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- W1567148818 abstract "The marginal cost of production has always been a key parameter in the economics of utility operation. Vertically integrated utilities will analyse its profile in setting bulk supply tariffs. In the new markets it often sets the price for trading. In order to be able to predict the SMP and assess the effect of new generation it is necessary to understand its derivation and its relationship to the generation plant mix. The SMP is usually the incremental price of the marginal or most expensive generator. Separate sections describe two approaches, graphical approach and LP formulation, to derive an optimal plant mix and illustrate its relationship to the SMP. If the future plant mix is estimated, then an appropriate SMP can be derived from the incremental price of each generation tranche for the period of the year when it would be marginal weighted according to the period duration." @default.
- W1567148818 created "2016-06-24" @default.
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- W1567148818 date "1998-10-29" @default.
- W1567148818 modified "2023-09-23" @default.
- W1567148818 title "SMP Theory and Optimal Plant Mix" @default.
- W1567148818 doi "https://doi.org/10.1002/9781118878293.ch6" @default.
- W1567148818 hasPublicationYear "1998" @default.
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