critical sizerelated parameters (such as nameplate capacity, solar multiple and storage capacity) together with power-cycle design and operating specifications including dynamic start-up curves and different storage dispatchability strategies. Results are shown by means of a comparative analysis between optimal plants found for each scenario, highlighting the value that storage has under the current two-tier tariff scheme, and the relevance of designing a suitable policy for technology development. Lastly, a final analysis is performed with regards of the indicators used for economic evaluation of power plants, by comparing the differences between optimum designs found when using the levelized cost of electricity solely as performance indicator instead of cash-flows and profit-based indicators, such as the internal rate of return.

Optimization of Thermal Power Plants Operation in the German De-Regulated Electricity Market Using Dynamic Programming

2012 ◽  
Author(s):  
G. Scarabello ◽  
S. Rech ◽  
A. Lazzaretto ◽  
A. Christidis ◽  
G. Tsatsaronis
Keyword(s):  
Electricity Market ◽  
Power Plants ◽  
Thermal Power ◽  
Optimal Operation ◽  
Renewable Energies ◽  
Combined Cycle ◽  
Mixed Integer ◽  
Programming Approach ◽  
Thermal Power Plants ◽  
Spot Prices

The prospect of clean electrical energy generation has recently driven to massive investments on renewable energies, which in turn has affected operation and profits of existing traditional thermal power plants. In this work several coal-fired and combined cycle power units are simulated under design and off-design conditions to adequately represent the behavior of all modern thermal units included in the German power system. A dynamic optimization problem is then solved to estimate the short-run profits obtained by these units using the spot prices of the German electricity market (EEX) in years 2007–2010. The optimization model is developed using a Mixed Integer Linear Programming approach to take the on-off status into account and reduce computational effort. New market scenarios with increasing renewable shares (and consequently different spot prices) are finally simulated to analyze the consequences of a larger capacity of renewable energies on the optimal operation of traditional thermal power plants.

scholarly journals Price Setters and Price Takers in the EU Electricity Market, a Comparative Analysis of Household Consumer Prices

2017 ◽  
Vol 6 (1) ◽  
pp. 174
Author(s):  
Aranit Shkurti ◽  
Macit Koc
Keyword(s):  
Electricity Market ◽  
Power Plants ◽  
Time Series Data ◽  
Weather Conditions ◽  
Series Data ◽  
Important Indicator ◽  
Spot Prices ◽  
Consumer Prices ◽  
Yearly Average ◽  
The Eu

The article is concerned with the analysis of the electric power prices at the European spot exchanges, taking in consideration 27 Countries of the Union (excluding UK). The time series data are considering the half yearly average of the countries, as reported by the Eurostat database. The article examines the way spot prices are influenced by power exchanges, based on the overall installed power of more healthier economies. In recent years a growing capacity from renewable sources is pouring in the system, anyway the implementation of renewable energies do not guarantee constant supply to the network as they depend on weather conditions and therefore must still have recourse to conventional generation types - such as gas and coal - which generally have higher operating costs than renewable. An increasing number of Member States have adjusted mechanisms to promote investment in power plants or provided incentives to keep them standing. These public measures may be justified in certain situations but according to recent guidelines, the European Commission has established that the adjustment mechanisms can be in contrast with the legislation on state aid. The identification of these discrepancies is studied in this article through the key characteristics of the price differential for the EU spot markets. The inflation generated from the price adjustments within the EU members can be considered an important indicator of market inefficiency.Key words: electricity spot exchanges, subsidies, price setter, price taker, household consumers.

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