Fundamentals Model

The fundamentals model forecasts power prices, which in turn are used as inputs to our battery dispatch model. This forecast is based on our assumptions of demand, generation capacities, storage capacities, bidding behaviour, transmission capacities, and outages. We have rigorously tuned our fundamentals model against historical prices to accurately reflect actual price-setting behaviour. We specifically focus on properly modelling periods of volatility, as those periods are especially important to storage revenues.