Peak-Load Pricing Model Of Electric Industry

Now a day Almost all of the country face the problem of the shortage of energy sources. It is more serious to China which have the most populations in the world. Research the problem of peak-load pricing of electric industry is more significance under this background. It is more important to the use of electric energy and to development of country.There are many models about peak-load pricing. We can dispatch those models into two parts, one is mathmatical model and the other is game model. We can also dispatch mathmatical models into two parts,one is classical peak-load pricing and the other is neoclassical peak-load Pricing. Basing on the classical Peak-Load Pricing and inducting the diverse product technology of neoclassical peak-load pricing we can build a new mathmatical model.we jion the probability of peak-load and the time proportion of peak-load.in the new mathmatical model. We can draw sets of important conclusion from the new mathmatical model:1. On peak-load the consumers need pay the marginal variable cost and the marginal capacity cost. Off peak-load the consumers need pay the marginal variable cost and the marginal utilized capacity cost. We can see that no matter on or off peak-load or not, the consumers in all periods contribute toward the cost of capacity. This conclusion is correspond with the neoclassical peak-load model's conclusion. We can point out the off peak-load cosumers contribute the marginal utilized capacity cost to fixed cost.2. For the cost decreasing industry with regulated profit in the long-run, we can draw a conclusion: On peak-load the price below the marginal variable cost add to the marginal capacity cost (general above below marginal ). Off peak-load the price below the marginal variable cost add to marginal utilized capacity cost. Whether the price below the marginal variable cost or not. The key thing is whether the last utilized capacity is use up or not. If the last utilized capacity is use up, the marginal utilized capacity cost is zero, then the price will below the marginal capacity. If the last utilized capacity is use up, the the marginal utilized capacity cost above zero then the price will below the marginal variable cost add to marginal capacity cost. But, in general the price will above the marginal variable cost. This conclusion is different the Wenders's conclusion which is the profit maximizing regulated electric utility may set peak price above marginal cost and off -peak price below marginal cost.3. Add the probability of peak-load to the new mathmatical moden ,we can drew a conclusion that the price of peak-load inverse the probability of the peak-load. The high the probability is the low price of the peak-load is and the low probability is the high price of the peak-load is.4. Add the time proportion of peak-load to the new mathmatical moden ,we can drew a conclusion that the time proportion peak-load inverse the time proportion of the peak-load. The high the time proportion is the low price of the peak-load is and the low time proportion is the high price of the peak-load is.After analyse the mathmatical model, this dissertation intrduce the newclassical peak-load pricing model and the game model of peak-load pricing. On the Auction model, this dissertation drew the same conclusion which is drewed in the new mathmatical model with some practice auction model. So it prove the correction of our conclusions in some way.