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Unit of study_

ELEC5212: Power System Planning and Markets

Semester 2, 2022 [Normal day] - Camperdown/Darlington, Sydney

Deregulation of the electricity industry has fundamentally changed the power systems operation paradigm. The focus has shifted from central planning of vertically integrated utilities to market driven operation. Traditional electric energy producers and consumers play new roles in a power market environment and their behaviors are affected by the economic incentives to a large extent. Nevertheless, electric energy is a special commodity and cannot be traded as the other common goods. So a power market design has many special considerations compared with a conventional commercial market design. Knowledge of the power market mechanisms has become a necessary part in fully understanding the whole power system operations. To equip students with necessary skills to address the challenges of modern power systems, the unit will cover the following topics: -Overview of the traditional electricity industry structure and operation: Economic dispatch, Power system operation states and respective reliability requirements. -Drivers for the restructuring of the electricity industry. -Electricity market design: Market structures (spot, bilateral, hybrid); Energy market; Ancillary services market; Key components in an electricity market. -Electricity market participants and their roles in a market. -Electricity economics: Power market from suppliers' view (Supply curve) and from demands' view (Demand curve); Market mechanism; Price and its elasticity; Cost and supply; Market power and monopoly. -Cost of capital: Time value of money; Project evaluation methods from investments' point of view; Risk and return. -Operation mechanisms of various designs of power markets. -Power market practices around the world. -Power system expansion planning: Fundamental knowledge of power system planning considerations, procedures and methods; Transmission planning; Generation planning; Power system adequacy assessment. ELEC5212 is a specialist Unit for MPE (Power) and ME (Electrical and Power). It is also available as a recommended elective for BE Electrical (Power). This unit focuses on the power market principles and practices. Based on the knowledge of the power market operation, the power system planning procedures and methods will also be discussed.

Unit details and rules

Unit code ELEC5212
Academic unit Electrical and Information Engineering
Credit points 6
Assumed knowledge

ELEC3203 OR ELEC9203 OR ELEC5732. The assumed knowledge for learning this UoS is power system steady state analysis

Available to study abroad and exchange students


Teaching staff

Coordinator Jin Ma,
Lecturer(s) Jin Ma,
Type Description Weight Due Length
Final exam (Record+) Type B final exam Final exam
2hour open book exam; time for uploading solutions should be considered.
55% Formal exam period 2 hours
Outcomes assessed: LO1 LO2 LO3 LO4 LO5 LO6 LO7 LO8 LO9
Assignment group assignment Lab 1
complete the lab and the report. The report will be marked.
15% Week 08
Due date: 23 Sep 2022 at 23:00
Scheduled on week 7 and week 8.
Outcomes assessed: LO1 LO2 LO3 LO4 LO5 LO6 LO7 LO8 LO9 LO10 LO11 LO12 LO13
Assignment group assignment Lab 2
Complete the lab and submit the report
15% Week 11
Due date: 21 Oct 2022 at 23:00
Scheduled on week 10 and week 11
Outcomes assessed: LO1 LO2 LO3 LO4 LO5 LO6 LO7 LO8 LO9 LO10 LO11 LO12 LO13
Assignment group assignment Lab 3
Complete the lab and submit the report
15% Week 13
Due date: 04 Nov 2022 at 23:00
Scheduled on week 12 and week 13
Outcomes assessed: LO1 LO2 LO3 LO4 LO5 LO6 LO7 LO8 LO9 LO10 LO11 LO12 LO13
group assignment = group assignment ?
Type B final exam = Type B final exam ?

Assessment summary

  • Lab 1: Market modeling and design for an interconnected two-area system with detailed scenario analysis.
  • Lab 2: Market modeling and design for a three-area system with detailed scenario analysis.
  • Lab 3: Market modeling for more practical and complex situations with detailed scenario analysis.
  • Final Exam: Open-book exam covering all taught knowledge through the semester.

Detailed information for each assessment will be announced in Class/on Canvas at appropriate time.

Assessment criteria

The University awards common result grades, set out in the Coursework Policy 2014 (Schedule 1).

As a general guide, a high distinction indicates work of an exceptional standard, a distinction a very high standard, a credit a good standard, and a pass an acceptable standard.

Result name

Mark range


High distinction

85 - 100

Regarding to the lab report: the whole report offers detailed, very convincing analysis with top readability. The authors reveal insights on the relevant topics through a thorough and comprehensive discussions on the knowledge applied to solve the problems. 


