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
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