pith:3AWXBET4
The Potential Welfare Gains from Curtailment Trading Under Non-Firm Interconnection
Bilateral curtailment credit trading can reach every allocation a central planner could devise for non-firm grid connections.
arxiv:2605.00690 v2 · 2026-05-01 · eess.SY · cs.SY
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Claims
We prove that the bilateral credit flow representation can reach every curtailment allocation available to an omniscient central planner (feasible-set equivalence), so the bilateral flow structure introduces no loss of allocative capability.
Under truthful bidding, the CCM achieves the planner's total value of served load, matching the planner's allocative benchmark when bids reflect true interruption costs.
The network-constrained Curtailment Credit Market reaches every feasible curtailment allocation of a central planner and raises total value of served load by 1.24-1.83 times versus pro-rata on tested systems.
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| First computed | 2026-05-20T00:04:33.409177Z |
|---|---|
| Builder | pith-number-builder-2026-05-17-v1 |
| Signature | Pith Ed25519
(pith-v1-2026-05) · public key |
| Schema | pith-number/v1.0 |
Canonical hash
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Canonical record JSON
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