The Nodal Market Power Index (NMP Index) for Modelling and Visualising Market Power

This paper deals with a systematic way for modelling and visualising market power in liberalised electricitymarkets. The paper first introduces a new index termed the “Nodal Market Power” index, the NMP index. The NMP index is calculated based on the concept of “social welfare” in economics and the...

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Main Authors: Hesamzadeh, M., Biggar, D., Wolfs, Peter
Other Authors: Not known
Format: Conference Paper
Published: IEEE Power & energy Society 2010
Subjects:
Online Access:http://hdl.handle.net/20.500.11937/30220
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author Hesamzadeh, M.
Biggar, D.
Wolfs, Peter
author2 Not known
author_facet Not known
Hesamzadeh, M.
Biggar, D.
Wolfs, Peter
author_sort Hesamzadeh, M.
building Curtin Institutional Repository
collection Online Access
description This paper deals with a systematic way for modelling and visualising market power in liberalised electricitymarkets. The paper first introduces a new index termed the “Nodal Market Power” index, the NMP index. The NMP index is calculated based on the concept of “social welfare” in economics and the game theory in applied mathematics. The oligopoly electricity market is modelled through a non-cooperative game and the solution concept of the Nash equilibrium. The solution concept of Nash equilibrium is reformulated as an optimisation problem. To tackle the multiple Nash equilibria problem, the worst Nash equilibrium in terms of the social cost to the society is selected. Then after, the NMP index is calculated for each node of power system. A colour contour map is used for visualising the market power using the NMP index.
first_indexed 2025-11-14T08:17:58Z
format Conference Paper
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institution Curtin University Malaysia
institution_category Local University
last_indexed 2025-11-14T08:17:58Z
publishDate 2010
publisher IEEE Power & energy Society
recordtype eprints
repository_type Digital Repository
spelling curtin-20.500.11937-302202017-01-30T13:18:12Z The Nodal Market Power Index (NMP Index) for Modelling and Visualising Market Power Hesamzadeh, M. Biggar, D. Wolfs, Peter Not known Market Power Nodal Market Power Index Stackelberg-Worst Nash Equilibrium This paper deals with a systematic way for modelling and visualising market power in liberalised electricitymarkets. The paper first introduces a new index termed the “Nodal Market Power” index, the NMP index. The NMP index is calculated based on the concept of “social welfare” in economics and the game theory in applied mathematics. The oligopoly electricity market is modelled through a non-cooperative game and the solution concept of the Nash equilibrium. The solution concept of Nash equilibrium is reformulated as an optimisation problem. To tackle the multiple Nash equilibria problem, the worst Nash equilibrium in terms of the social cost to the society is selected. Then after, the NMP index is calculated for each node of power system. A colour contour map is used for visualising the market power using the NMP index. 2010 Conference Paper http://hdl.handle.net/20.500.11937/30220 IEEE Power & energy Society fulltext
spellingShingle Market Power
Nodal Market Power Index
Stackelberg-Worst Nash Equilibrium
Hesamzadeh, M.
Biggar, D.
Wolfs, Peter
The Nodal Market Power Index (NMP Index) for Modelling and Visualising Market Power
title The Nodal Market Power Index (NMP Index) for Modelling and Visualising Market Power
title_full The Nodal Market Power Index (NMP Index) for Modelling and Visualising Market Power
title_fullStr The Nodal Market Power Index (NMP Index) for Modelling and Visualising Market Power
title_full_unstemmed The Nodal Market Power Index (NMP Index) for Modelling and Visualising Market Power
title_short The Nodal Market Power Index (NMP Index) for Modelling and Visualising Market Power
title_sort nodal market power index (nmp index) for modelling and visualising market power
topic Market Power
Nodal Market Power Index
Stackelberg-Worst Nash Equilibrium
url http://hdl.handle.net/20.500.11937/30220