• International Journal of Precision Engineering and Manufacturing-Green Technology
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• v.5 no.5
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• pp.623-630
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• 2018

The renewable energy systems have been in the spotlight as an alternative for environmental issues. Therefore, the governmental policies are being implemented to spread of promote power generation system using renewable energy in various countries around the world. In addition, Korea has also developed a policy called the power trading contract which can profit from electricity produced from renewable power generation system through Korea Electric Power Corporation (KEPCO) and Korea Power Exchange (KPX). As a result, the power trading contracts can trade power after self-consuming in-house by using small-scale renewable power system for residential customers as well as electricity retailers. The power trading contracts applicable as a small-scale power system have a 'Net metering (NM)' and a 'Power Purchase Agreement (PPA)', and these two types of power trading contracts trade surplus power, but payment method of each power trading is different. The microgrid proposed in this paper is based on grid connected microgrid using Photovoltaic (PV) system and Energy Storage System (ESS), that supplied power to residential demand, we evaluate the operation cost of microgrid by power demand in each power trading contracts and propose the appropriate power trading contracts according to electricity demand.

• Electronics and Telecommunications Trends
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• v.35 no.6
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• pp.97-106
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• 2020

This article explains domestic and overseas technology trends as well as an energy trading architecture model that can safely execute energy power trading through blockchain in the community. There is a way to trade energy between homes as well as between homes and the public in the community, but there are currently no institutions that make this possible. However, our aim is to approach these power trading methods collectively through global technology related to blockchain. We try to solve the problems of energy trading using the blockchain technique. We discuss domestic and overseas technology trends in power trading using blockchain and introduce the power trading architecture for the community proposed by ETRI. We propose a framework that supports reliability and interoperability based on blockchain and develop scalable technology capable of supporting not only small-scale electricity trading but also medium-scale power trading.

• International Commerce and Information Review
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• v.3 no.2
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• pp.261-280
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• 2001

From the IMF(International Monetary fund) crisis, the management conditions of the trading company which run business in world market, has rapidly changed. In particular, the trading conglomerate's competitive power have declined. This study, addressing such changes, intend to analyze what factors are that have generated this changes in trading conglomerate's environment. The study specifically takes it into account that the differences between Korea trading company and Japan's. This research was confirmed by data and field survey in two country. The results of research are summarized as follow. The Korean trading company are inferior to the Japanese trading company in total volume(Korea: 24.1, Japan 100), the benefit volume(Korea: 8.7, Japan 100), the stability of turnover(Korea: 36.6, Japan 100), the network power in foreign country(Korea: 19.2, Japan 100), the power of e-business(Korea: 17.0, Japan 100). But the debt ratio of Korea company is significantly lower than that of Japan's(Korea: 160.4%, Japan 940.5%). In conclusion, providing that the Korean trading company want to be a world-class champion in trading field, they have to introduce the new management strategies which means the high-profit base trading, the long term investment and the internet business.

• Environmental and Resource Economics Review
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• v.29 no.1
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• pp.91-111
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• 2020

While the renewable energy portfolio standard (RPS) is in place to expand the scale of renewable energy generation, the power producer can obtain the renewable energy credit (REC) and use it as an incentive to operate the facility. RECs secured by solar power generation can be traded through spot market or fixed price contracts, and, in the spot market trading, power producers are exposed to the uncertainty of REC spot price. In this study, real option analysis is conducted to analyze the optimal threshold of REC spot price for the conversion of REC trading method by power producer considering the uncertainty of REC spot price. We calculated the optimal threshold of REC spot price that can convert the trading method of REC from spot market to fixed price contract. In conclusion, the spot market trading is a rational trading method when considering the uncertainty of REC price, but the fixed price bidding is a rational trading method when not considering the uncertainty of REC price.

• Journal of Distribution Science
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• v.15 no.11
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• pp.73-82
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• 2017

Purpose - This paper aims to investigate a profit maximizing incentive of foreign traders in distributing the KOSPI 200 Futures. Such an incentive may induce unsophisticated retail traders to suffer loss from speculative trading. Since Korean government increased the entry barriers of the market to protect unsophisticated traders, the market size has been decreasing while the proportion of the contract held by foreign traders has been increasing. These on going changes make the market imperfectly competitive, where a profit maximization incentives of foreign traders are expected to grow. In this paper, we attempt to find any evidence of such behavior, thereby providing implications regarding market policy and market efficiency. Research design, data, and methodology - According to Kyle(1985), an informed trader exploits his/her monopoly power optimally in a dynamic context so that he/she makes positive profit, where he/she could conceal his/her trading utilizing noise trading as camouflage. We apply the KOSPI 200 Futures market to the Kyle's model: foreign traders who take into account the effect of his/her trading to maximize expected profits as an informed trader, retail investors as noise traders, and financial institutions as market makers. To find any evidence of monopolistic behavior, we test the variants of trading volume and price data of the KOSPI 200 Futures over the period of 2009 and 2017. Results - First, we find that the price of the KOSPI 200 Futures are more volatile than the price of underlying asset. Second, we find that monopolistic foreign trader's trading order flows are consistent with exploiting his/her monopoly power to maximize profit. Finally, we find that retail investors' trading order flows are inversely consistent with maximizing profit, that is, uninformed retail investors suffer loss continuously in speculative trading against informed traders. Conclusions - Our results show that the quantity of strategic order flows may have a large effect on the price, therefore, resulting the market inefficiency. The results also imply that, in implementing regulations, the depth of the market must be considered to maintain market liquidity, and suggesting interesting research topics regarding the market structure.

