Marginal/shared transmission pricing

J. W. Bialek, W. A. Kirk-Wilson

Research output: Contribution to conferencePaperpeer-review

Abstract

Marginal transmission charging often results in the under-recovery of the total transmission costs so that a supplementary charge has to bc added to make up for the deficit. In this paper a modification of the supplement charge allocation based on the electricity tracing method has been suggested. The generators, due to their high price elasticity, are faced with the undiluted marginal charges while the loads, which are less price sensitive, pay the supplementary charge. The supplementary charge consists of the non-locational component proportional to the unused capacity of the network and a locational charge proportional to the actual system usage by a load. This strategy ensures stable and continuous charges.

Original languageEnglish
Pages395-398
Number of pages4
Publication statusPublished - 1997
Externally publishedYes
EventProceedings of the 1997 32nd Universities Power Engineering Conference, UPEC'97. Part 1 (of 2) - Manchester, UK
Duration: 10 Sep 199712 Sep 1997

Conference

ConferenceProceedings of the 1997 32nd Universities Power Engineering Conference, UPEC'97. Part 1 (of 2)
CityManchester, UK
Period10/09/9712/09/97

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