Financial derivatives are important hedging tool for asset’s manager. Electricity is by its very nature the most … volatile commodity, which creates big incentive to share the risk among the market participants through financial contracts … restructuring of the sector, electricity markets continue to be considerably less liquid than other commodities. This paper tries to …

paper is to show that Variational Inequalities Problems provide a natural tool for modeling electricity restructuring in a …

. Industries purchase electricity according to some form of average cost price, the rest of the market is supplied at marginal cost …Carbon leakage in this pape ris the phenomenon whereby Electricity Intensive Industries subject to harsh environmental … free emission allowances with a pricing of electricity whereby energy emissions and transmission costs are bundled and sold …

) to analyse competitive electricity systems. We establish correspondences between these different models though a single … computationally feasible approach to simulate the market. It also opens the way to the modelling of some imperfect markets. …