No evaluation is made.

This method applies a time dependent piecewise linear, or block, value to power generated. The order of power source evaluation matters for simulation because it is nonlinear; the order affects the credit given to each power source. Evaluation before other power sources will result in higher credit. The optimization doesn’t allocate credit to individual power sources, and the order has no effect on it.

At the end of the run, the economic value of hydropower is calculated based on a piecewise linear function of power. The piecewise function can vary by time period. While there is no direct linkage to thermal sources of power, one interpretation of the piecewise linear function is that it represents the coordinated reduction in other power sources as a result of hydropower generation. This method does not attempt to meet an explicit load, rather the load is assumed to be included in the process that generates the piecewise linear functions.

The piecewise linear functions are represented by the Hydro Block Costs. The Hydro Block Costs are the slope of the piecewise linear segments, or alternatively the value of a unit of power. The piecewise linear function is assumed to be concave: the costs are assumed to decrease as the block number increases.