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Resource Adequacy
Resource adequacy (RA, also supply adequacy) in the field of electric power is the ability of the electric grid to satisfy the end-user power demand at any time (typically an issue at the peak demand). RA is a component of the electric system reliability. For example, sufficient unused generation capacity shall be available to the electrical grid at any time to accommodate equipment failures and drops in variable renewable energy sources (e.g, wind dying down). The adequacy standard should satisfy the chosen reliability index, typically the loss of load expectation (LOLE) of 1 day in 10 years (so called "1-in-10"). Vertically integrated utility In the case of a vertically integrated electric utility RA was part of the integrated resource planning, done by the utility itself, with expenses negotiated with regulators that were representing the captive customers. These monopoly utilities had an incentive to overestimate the peak demand in order to build more capacity and justi ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Electric Power
Electric power is the rate at which electrical energy is transferred by an electric circuit. The SI unit of power is the watt, one joule per second. Standard prefixes apply to watts as with other SI units: thousands, millions and billions of watts are called kilowatts, megawatts and gigawatts respectively. A common misconception is that electric power is bought and sold, but actually electrical energy is bought and sold. For example, electricity is sold to consumers in kilowatt-hours (kilowatts multiplied by hours), because energy is power multiplied by time. Electric power is usually produced by electric generators, but can also be supplied by sources such as electric batteries. It is usually supplied to businesses and homes (as domestic mains electricity) by the electric power industry through an electrical grid. Electric power can be delivered over long distances by transmission lines and used for applications such as motion, light or heat with high efficien ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Firm Capacity
An electrical grid is an interconnected network for electricity delivery from producers to consumers. Electrical grids vary in size and can cover whole countries or continents. It consists of:Kaplan, S. M. (2009). Smart Grid. Electrical Power Transmission: Background and Policy Issues. The Capital.Net, Government Series. Pp. 1-42. * power stations: often located near energy and away from heavily populated areas * electrical substations to step voltage up or down * electric power transmission to carry power long distances * electric power distribution to individual customers, where voltage is stepped down again to the required service voltage(s). Grids are nearly always synchronous, meaning all distribution areas operate with three phase alternating current (AC) frequencies synchronized (so that voltage swings occur at almost the same time). This allows transmission of AC power throughout the area, connecting a large number of electricity generators and consumers and potenti ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Forward Market
The forward market is the informal over-the-counter financial market by which contracts for future delivery are entered into. It is mainly used for trading in foreign currencies, where the contracts are used to hedge against foreign exchange risk. Commodities are also traded on forward markets. Examples include agricultural products such as rice, and energy futures, such as oil and natural gas. Transactions on a forward market are typically not standardized, and contracts are customised to the needs of the trading parties. In contrast, standardized forward contracts are called futures contracts and traded on a futures exchange A futures exchange or futures market is a central financial exchange where people can trade standardized futures contracts defined by the exchange. Futures contracts are derivatives contracts to buy or sell specific quantities of a commodity or .... See also * Forward exchange market References {{DEFAULTSORT:Forward Market Financial markets ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Load Serving Entity
Load serving entity (LSE) in a deregulated electricity market is a company or government agency that is obligated by law or via a long-term contract to provide electrical power to end-users. The term is used in regulation, yet is vague and thus subject to prolonged political wrangling. For example, the US law defines an LSE as an obligation-bound provider of electricity directly to consumers or to a utility that serves the consumers. FERC defines the LSE as "any entity, including a load aggregator or power marketer, that serves end-users within a control area and has been granted the authority or has an obligation pursuant to state or local law, regulation, or franchise to sell electric energy to end-users located within the control area". An LSE can be considered to be a demand aggregator for the end-users or a middleman capable of setting its own prices to extract profit. Opgrand suggests to classify the LSEs into two distinct types, ''regulated utilities'' and ''unregulated LS ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Rolling Blackout
A rolling blackout, also referred to as rota or rotational load shedding, rota disconnection, feeder rotation, or a rotating outage, is an intentionally engineered electrical power shutdown in which electricity delivery is stopped for non-overlapping periods of time over different parts of the distribution region. Rolling blackouts are a last-resort measure used by an electric utility company to avoid a total blackout of the power system. Rolling blackouts are a measure of demand response if the demand for electricity exceeds the power supply capability of the network. Rolling blackouts may be localised to a specific part of the electricity network, or they may be more widespread and affect entire countries and continents. Rolling blackouts generally result from two causes: insufficient generation capacity or inadequate transmission infrastructure to deliver power to where it is needed. Rolling blackouts are also used as a response strategy to cope with reduced output beyond ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Price-cap Regulation
