• DocumentCode
    2189089
  • Title

    Electricity insurance pricing for the bilateral contract market

  • Author

    Nitanan, Annop ; Audomvongseree, Kulyos

  • Author_Institution
    Dept. of Electr. Eng., Chulalongkorn Univ., Bangkok, Thailand
  • fYear
    2011
  • fDate
    17-19 May 2011
  • Firstpage
    812
  • Lastpage
    815
  • Abstract
    This paper proposes electricity insurance pricing for bilateral contract market, which is supervised by the independent system operation (ISO). The ISO controls all transactions occurring in the system as well as it can curtail some transactions in case there exists a congestion problem. The pricing scheme is based on the fair game principle. We use Monte Carlo simulation to generate contingency events; and use them to price the fair insurance premium. Application of this method to IEEE RTS-79 test system is shown as an example.
  • Keywords
    Monte Carlo methods; insurance; power markets; pricing; IEEE RTS-79 test system; ISO control; Monte Carlo simulation; bilateral contract market; electricity insurance pricing; fair game principle; independent system operation; ISO; Insurance; Markov processes; Monte Carlo methods; Pricing; Bilateral contract; Electricity insurance;
  • fLanguage
    English
  • Publisher
    ieee
  • Conference_Titel
    Electrical Engineering/Electronics, Computer, Telecommunications and Information Technology (ECTI-CON), 2011 8th International Conference on
  • Conference_Location
    Khon Kaen
  • Print_ISBN
    978-1-4577-0425-3
  • Type

    conf

  • DOI
    10.1109/ECTICON.2011.5947964
  • Filename
    5947964