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Overview of Wholesale Electricity Markets

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Electricity Markets with Increasing Levels of Renewable Generation: Structure, Operation, Agent-based Simulation, and Emerging Designs

Part of the book series: Studies in Systems, Decision and Control ((SSDC,volume 144))

Abstract

This chapter provides a comprehensive review of four key electricity markets:

  • Energy markets (day-ahead and real-time markets).

  • Ancillary service markets.

  • Financial transmission rights markets.

  • Capacity markets.

It also discusses how the outcomes of each of these markets may be impacted by the introduction of high penetrations of variable generation. Furthermore, the chapter examines considerations needed to ensure that wholesale market designs are inclusive of emerging technologies, such as demand response, distributed generation, and distributed storage.

This chapter is based on the overview of wholesale electricity market designs presented by Ela et al. [1, Sect. 2].

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Notes

  1. 1.

    Munn v. Illinois (94 U.S. 113, 1887), Smyth v. Ames (169 U.S. 466), and Federal Power Commission v. Hope Natural Gas Company (320 U.S. 591).

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Author information

Authors and Affiliations

  1. Electric Power Research Institute, Palo Alto, CA, 94304, USA

    Erik Ela

  2. National Renewable Energy Laboratory, Golden, CO, 80401, USA

    Michael Milligan, Aaron Bloom, Jaquelin Cochran & Aaron Townsend

  3. Argonne National Laboratory, Argonne, IL, 60439, USA

    Audun Botterud & Todd Levin

Authors
  1. Erik Ela
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  2. Michael Milligan
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  3. Aaron Bloom
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  4. Jaquelin Cochran
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  5. Audun Botterud
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  6. Aaron Townsend
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  7. Todd Levin
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Corresponding author

Correspondence to Erik Ela .

Editor information

Editors and Affiliations

  1. National Laboratory of Energy and Geology, Lisbon, Portugal

    Fernando Lopes

  2. University of Lisbon, Lisbon, Portugal

    Helder Coelho

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Ela, E. et al. (2018). Overview of Wholesale Electricity Markets. In: Lopes, F., Coelho, H. (eds) Electricity Markets with Increasing Levels of Renewable Generation: Structure, Operation, Agent-based Simulation, and Emerging Designs. Studies in Systems, Decision and Control, vol 144. Springer, Cham. https://doi.org/10.1007/978-3-319-74263-2_1

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  • DOI: https://doi.org/10.1007/978-3-319-74263-2_1

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  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-319-74261-8

  • Online ISBN: 978-3-319-74263-2

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