75 - 84

Regarding to the lab report: The report is well written. The lab report is self-contained with all the information to support the analysis. The report shows the authors’ high level understandings on the power market operation and relvent planning concept. 


65 - 74

Regarding to lab report: All questions are replied correctly in the report and the analysis procedure is well explained in the report


50 - 64

Regarding to lab report: Complete the lab and addressed most questions correctly in the lab report 


0 - 49

When you don’t meet the learning outcomes of the unit to a satisfactory standard.

For more information see

For more information see guide to grades.

Late submission

In accordance with University policy, these penalties apply when written work is submitted after 11:59pm on the due date:

  • Deduction of 5% of the maximum mark for each calendar day after the due date.
  • After ten calendar days late, a mark of zero will be awarded.

This unit has an exception to the standard University policy or supplementary information has been provided by the unit coordinator. This information is displayed below:

10% of the mark per day

Academic integrity

The Current Student website  provides information on academic integrity and the resources available to all students. The University expects students and staff to act ethically and honestly and will treat all allegations of academic integrity breaches seriously.  

We use similarity detection software to detect potential instances of plagiarism or other forms of academic integrity breach. If such matches indicate evidence of plagiarism or other forms of academic integrity breaches, your teacher is required to report your work for further investigation.

You may only use artificial intelligence and writing assistance tools in assessment tasks if you are permitted to by your unit coordinator, and if you do use them, you must also acknowledge this in your work, either in a footnote or an acknowledgement section.

Studiosity is permitted for postgraduate units unless otherwise indicated by the unit coordinator. The use of this service must be acknowledged in your submission.

Simple extensions

If you encounter a problem submitting your work on time, you may be able to apply for an extension of five calendar days through a simple extension.  The application process will be different depending on the type of assessment and extensions cannot be granted for some assessment types like exams.

Special consideration

If exceptional circumstances mean you can’t complete an assessment, you need consideration for a longer period of time, or if you have essential commitments which impact your performance in an assessment, you may be eligible for special consideration or special arrangements.

Special consideration applications will not be affected by a simple extension application.

Using AI responsibly

Co-created with students, AI in Education includes lots of helpful examples of how students use generative AI tools to support their learning. It explains how generative AI works, the different tools available and how to use them responsibly and productively.

WK Topic Learning activity Learning outcomes
Week 01 1. General introduction to this unit of study and to power market practices; 2. History review on power industry deregulation and restructuring worldwide, power market models, and types Lecture (2 hr) LO1 LO2 LO4 LO5 LO10
Week 02 Power market components, roles and market mechanisms Lecture (2 hr) LO1 LO3 LO4 LO5
Week 03 Computing tools for power market and planning analysis Lecture (2 hr) LO1 LO4 LO5 LO7 LO8
Practice computing tools for power system planning and power market analysis Tutorial (1 hr) LO7 LO8
Week 04 Power system security -- Consideration and analysis methods for power system planning and markets Lecture (2 hr) LO5 LO7 LO8
practice power system security analysis methods Tutorial (1 hr) LO7 LO8
Week 05 1. Economic cost; Supply curve and demand curve, market price determination, and its elasticity; 2. Profit analysis and social surplus Lecture (2 hr) LO3 LO4
Exercises centered on engineering economics Tutorial (1 hr) LO3 LO4
Week 06 Economic efficiency and losses, market power, and monopoly. Power market design Lecture (2 hr) LO1 LO2 LO3 LO4 LO5
Exercises on power market operation mechanisms Tutorial (1 hr) LO1 LO3 LO4 LO5
Week 07 Generation expansion, project evaluation, two area power market design and operation analysis Lecture and tutorial (3 hr) LO3 LO4 LO5 LO6 LO7 LO8 LO9 LO10 LO11 LO12 LO13
Week 08 Impacts of transmission congestion in power markets and two-area power market case studies. Lecture and tutorial (3 hr) LO6 LO7 LO8 LO10 LO11 LO12 LO13
Week 09 Power Market design, components and its operational mechanisms; Cost analysis Lecture (2 hr) LO1 LO4 LO5 LO6 LO9
Exercises on solving market clearing and the related financial analysis problems Tutorial (1 hr) LO3 LO4 LO5 LO6
Week 10 Economic dispatch and planning principles Lecture and tutorial (3 hr) LO5 LO7 LO8 LO10 LO11 LO12 LO13
Week 11 Three-area power system market and planning studies Lecture and tutorial (3 hr) LO5 LO7 LO8 LO10 LO11 LO12 LO13
Week 12 Impacts of complex transmission network on power market operation Lecture and tutorial (3 hr) LO5 LO7 LO8 LO10 LO11 LO12 LO13
Week 13 Nodal price, congestion managements and case studies. Lecture and tutorial (3 hr) LO5 LO8 LO10 LO11 LO12 LO13

