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U.S. Department of Energy
Office of Scientific and Technical Information

Real-time pricing -- supplanted by Price-risk derivatives?

Journal Article · · Fortnightly
OSTI ID:518501
Future trends in pricing options for wholesale electrical generation are discussed. Specifically, the effect of price derivatives on electricity consumption are examined. Economic analyses are presented for customer demand in real-time pricing scenarios with and without a price derivative hedge. It is determined that consumption will be curtailed even when price caps have been purchased. Consumption behavior is also analyzed to determine the effect of different price caps; regardless of price, consumption is curtailed in response to price.
OSTI ID:
518501
Journal Information:
Fortnightly, Journal Name: Fortnightly Journal Issue: 5 Vol. 135; ISSN FRTNE8
Country of Publication:
United States
Language:
English