1 / 1

Shadow Price Cap for Non-Competitive Constraints

Shadow Price Cap for Non-Competitive Constraints. If a Non-Competitive Constraint is at the Shadow Price Caps for more than x (say 5) hours over a rolling 12-month period, then s et the Shadow Price Cap at y% (say 30-40%) of its previous value.

olivia-gomez
Download Presentation

Shadow Price Cap for Non-Competitive Constraints

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Shadow Price Cap for Non-Competitive Constraints • If a Non-Competitive Constraint is at the Shadow Price Caps for more than x (say 5) hours over a rolling 12-month period, then set the Shadow Price Cap at y% (say 30-40%) of its previous value. • If the sum of Shadow Prices for the Non-Competitive Constraint exceeds $z (say …….) over a rolling 12-month period, then set Shadow Price Cap for that constraint at $L/MW/hr (say $500/MW/hr). • At the earlier of the constraint becoming competitive or 12 months after setting the Shadow Price Cap at $500/Mw/hr, reset the Shadow Price Cap at its original value if the constraints becomes competitive or at y% of its original value and repeat 2 and 3.

More Related