• Transactions of the Korean hydrogen and new energy society
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• v.34 no.2
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• pp.91-99
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• 2023

Participation in power trading using surplus power is considered a business model active in the domestic energy trade market, but it is limited only if the legal requirements according to the type, capacity, and use of the facilities to be applied for are satisfied. The hydrogen residential demonstration model presented in this paper includes solar power, energy storage system (ESS), fuel cell, and water electrolysis facilities in electrical facilities for private use with low-voltage power receiving system. The concept of operations strategy for this model focuses on securing the energy self-sufficiency ratio of the entire system, securing economic feasibility through the optimal operation module installed in the energy management system (EMS), and securing the stability of the internal power balancing issue during the stand-alone mode. An electric facility configuration method of a hydrogen residential complex demonstrated to achieve this operational goal has a structure in which individual energy sources are electrically connected to the main bus, and ESS is also directly connected to the main bus instead of a renewable connection type to perform charging/discharging operation for energy balancing management in the complex. If surplus power exists after scheduling, participation in power trading through reverse transmission parallel operation can be considered to solve the energy balancing problem and ensure profitability. Consequentially, this paper reviews the legal regulations on participation in electric power trading using surplus power from hydrogen residential models that can produce and consume power, gas, and thermal energy including hybrid distributed power sources, and suggests action plans.

• Proceedings of the KIEE Conference
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• 2007.07a
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• pp.856-857
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• 2007

For the sake of a stable power supply, an electric power company must have power generation facilities that can generate more electricity than the maximum demand of the year. Due to the fact that the maximum electricity demand will also continue to increase, enormous investments are needed annually to build power plants. For that reason, electric power companies are propelling 'Demand Side Management' which improve the form of electrical usage for the customer in a positive way. This paper presents the concept of 'Cool Storage System' which is the most representative program, which lowers the peak demand during the on-peak time periods in a day and creates a base load simultaneously during the night time hours among the DSM programs.

• Proceedings of the KIEE Conference
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• 2009.07a
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• pp.46_47
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• 2009

The West African Power Pool is currently developing the regional electricity market for its member states. As the basic design for the cross-border power trading system for the West African Power Pool, the step-by-step evolution, the Baseline System and the Fullscale System, is estimated. Along with the interconnection project between member countries, the various functions from the data acquisition and processing by the Baseline System to the interchange trading by the Fullscale System will be implemented gradually.

• New & Renewable Energy
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• v.17 no.2
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• pp.1-8
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• 2021

We estimated the price range of electricity transactions under the prosumer system, considering the spread of renewable energy and the prospect of introducing a surplus power trading system between power consumers in Korea. The range (min/max) of power transaction prices was estimated by prosumers and consumers who could purchase electricity from utilities if needed. It is assumed that utilities purchased electricity from prosumers and consumers under a Time-of-Use (TOU) rate, trading at a monthly price. The range of available transaction prices according to the amount of power purchased from utilities and the amount of transaction power was also estimated. The price range that can be traded is expected to vary depending on variables such as the TOU rate, purchased and surplus power, levelized cost of electricity, etc.

• The Transactions of The Korean Institute of Electrical Engineers
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• v.58 no.8
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• pp.1496-1503
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• 2009

The United Nations Framework Convention on Climate Change (UNFCCC) is an international environmental treaty to stabilize greenhouse gas concentrations in the atmosphere. In order to fulfil the commitments of the countries in an economically efficient way, the UNFCCC adapted the emission trading scheme in the Kyoto Protocol. If the UNFCCC's scheme is enforced in the country, considerable changes in electric power industry are expected due to the imposed greenhouse gas emission reduction. This paper proposes a game theoretic model of the case when generation companies participate in both competitive electricity market and emission market simultaneously. The model is designed such that generation companies select strategically between power quantity and greenhouse gas reduction to maximize their profits in both markets. Demand function and Environmental Welfare of emission trading market is proposed in this model. From the simulation results using the proposed model the impact of the emission trading on generation companies seems very severe in case that the emission prices are significantly high.