Easy Implementation of Intra-period Water Market Clearing Using CDDP Models - Volume 9 Number 6 (June 2018) - IJESD
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    • ISSN: 2010-0264
    • Frequency: Bimonthly (2010-2014); Monthly (Since 2015)
    • DOI: 10.18178/IJESD
    • Editor-in-Chief: Prof. Richard Haynes
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Editor-in-chief
The University of Queensland, Australia
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IJESD 2018 Vol.9(6): 147-151 ISSN: 2010-0264
doi: 10.18178/ijesd.2018.9.6.1090

Easy Implementation of Intra-period Water Market Clearing Using CDDP Models

I. Mahakalanda
Abstract—This paper shows how to clear a market for water, spatially with both consumptive and non-consumptive uses of water. A set of demand/supply nodes in a tree, radiating from a single reservoir represents a mixed-use river catchment. The multi-nodal version of the deterministic Constructive Dual Dynamic Programming (CDDP) procedure developed in this study constructs a net demand curve for water released for the reservoir which to efficiently and implicitly clears the market across all nodes in the catchment. The main advantage of the CDDP approach is that it enables us to backtrack and pick apart prices in ways that allow participants and analysts to understand why prices are, what they are, and from where the value derives.

Index Terms—Water markets, CDDP, consumptive use, non-consumptive use.

I. Mahakalanda is with Department of Decision Sciences, University of Moratuwa, Sri Lanka (e-mail: indra.mahakalanda@gmail.com).

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Cite: I. Mahakalanda, "Easy Implementation of Intra-period Water Market Clearing Using CDDP Models," International Journal of Environmental Science and Development vol. 9, no. 6, pp. 147-151, 2018.

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