Model for recognizing patterns and influencing factors between water inflow, hydroelectric power generation and market electricity prices

This paper analyzes the correlation between water inflows, hydropower generation of hydro powerplants, and electricity market prices to identify patterns, time lags, and key influencing factors such as hydrometeorological conditions. Given the shared water resources of the Neretva River, two independent hydropower operators must coordinate their operations, particularly as one power company expands its portfolio with a reversible hydropower plant. Using the PLEXOS modeling system, an integrated optimization approach is developed to align plant schedules with market dynamics, regulatory constraints, and financial interactions. The findings provide insights into maximizing profitability and ensuring sustainable hydropower resource management in a liberalized energy market.