| Title |
A Methodological Analysis of Local Market Power and its Application to Korea Electricity Market |
| Authors |
신영균(Shin Young-Kyun) ; 이동진(Lee Dong-jin) ; 김발호(Kim Balho H.) |
| Keywords |
Local Market Power ; Uniform Pricing ; Uplift ; Transmission Congestion ; Constrained On/Off Payment |
| Abstract |
The presence of transmission congestion may reduce the market size and split the bulk power system into smaller systems. Consequently, this can be a key factor to the increase in market price. This paper analyzes the effect of exercising local market power on the market price, and derives a range of indices which quantify the degree and incentive of local market power through statistical analysis in an electricity market with uniform pricing scheme. The applicability and effectiveness of the derived indices on competitive electricity markets are demonstrated on the Korea electricity market. |