Attendance and class requirements

  • Lectures: 7 2-hour lectures to explain the fundamental concepts of power system planning and markets.
  • Tutorials: 5 sessions of 1-hour tutorials covering calculation examples using the fundamental concepts explained in the lectures and applying analytical and problem solving skills.
  • Integrated lecture and laboratory sesssions: 6 sessions of 3-hour integrated lecture and laboratory on market design. The lectures and laboratories will focus on power market modeling and design for different system configurations and various scenario analysis using appropriate mathematical tools.
  • Independent Study: Study at home. 3 hours per week recommended.

Study commitment

Typically, there is a minimum expectation of 1.5-2 hours of student effort per week per credit point for units of study offered over a full semester. For a 6 credit point unit, this equates to roughly 120-150 hours of student effort in total.

Learning outcomes are what students know, understand and are able to do on completion of a unit of study. They are aligned with the University's graduate qualities and are assessed as part of the curriculum.

At the completion of this unit, you should be able to:

  • LO1. understand the characteristics of traditional electricity industry structure, and the power market structure
  • LO2. understand the driving forces towards the power market reform
  • LO3. understand fundamentals of engineering economics
  • LO4. understand power market design, including market types, market structure, market model, and its components
  • LO5. understand power system operation in a deregulated environment
  • LO6. understand the principles of investment, knowledge of risk and return, and their applications on power system expansion planning
  • LO7. understand power system planning principles, considerations, procedures, and methods
  • LO8. model and analyse power market behaviours using appropriate mathematical tools
  • LO9. apply probability theory and simulation methods to analyse the risk and return for decision making
  • LO10. investigate inquiries and develop knowledge by drawing on a vast source of professional documents in various formats, and synthesise the information to solve a specific engineering problem
  • LO11. present concise information accurately using varied formats and media to a level appropriate to the expected understanding from this unit of study
  • LO12. write reports to communicate complex project specific information concisely and accurately, and to the degree of specificity required by the engineering project at hand
  • LO13. work in a team by assuming diverse roles, aiding, or initiating the process of team interaction, and drawing on, and being receptive to others' viewpoints, to try and solve a specific engineering task.

Graduate qualities

The graduate qualities are the qualities and skills that all University of Sydney graduates must demonstrate on successful completion of an award course. As a future Sydney graduate, the set of qualities have been designed to equip you for the contemporary world.

GQ1 Depth of disciplinary expertise

Deep disciplinary expertise is the ability to integrate and rigorously apply knowledge, understanding and skills of a recognised discipline defined by scholarly activity, as well as familiarity with evolving practice of the discipline.

GQ2 Critical thinking and problem solving

Critical thinking and problem solving are the questioning of ideas, evidence and assumptions in order to propose and evaluate hypotheses or alternative arguments before formulating a conclusion or a solution to an identified problem.

GQ3 Oral and written communication

Effective communication, in both oral and written form, is the clear exchange of meaning in a manner that is appropriate to audience and context.

GQ4 Information and digital literacy

Information and digital literacy is the ability to locate, interpret, evaluate, manage, adapt, integrate, create and convey information using appropriate resources, tools and strategies.

GQ5 Inventiveness

Generating novel ideas and solutions.

GQ6 Cultural competence

Cultural Competence is the ability to actively, ethically, respectfully, and successfully engage across and between cultures. In the Australian context, this includes and celebrates Aboriginal and Torres Strait Islander cultures, knowledge systems, and a mature understanding of contemporary issues.

GQ7 Interdisciplinary effectiveness

Interdisciplinary effectiveness is the integration and synthesis of multiple viewpoints and practices, working effectively across disciplinary boundaries.

GQ8 Integrated professional, ethical, and personal identity

An integrated professional, ethical and personal identity is understanding the interaction between one’s personal and professional selves in an ethical context.

GQ9 Influence

Engaging others in a process, idea or vision.

Outcome map

Learning outcomes Graduate qualities

This section outlines changes made to this unit following staff and student reviews.

The lectorial teaching sessions were trialled and welcomed by students. Hope through the lectorial teaching there can be more interactions between the teaching staff (lecturer/tutor) and students.


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