Stochastic Programming in deregulated energy markets

Stochastic programming models are standard in the electricity business. They are being used on a regular basis, and m ny generators depend on them for efficient planning. As electricity markets are de/re-regulated, the environmen t of planning changes. For many generators it becomes necessary to change the focus from reliable and cost-efficient upply of electricity to more profit oriented and competitive objectives. Prices change from being known and almost unint eresting to being stochastic and a focal point in the planning. This talk will focus on new models being developed in t ese new markets, and we shall try to show how new models relate to old ones.