Electricity Cost Modeling Calculations

Reducing greenhouse gases and increasing the use of renewable energy continue to be critical goals for the power industry and electrical engineers to promote energy cost reductions. Engineers and researchers must keep up to date with the evolution of the power system sector, new energy regulations, and how different pricing techniques apply in today's market. Electricity Cost Modeling Calculations, Second Edition delivers an updated view on pricing models, regulation, technology and the role renewable energy is starting to take in electricity. Starting with fundamental concepts relating to market structure, an increase in international regulations is added to expand the engineer's knowledge. Cubic cost modeling and new modeling cases are included along with updated literature reviews for deeper research. The reference then extends into more advanced quantitative methods such as updated rate designs, and a new chapter is included on the marginal cost pricing of electricity in the United States with applications to reduce greenhouse gas emissions, making the reference relevant for today's power markets. This book provides engineers with a practical guide on the latest techniques in electricity pricing and applications for today's markets.

1. Introduction

2. The Sustainability of a (Natural) Monopoly

3. State Regulations, Policies, and Updates on States with Retail Choice

4. The Economics (and Econometrics) of Cost Modeling

5. Case Study: Breaking up Bells

6. Cost Modeling: Single- and Multiple-Output Specifications

7. Case Study: Can Rural Electric Cooperatives Survive in a Restructured U.S. Electric Market? An Empirical Analysis

8. Case Study: A Test of Vertical Economies for Nonvertically Integrated Firms: The Case of Rural Electric Cooperatives

9. Renewable Energy Sources and Policies

10. The Theory of Efficient Prices