Using Auctions to Divest Generation Assets

Lisa J. Cameron, Peter Cramton and Robert Wilson, The Electricity Journal 10(10), 22-31, December .

Abstract:

In most states, ratepayers will compensate utilities for their stranded costs, so these costs must be measured accurately and in a way that is easily understood by all concerned parties. Here we describe the options for measuring stranded costs and argue that a simultaneous ascending auction is the best approach.

Links to Researchers