Solution section
Principles
The core design assumptions and principles embedded in the architecture.
Principles
The zonal architecture relies on several principles:
- Major structural network constraints can be represented through bidding zones.
- Electricity can be treated as economically homogeneous within a zone for wholesale settlement.
- Cross-zonal transfer capability should be represented directly in market coupling.
- Residual internal congestion can be managed separately through redispatch.
- Large geographic markets and cross-border trading should be preserved where possible.
- Zone definitions can change if structural congestion changes.
The architecture is therefore a compromise between geographic simplicity and physical fidelity.