Unit commitment for combined pool/bilateral markets with emissions trading

Research output: Contribution to conferencePaper

18 Citations (Scopus)

Abstract

The paper proposes a unit commitment problem formulation which models combined pool/bilateral operation as well as effects of emissions constraints and emissions trading mechanisms. In here proposed model, power outputs of generators are, on one hand, bounded by their bilateral contract commitments, and on the other side, by the amount of CO2 emissions that they are allowed to produce over time. These emissions constraints introduce additional complexity as it is becoming more important for generating units to decide on when and how much to produce, as well as to investigate how to mange their allocated CO2 permissions in the most economic way. Since the proposed formulation of the market clearing includes costs of buying and selling of CO2 allowances, it permits analysis on how emission caps and emission market prices can influence generation decisions and the resulting generation scheduling. The method is illustrated on a 5-unit system, and given examples investigate how different levels of bilateral trades, as well as amounts of CO2 allowances, may affect the market outcome.
LanguageEnglish
Pages4637-4645
Number of pages9
DOIs
Publication statusPublished - Jul 2008

Fingerprint

Sales
Scheduling
Economics
Costs

Keywords

  • unit commitment
  • market clearing
  • pool operation
  • bilateral contracts
  • emissions constraints
  • emissions trading

Cite this

@conference{e401471be2da4197a13b8387870e70f8,
title = "Unit commitment for combined pool/bilateral markets with emissions trading",
abstract = "The paper proposes a unit commitment problem formulation which models combined pool/bilateral operation as well as effects of emissions constraints and emissions trading mechanisms. In here proposed model, power outputs of generators are, on one hand, bounded by their bilateral contract commitments, and on the other side, by the amount of CO2 emissions that they are allowed to produce over time. These emissions constraints introduce additional complexity as it is becoming more important for generating units to decide on when and how much to produce, as well as to investigate how to mange their allocated CO2 permissions in the most economic way. Since the proposed formulation of the market clearing includes costs of buying and selling of CO2 allowances, it permits analysis on how emission caps and emission market prices can influence generation decisions and the resulting generation scheduling. The method is illustrated on a 5-unit system, and given examples investigate how different levels of bilateral trades, as well as amounts of CO2 allowances, may affect the market outcome.",
keywords = "unit commitment, market clearing, pool operation, bilateral contracts, emissions constraints, emissions trading",
author = "I. Kockar",
year = "2008",
month = "7",
doi = "10.1109/PES.2008.4596918",
language = "English",
pages = "4637--4645",

}

Unit commitment for combined pool/bilateral markets with emissions trading. / Kockar, I.

2008. 4637-4645.

Research output: Contribution to conferencePaper

TY - CONF

T1 - Unit commitment for combined pool/bilateral markets with emissions trading

AU - Kockar, I.

PY - 2008/7

Y1 - 2008/7

N2 - The paper proposes a unit commitment problem formulation which models combined pool/bilateral operation as well as effects of emissions constraints and emissions trading mechanisms. In here proposed model, power outputs of generators are, on one hand, bounded by their bilateral contract commitments, and on the other side, by the amount of CO2 emissions that they are allowed to produce over time. These emissions constraints introduce additional complexity as it is becoming more important for generating units to decide on when and how much to produce, as well as to investigate how to mange their allocated CO2 permissions in the most economic way. Since the proposed formulation of the market clearing includes costs of buying and selling of CO2 allowances, it permits analysis on how emission caps and emission market prices can influence generation decisions and the resulting generation scheduling. The method is illustrated on a 5-unit system, and given examples investigate how different levels of bilateral trades, as well as amounts of CO2 allowances, may affect the market outcome.

AB - The paper proposes a unit commitment problem formulation which models combined pool/bilateral operation as well as effects of emissions constraints and emissions trading mechanisms. In here proposed model, power outputs of generators are, on one hand, bounded by their bilateral contract commitments, and on the other side, by the amount of CO2 emissions that they are allowed to produce over time. These emissions constraints introduce additional complexity as it is becoming more important for generating units to decide on when and how much to produce, as well as to investigate how to mange their allocated CO2 permissions in the most economic way. Since the proposed formulation of the market clearing includes costs of buying and selling of CO2 allowances, it permits analysis on how emission caps and emission market prices can influence generation decisions and the resulting generation scheduling. The method is illustrated on a 5-unit system, and given examples investigate how different levels of bilateral trades, as well as amounts of CO2 allowances, may affect the market outcome.

KW - unit commitment

KW - market clearing

KW - pool operation

KW - bilateral contracts

KW - emissions constraints

KW - emissions trading

U2 - 10.1109/PES.2008.4596918

DO - 10.1109/PES.2008.4596918

M3 - Paper

SP - 4637

EP - 4645

ER -