UK Electricity Pool Demand and Price (1990-2001)

Description:

The Electricity Pool operated from 1st April 1990 to 26th March 2001, controlling the trading of electricity within England and Wales. The Electricity Pool data contains system demand and transmission losses plus the price information (/MWh) within the trading pool, comprising the three main prices: Pool purchase price (PPP), the basis of payments to generators; Pool selling price (PSP), the basis of payments by suppliers; and system marginal price (SMP), the highest offered price for any generating set scheduled by the Pool to run before system constraints are taken into account. The Electricity Pool system was replaced by the New Electricity Trading Arrangements (NETA/BETTA) from 27 March 2001. (Note : It is mandatory to acknowledge the UKERC EDC and the data owner Poolit Ltd when any use of this data is made in publications) Explanation of parameters and pool operation
PSP : Pool Selling Price, is the price paid mostly by RECs purchasing electricity from the Pool to sell to their final commercial, industrial and residential customers; this value is determined for two distinct price-rule regimes referred to as Table A and Table B periods, such that: PSP = SMP + CC + UPLIFT = PPP + UPLIFT
SMP : System Marginal Price is the highest offered price for any generating set scheduled by the Pool before system constraints are taken into account
LOLP : Loss Of Load Probability, a decreasing function of the expected amount of excess capacity available during each half-hour period, determined for each half-hour as the probability of a supply interruption due to generation capacity being insufficient to meet demand (the greater the amount of capacity available relative to expected demand in any half-hour, the lower the LOLP and therefore the lower the capacity charge per KWH paid to generators)
VOLL : Value Of Lost Load, representing the per kWh willingness of customers to pay to avoid supply interruptions; it was set by the Director General of the Office of Electricity Regulation (OFFER) at 2,000 per megawatt-hour (MWH) for 1990/91 and was then increased annually by the growth in the RPI
PPP : Pool Purchase Price, is the price paid to generators for electricity purchased into the Pool
CC : Capacity Charge: CC = LOLP * (VOLL - SMP) is a signal to generators of the necessity for additional generation capacity and to consumers that their consumption has a significant probability of requiring the maximum amount of generating capacity available in that load period
UPLIFT : a charge to compensate generators for reserve, plant available but not actually used to meet demand, and startup costs, known only ex post and therefore the only price uncertainty from the day ahead perspective; it is collected over at least 28 Table A pricing periods each day (UPLIFT is zero for Table B pricing periods) according to the formula: Availability Payment/MWh = LOLP*(VOLL - max(SMP, bid price))