The Effect of Economic Benefits in Pool Based Market Model

Abstract

Nowadays, electricity is an important input in the modern economy. Therefore, enhancing its electricity supply industry is necessity to become more straightforward and productive with competitive environment. Under wholesale market model, the pool model is recognized as a conceivable and transparent, also is amongst the most preferred electricity market model. However, there are issues on the benefit of the generators involved. Hence, the economic analysis is performed to highlight the effect of generation revenue to demand assessment in pool based market model. Therefore, each generator’s revenue involving 24 generators around Peninsular Malaysia under hybrid model, pool hybrid model and spot market model is conducted. Results have shown that the pool hybrid market ensures the intermediate value of generation revenue and decreased the demand payment.