Impact of Network Topology and Uncertainty on the Efficiency of Electricity Markets

Speaker: Yuanzhang Xiao
Affiliation: Northwestern University

Abstract:

Electricity markets are the major instrument in balancing supply and demand, and are crucial for the stability of power systems. In decentralized electricity markets, the market coordinator, namely the independent system operator (ISO), elicits information from the energy suppliers about their cost functions, and dispatches the suppliers to minimize the total generation cost. However, the energy suppliers aim to maximize their own profit, and therefore may misreport their cost functions. Hence, the equilibrium of the market may be inefficient. In this talk, we will analyze the efficiency loss at the equilibrium of electricity markets. We focus on how the efficiency loss depends on the following two factors: the topology of the transmission network, and the suppliers’ lack of information about the renewable energy generation and their opponents.

Biography:

Yuanzhang Xiao is a postdoctoral fellow in Department of Electrical Engineering and Computer Science at Northwestern University. He is broadly interested in game theory and its applications in designing socio-technological networks. His recent focus has been electricity markets.  He received his Ph.D. in Electrical Engineering from UCLA in 2014, and B.S. and M.S. degrees from Tsinghua University in 2006 and 2009. This is a joint work with Ermin Wei and Chaithanya Bandi.

For more information, contact Prof. Mihaela van der Schaar ()

Date/Time:
Date(s) - Aug 18, 2016
3:30 pm - 4:30 pm

Location:
E-IV Tesla Room #53-125
420 Westwood Plaza - 5th Flr., Los Angeles CA 90095