The Study of Electricity Market Monitoring Index System

Electricity market monitoring has become a routine work of power market regulating in some developed countries. Its scientific approach is establishing an electricity market monitoring index system that could reflect the market volatility and preceding a comprehensive evaluation. In this paper, based on the systematic theory of electricity market monitoring, we launch an empirical analysis of the operation of California electricity market from 2000 to 2007 by principal component methods, the conclusion is consistent with the facts basically. Thus proving that early warning function of electricity market monitoring is practical and important.