Abstract
This paper develops optimal generator bidding strategies in a competitive electricity market. Starting from a generator’s cost curve, basic bidding concepts such as the break-even bid curve and the maximum profit bid curve can be readily derived. The maximum profit bid curve can be extended to account for generator availability and derating. In addition, multiple-segment block energy bids can be optimized based on the maximum profit curve and the probabilistic distribution of market clearing prices.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.