For scenarios when we have an open position in some hours (anytime that is not 100% time coincident), we should model the cost of hedge contracts for those month-hours.
Hedge contracts are typically sold as month-hour weekday/weekend products, so they would not exactly match our load profile. One way to approach this would be to have a decision variable for shaped hedge contracts, but we could also just approximate hedge contract costs by assigning a premium to all system power, and not worry about the shape of a specific hedge product.
[ ] Create a new parameter (either indexed to month-hour-DOW, or just assigned to each timepoint) for the hedge premium cost
[ ] Maybe add this as a module to create the option (or maybe make part of system power implementation?). Or maybe this should always be part of the model, but just include a default cost of 0?
[x] Calculate total hedge premium cost based on premium and system power delivered
For scenarios when we have an open position in some hours (anytime that is not 100% time coincident), we should model the cost of hedge contracts for those month-hours.
Hedge contracts are typically sold as month-hour weekday/weekend products, so they would not exactly match our load profile. One way to approach this would be to have a decision variable for shaped hedge contracts, but we could also just approximate hedge contract costs by assigning a premium to all system power, and not worry about the shape of a specific hedge product.
Create a new parameter (either indexed to month-hour-DOW, or just assigned to each timepoint) for the hedge premium costMaybe add this as a module to create the option (or maybe make part of system power implementation?). Or maybe this should always be part of the model, but just include a default cost of 0?