MULTIPRODUCT PRICING REVISITED: ALIGNING TIME VARYING TARIFFS TO PROCUREMENT COSTS OR LOAD PROFILES

摘要

Time varying tariffs have become more popular with thernspread of smart metering devices at the household level.rnTime varying prices should increase with procurementrncosts and consumer load in order to reflect the marketrnsupply conditions and provide the right price signals forrnload shifts to consumers. In general, peaks and off-peaksrnof procurement costs and load profiles will not coincidernand might even evolve with time in “opposite directions”.rnThis raises the question of how to assign peak and offpeakrnprices in time. This paper establishes a relationshiprnbetween procurement costs, load profiles and equilibriumrnprices and quantifies the impact for linear demand.rnFurthermore it develops a framework for tariff design torndetermine peak and base periods and sets of periods basedrnon procurement cost and load data.