Price-cap regulation is a form of regulation. Designed in the 1980s by UK Treasury economist Stephen Littlechild, it has been applied to all privatized British network utilities. It is contrasted with both rate-of-return regulation, with utilities being permitted a set rate of return on capital, and with revenue-cap regulation, with total revenue being the regulated variable. Price cap regulation adjusts the operator's prices according to the price cap index that reflects the overall rate of inflation in the economy, the ability of the operator to gain efficiencies relative to the average firm in the economy, and the inflation in the operator's input prices relative to the average firm in the economy. Revenue cap regulation attempts to do the same thing but for revenue, rather than prices.Body of Knowledge ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Scarcity Pricing
In economics, scarcity "refers to the basic fact of life that there exists only a finite amount of human and nonhuman resources which the best technical knowledge is capable of using to produce only limited maximum amounts of each economic good."Samuelson, P. Anthony., Samuelson, W. (1980). Economics. 11th ed. / New York: McGraw-Hill. If the conditions of scarcity didn't exist and an "infinite amount of every good could be produced or human wants fully satisfied ... there would be no economic goods, i.e. goods that are relatively scarce..." Scarcity is the limited availability of a commodity, which may be in demand in the market or by the commons. Scarcity also includes an individual's lack of resources to buy commodities. The opposite of scarcity is abundance. Scarcity plays a key role in economic theory, and it is essential for a "proper definition of economics itself."Montani G. (1987) Scarcity. In: Palgrave Macmillan (eds) ''The New Palgrave Dictionary of Economics''. Palgra ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Space Heating
Heating, ventilation, and air conditioning (HVAC) is the use of various technologies to control the temperature, humidity, and purity of the air in an enclosed space. Its goal is to provide thermal comfort and acceptable indoor air quality. HVAC system design is a subdiscipline of mechanical engineering, based on the principles of thermodynamics, fluid mechanics, and heat transfer. "Refrigeration" is sometimes added to the field's abbreviation as HVAC&R or HVACR, or "ventilation" is dropped, as in HACR (as in the designation of HACR-rated circuit breakers). HVAC is an important part of residential structures such as single family homes, apartment buildings, hotels, and senior living facilities; medium to large industrial and office buildings such as skyscrapers and hospitals; vehicles such as cars, trains, airplanes, ships and submarines; and in marine environments, where safe and healthy building conditions are regulated with respect to temperature and humidity, using fresh a ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Return On Investment
Return on investment (ROI) or return on costs (ROC) is a ratio between net income (over a period) and investment (costs resulting from an investment of some resources at a point in time). A high ROI means the investment's gains compare favourably to its cost. As a performance measure, ROI is used to evaluate the efficiency of an investment or to compare the efficiencies of several different investments.Return On Investment – ROI , Investopedia as accessed 8 January 2013 In economic terms, it is one way of relating profits to capital invested. Purpose In business, the pur ...[...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Marginal Cost
In economics, the marginal cost is the change in the total cost that arises when the quantity produced is incremented, the cost of producing additional quantity. In some contexts, it refers to an increment of one unit of output, and in others it refers to the rate of change of total cost as output is increased by an infinitesimal amount. As Figure 1 shows, the marginal cost is measured in dollars per unit, whereas total cost is in dollars, and the marginal cost is the slope of the total cost, the rate at which it increases with output. Marginal cost is different from average cost, which is the total cost divided by the number of units produced. At each level of production and time period being considered, marginal cost includes all costs that vary with the level of production, whereas costs that do not vary with production are fixed. For example, the marginal cost of producing an automobile will include the costs of labor and parts needed for the additional automobile but not th ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Fixed Cost
In accounting and economics, 'fixed costs', also known as indirect costs or overhead costs, are business expenses that are not dependent on the level of goods or services produced by the business. They tend to be recurring, such as interest or rents being paid per month. These costs also tend to be capital costs. This is in contrast to variable costs, which are volume-related (and are paid per quantity produced) and unknown at the beginning of the accounting year. Fixed costs have an effect on the nature of certain variable costs. For example, a retailer must pay rent and utility bills irrespective of sales. As another example, for a bakery the monthly rent and phone line are fixed costs, irrespective of how much bread is produced and sold; on the other hand, the wages are variable costs, as more workers would need to be hired for the production to increase. For any factory, the fix cost should be all the money paid on capitals and land. Such fixed costs as buying machines and ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Capacity Credit
Capacity credit (CC, also capacity value) is the fraction of the installed capacity of a power plant which can be relied upon at a given time (typically during system stress), frequently expressed as a percentage of the nameplate capacity. A conventional ( dispatchable) power plant can typically provide the electricity at full power as long as it has a sufficient amount of fuel and is operational, therefore the capacity credit of such a plant is close to 100%; it is exactly 100% for some definitions of the capacity credit (see below). The output of a variable renewable energy (VRE) plant depends on the state of an uncontrolled natural resource (usually the sun or wind), therefore a mechanically and electrically sound VRE plant might not be able to generate at the rated capacity (neither at the nameplate, nor at the capacity factor level) when needed, so its CC is much lower than 100%. The capacity credit is useful for a rough estimate of the firm power a system with weather-dep ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
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