Optimal capacity allocation for investments in electricity generation assets can be deterministically derived by …-Variance Portfolio (MVP) theory provides a consistent framework to valuate financial risks in power generation portfolios that allows to … perspective. Because existing literature on MVP applications in electricity generation markets uses predominantly numerical …

portfolio structure in the market. We show that risk-averse electricity market agents who receive a managerial profit share may …

In the discussion on the relationship between spot and forward prices in electricity markets, the equilibrium approach … premium, on several European energy exchanges trading electricity futures. The concept of risk premium, as it is worked out by … Bessembinder and Lemon (2002) is reviewed in our essay through the Markowitz portfolio theory. Unlike in the B-L model, where the …

Quantity and price risks determine key uncertainties market participants face in electricity markets with increased … volatility, for instance due to high shares of renewables. In the time from day-ahead until real-time, there lies a large …-in and electricity prices. This uncertainty reflects on both the market outcomes and the quantity of renewable generation …

professionals in the liberalized electricity and natural gas markets. In its opening chapter, the book delves into fundamental … distinguishing characteristics of electricity and natural gas compared to other commodities are emphasised. Moving forward, the next …