Unlike many economists who view market power as a glitch, Stoft treats it as a feature of the electricity landscape. Because transmission constraints can isolate a geographic area (creating a "load pocket"), a single generator in that pocket can effectively become a monopolist during peak hours.
: He clarifies that while some market power exists in every market, it must be monitored and minimized through design rather than just reactive regulation. Market-Based Unit Commitment power system economics steven stoft pdf