Briefly explain the following concepts in Electricity Regulation: a. vertical integration b. Unbunbdling c. Installed Generation...

Briefly explain the following concepts in Electricity Regulation:

a. vertical integration

b. Unbunbdling

c. Installed Generation Capacity

d. Available Generation Capacity

e. Peak load

Expert Solution

A. Vertical Integration:- vertical integration is sometimes called as management styles.It secures supplies needed by firm and distribution or selling done in the market.Its a supply chain of companies which are state owned or private.

B.Unbundling:- It is of two types vertical unbundling and horizontal unbundling.

It's all about separation of generation,transmission, and distribution of segments.

C. Installed Generation Capacity:- Installed generation capacity is the capacity at which the total power system is designed to run at.

General it is indicated by Megawatts

D.Available Generation Capacity:- Available generation capacity is the capacity in which the total electric power that a generator can produce as a whole under specific conditions without exceeding the limits.

E.Peak load:- Peak load pricing is the phenomenon in which the goods and services has high price in high demand time than at low demand time.

It's nothing but paying more money for a commodity when its demand at peaks.

Rahul Sunny answered 2 years ago

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