Single Buyer:
The most basic design for a wholesale market is the Single
Buyer Market that opens the sector only to competition in the entry of new
generation. This model was initially
designed to allow private investors to build power plants by selling to an
integrated electricity utility. This was
the initial market model in Pakistan, with the introduction of independent
power producers (IPPs) selling through long term PPAs to WAPDA.
The typical characteristics of this model include the
following: