"A Comparison of Bilateral Trading and the Uniform Clearing Price Reverse Auction: Lessons from Illinois' Electricity Procurement Processes"
by Adrienne Ohler and Julius Kimutai Cheruiyot
An examination of measures of market power, wholesale rates, and retail prices provides evidence that one procurement method is not necessarily more competitive than the other. The design of the procurement process, economic conditions, and other electricity policies such as rate caps, retail switching and financial swaps can contribute to the competitiveness in the wholesale market as well as retail prices.
Dr. Adrienne Ohler is an Assistant Professor of Economics at Illinois State University in Normal. Her research examines the interaction between natural resource use, environmental degradation, and public policy, in Illinois specifically and the U.S. at large. Her research analyzes the impact of policies designed to encourage the growth of wind, solar, and biomass industries, such as renewable energy portfolios.
Julius Kimutai Cheruiyot is a recent graduate of Illinois State University with an M.S. in Applied Economics in Electricity, Natural Gas and Telecommunication Economics. He received his B.A. degree in Economics from the University of Nairobi in 2007. Currently, he is a Regulatory Analyst at ITC Holdings Corp.
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