Strategic decisions on bilateral bidding behavior: evidence from a wholesale electricity market

被引:0
|
作者
Victor F. Moutinho
António C. Moreira
João Paulo C. Bento
机构
[1] University of Aveiro,GOVCOPP, Department of Economics, Management, Industrial Engineering and Tourism
来源
Empirical Economics | 2018年 / 54卷
关键词
Bidding behavior; Electricity spot market; Spain; Cointegration; Toda–Yamamoto Granger causality; L13; D22;
D O I
暂无
中图分类号
学科分类号
摘要
This article analyzes the strategic bilateral bidding behavior in the Spanish electricity wholesale market (OMEL). The collection of data includes information regarding weekly averages of spot prices, the quantity bid in the wholesale market, the quantities purchased in the wholesale market and sold in the open market, and the behavior of conduct parameters for the period from January 2002 to April 2007 for the four largest firms of the Spanish electricity market: Endesa, Iberdrola, Unión Fenosa and Hidrocantábrico. This article employs the New Empirical Industrial Organization approach. The empirical analysis was based on the autoregressive distributed lag approach to cointegration and on the Toda–Yamamoto Granger causality tests to validate the standard version of the theoretical formulation of the standard Cournot model, and its theoretical extension, to encompass the hypothesis of the presence of bid interdependence for electricity quantities sold and bought in the Spanish electricity wholesale market. The results of cointegration and causality analysis reinforce the empirical results of the extended Cournot model with the inclusion of the two main bidding variables that solved the optimization problem of profit maximization for each of the four firms analyzed.
引用
收藏
页码:1353 / 1387
页数:34
相关论文
共 50 条
  • [1] Strategic decisions on bilateral bidding behavior: evidence from a wholesale electricity market
    Moutinho, Victor F.
    Moreira, Antonio C.
    Bento, Joao Paulo C.
    EMPIRICAL ECONOMICS, 2018, 54 (03) : 1353 - 1387
  • [2] Generators' bidding behavior in the NYISO day-ahead wholesale electricity market
    Zhang, Ning
    ENERGY ECONOMICS, 2009, 31 (06) : 897 - 913
  • [3] Implications of Generation Bidding on the Mexican Wholesale Electricity Market
    Alejandre, L.
    Alcaraz, G.
    Tovar-Hernandez, J.
    IEEE LATIN AMERICA TRANSACTIONS, 2018, 16 (11) : 2817 - 2826
  • [4] Private management and strategic bidding behavior in electricity markets: Evidence from Colombia
    Suarez, Carlos
    ENERGY ECONOMICS, 2022, 111
  • [5] Strategic Forward Contracting in the Wholesale Electricity Market
    Holmberg, Par
    ENERGY JOURNAL, 2011, 32 (01): : 169 - 202
  • [6] Strategic behaviors and transfer of wholesale costs to retail prices in the electricity market: Evidence from Colombia
    Correa-Giraldo, Manuel
    Garcia-Rendon, John J.
    Perez, Alex
    ENERGY ECONOMICS, 2021, 99
  • [7] Bidding in local electricity markets with cascading wholesale market integration
    Lezama, Fernando
    Soares, Joao
    Faia, Ricardo
    Vale, Zita
    Kilkki, Olli
    Repo, Sirpa
    Segerstam, Jan
    INTERNATIONAL JOURNAL OF ELECTRICAL POWER & ENERGY SYSTEMS, 2021, 131
  • [8] Electricity market based on bilateral block bidding
    Du, Chao, 1600, Automation of Electric Power Systems Press
  • [9] Bidding behavior in the Chilean electricity market
    Bustos-Salvagno, Javier
    ENERGY ECONOMICS, 2015, 51 : 288 - 299
  • [10] Strategic bidding in continuous electricity auctions: an application to the Spanish electricity market
    Aparicio, Juan
    Carlos Ferrando, Juan
    Meca, Ana
    Sancho, Julia
    ANNALS OF OPERATIONS RESEARCH, 2008, 158 (01) : 229 - 241