News and events Tilburg University

TILEC Work In Progress: Yueting Yu

Date: Time: 10:45 Location: ONLINE Meeting

Pay-as-Bid Auctions in Electricity Markets

We present a model to characterize the competitive benchmark of both uniform price auctions and pay-as-bid auctions, taking into account producers' investment incentives. We find that there is always a mark-up on cost in the market equilibrium of pay-as-bid auctions except for the top and the initial investment level is lower, which indicates inefficiency and a lack of investment incentives.

Time: 10:45-11:45

* Please contact TILEC should you wish to attend the online meeting