Ramsey Pricing in a Congested Network with Market Power in Generation: A Numerical Illustration for Belgium.

Abstract: This paper derives the socially optimal transmission prices in a congested electricity network when there is imperfect competition in generation, and when the budget constraint of the network operator is binding. The results which we derive are a generalization of the standard Ramsey prices and also of the locational marginal prices (LMP). The model is illustrated with a numerical model based on the Belgian electricity data.

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Year of publication:	2004-08
Authors:	Pepermans, Guido ; Willems, Bert
Institutions:	Centrum voor Economische Studiën, Faculteit Economie en Bedrijfswetenschappen
Subject:	Regulation \| Transmission \| Electricity \| Cournot \| Numerical model \| Security constraints \| MPEC \| loadflow \| Belgium

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Extent:	application/pdf
Series:	Energy, Transport and Environment Working Papers Series.
Type of publication:	Book / Working Paper
Language:	English
Notes:	38 pages
Classification:	D42 - Monopoly ; L13 - Oligopoly and Other Imperfect Markets ; L94 - Electric Utilities ; L43 - Legal Monopolies and Regulation or Deregulation
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005503934