Peak-load pricing with different types of dispatchability

摘要: We extend the theory of peak-load pricing by considering that production with different technologies can be adjusted within their capacity at speeds. In established analysis, all decisions made after random variables realize. our setting, in contrast, some are before, others after. This is important, e.g., when increasing capacities renewables integrated electricity systems worldwide. consider fixed load and three types capacities: partially dispatchable (e.g., nuclear power-plants) needs to scheduled ahead actual production, non-dispatchable wind turbines) produces randomly, highly-dispatchable gas instantly adjust. If differ dispatchability, standard results break down. For example, less will employed. Either a system only, or dominated supplemented highly-dispatchables occurs. Non- highly substitutes complements. The probability outage does not rise if becomes cheaper. non-dispatchables, cannot decentralized conventional markets because cost recovery possible. Thus, integration renewable generators requires alternative market designs.