Transmission grids suffer from traffic congestion, much like interstate highways. Just as certain stretches of road reach maximum capacity during rush-hour, certain key transmission lines can reach maximum capacity at times of high power demand. When lines become congested, using the lowest cost generator may not be possible. Exceeding a line's maximum capacity can damage the line, so the system operators must balance loads to ensure that power keeps flowing.
PJM's cheapest generators tend to be in western Pennsylvania, while their biggest loads are mostly in the east. Bottlenecks in the major transmission lines can occur as eastern buyers try to obtain the best prices. The simple solution of the past -- build or upgrade transmission lines -- runs into environmental concerns and resistance from property-owners.
Few new transmission lines are under construction, and upgrades can be prohibitively expensive. New open-access rules for wholesale power are increasing pressure on system operators as more traders attempt to "wheel" power through transmission grids. Locational Marginal Pricing is an attempt by PJM to change transmission congestion from a purely technical problem to one solvable by economics. LMP is a flexible pricing system that reflects differences in electricity production costs, locations of generators and users, and total system demand.
All of these are variable elements not reflected in a one-price-fits-all system. According to PJM, "LMP is the marginal cost of supplying the next increment of electric energy at a specific location node on the Electric Power Network, taking into account both generation marginal cost and the physical aspects of the transmission system. PJM recognized about "nodes" within their system, and calculates prices based on where a given block of electricity enters the system and where it exits the "source node" and the "sink node".
The data and methodology would have to be obtained directly from ICE. These power indices are taken directly from transactions executed on the ICE platform. ICE's OTC participants are some of the world's largest energy companies, financial institutions, and other active members in the global commodity markets. Participants include refiners, power stations, utilities, chemical and transportation companies, banks and hedge funds, as well as other energy and financial industry professionals.
In addition to the price filters on the Intercontinental trading platform in accordance with their Fair Trading initiative, the following types of trades are considered "non-qualifying", and are not included in the indices: Trades done between two companies that are owned by the same parent company Price basis spread legs, i.
Contact data experts. Renewable energy system includes a biomass stove but does not include an incinerator or digester. Interconnection Service s means any Interconnection, Resale Services, c 3 UNEs, Collocation, functions, facilities, products or services offered under this Agreement. Utility Services means water, sewer, electricity or fuel.
Terminal operator means a person who owns, operates, or otherwise controls a terminal. Cogeneration means the simultaneous generation in one process of thermal energy and electrical or mechanical energy;. Interconnector means equipment used to link the electricity system of the State to electricity systems outside of the State;. Reference Qwest Technical Publication Interconnection Point means the point s of connection s at which the project is connected to the grid i.
Telecommunications company means a person engaged in the furnishing of telecommunications service within this state.
0コメント