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In this paper, two different approaches to analyzing firm-based market power considering transmission constraints are proposed. One is an application of the transmission-constrained residual demand Jacobian, while the other is a generalization of the “residual supply index” to the case of transmission constraints. These two approaches provide complementary evaluations of market power. Medium- and...
In this panel session paper, we discuss the interaction of market power in electricity markets, market power mitigation procedures in place in various independent system operators in North America, particularly in the context of transmission constraints, and the efficiency of the markets.
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