We analyze investments in gas-fired power plants under stochastic electricity and natural gas prices. A simple but realistic two-factor model is used for price processes, enabling analysis of the value of operating flexibility, the opportunity to abandon the capital equipment, as well as finding...

We analyze investments in gas-fired power plants under stochastic electricity and natural gas prices. A simple but realistic two-factor model is used for price processes, enabling analysis of the value of operating flexibility, the opportunity to abandon the capital equipment, as well as finding...

Bidding of flexible reservoir hydropower in day-ahead (spot) auctions needs to be done under uncertainty of electricity prices and inflow to reservoirs. The presence of reservoirs also means that the short-term problem of determining bids for the next 12–36 hours is a part of a long term...

The system integration of an increasing amount of electricity generation from decentralised renewable energy sources (RES-E) is a major challenge for the transition of the European power system. The feed-in profiles and the potential of RES-E vary along the geographical and temporal dimension...

Short-term Electricity Demand Response (DR) is an emerging technology in Europe's Electricity markets that will introduce a new degree of flexibility. The objective of this work is to analyze to what extent the untapped DR potential can facilitate an optimal transition to an European low...

In order to mitigate climate change, the energy sector undergoes a transformation towards a climate-neutral future based on renewable energy sources. Energy system models generate insights and support decision making for this transformation. In the face of, e.g., growingly complex and important...

The application of Nash bargaining solution to profit division in negotiation between opencast lignite mine and power plant has been discussed. Different proposals of status quo point usage and ways of its determination for profit sharing both in strategic and tactical/operational negotiation...

When prices are set properly, they serve as important signals to guide customers to consume the efficient quantity of a good. However, in electricity markets many consumers do not pay prices that reflect the scarcity of power. The true social cost of power varies throughout a typical day; power...

This thesis identifies the conditions under which and quantifies how much society gains from integrating demand response directly into wholesale electricity markets and the level of participation that will bring about these improvements. Furthermore, it identifies the conditions under which the...

The main object of this paper is the study of tax evasion from a theoretical point of view. We construct a simple two-player model in order to analyze the interaction between the taxpayer and the IRS and the main tool we use is game theory. We derive equilibrium solutions for the static game and...