Competition Equilibrium Model

Units:	-
Default Value:	0
Validation Rule:	In (0,1,2)
Description:	Equilibrium Model. Optimizes generation / pricing position of portfolios over the short or medium term.

Competition Equilibrium Model determines the competitive behavior in the MT Schedule step of the simulation, with trading strategies then decomposed into the ST Schedule phase. Thus it sets the medium-term 'game' played by strategic entities (companies). There are three options available:

Perfect Competition (value = 0)

Generation and transmission bids are based on short-run marginal cost.

LRMC / Revenue Recovery (value = 1)

Described in the article LRMC Recovery

Nash-Cournot Competition (value = 2)

Described in the article Nash Cournot