Variable cost (€/MWh) 120 100 80 00 60 40 20 Wind, North Coal, North Gas, South Diesel, North * * 5 10 15 20 25 30 35 40 45 50 Figure 2: In our model, the Northern node has three generation sources: wind power (10 GW), coal-fired power plants (15 GW), and diesel peakers (10 GW). We abstract from ramping, start-up, or minimum load constraints. As there is no load in the North, the direction of electricity flow will always be southbound. The Southern node connects loads (30 GW), which are assumed to be perfectly price inelastic, and natural gas-fired power plants (15 GW). Variable costs are assumed to vary in steps of 1 GW, in the increasing order wind, coal, natural gas, diesel. GW
Variable cost (€/MWh) 120 100 80 00 60 40 20 Wind, North Coal, North Gas, South Diesel, North * * 5 10 15 20 25 30 35 40 45 50 Figure 2: In our model, the Northern node has three generation sources: wind power (10 GW), coal-fired power plants (15 GW), and diesel peakers (10 GW). We abstract from ramping, start-up, or minimum load constraints. As there is no load in the North, the direction of electricity flow will always be southbound. The Southern node connects loads (30 GW), which are assumed to be perfectly price inelastic, and natural gas-fired power plants (15 GW). Variable costs are assumed to vary in steps of 1 GW, in the increasing order wind, coal, natural gas, diesel. GW
Chapter1: Making Economics Decisions
Section: Chapter Questions
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