On M-Stationary Points for an Equilibrium Problem with Equilibrium Constraints in Electricity Spot Market Modeling

René Henrion, Werner Römisch and Konstantin Emich^*

In this talk we present M-stationarity conditions for an equilibrium problem with equilibrium constraints (EPEC) arising from the modeling of competition in an ISO regulated electricity spot market. Consideration of pumped storage power stations in our model requires allowing of negative production (pumping) and so leads to parameter dependent normal cone mappings. To compute a coderivative of such a mapping we use recent second-oder subdifferential formula developed by B. S. Mordukhovich and R. T. Rockafellar.

Mathematics Subject Classification: 91B52

Keywords: electricity markets; noncooperative games; EPEC; co-derivative

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