Abstract
This chapter focuses on the optimization model that is at the heart of the smart market for water, expanding on the model introduced in Sect. 6.6. We first contrast net pool markets with gross pool markets, and the implications of those market designs. The following sections provide market model formulations for specific hydrological cases: a basic reservoir, surface water systems without storage, surface water systems with reservoirs, groundwater systems without surface water intakes, and conjunctive use with groundwater and surface water. We show how the hydrology affects the model, and discuss the market issues specific to each hydrological situation.
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Raffensperger, J.F., Milke, M.W. (2017). The Smart Market Optimization Model. In: Smart Markets for Water Resources. Global Issues in Water Policy, vol 12. Springer, Cham. https://doi.org/10.1007/978-3-319-55008-4_7
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DOI: https://doi.org/10.1007/978-3-319-55008-4_7
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