Earl J. Isaac Chair in the Science and Analysis of Decision Making
Ph.D. Stanford University, 1972 Engineering Economic Systems

4119 Etcheverry Hall
(510) 642-1836
E-mail: oren(at)

Personal Webpage:

"My work focuses on 'Market Engineering', using optimization technology along with price and incentive mechanisms for coordination of decentralized complex systems. My main domain of interest is planning, operation and regulation of electric power systems including generation, transmission and distribution."


Dr. Shmuel S. Oren is Professor of Industrial Engineering and Operations Research at the University of California at Berkeley and former Chairman of that department. He is a co-founder and the Berkeley site director of PSerc - a multi-university Power Systems Research Center sponsored by the National Science Foundation and industry members. He is also a member of the California ISO Market Surveillance Committee. Dr. Oren holds B.Sc. and M.Sc. degrees in Mechanical Engineering from the Technion in Israel and M.S. and Ph.D degrees in Engineering Economic Systems from Stanford University. He is a Fellow of the IEEE Power Engineering System Society and a Fellow of INFORMS. 


  •  Economics, Planning and Operation of Electric Power Systems
  • Market Based Coordination of Cyber-physical Critical Infrastructure
  • Energy Economics, Risk Management and Trading Instruments
  • Optimization Theory and Application


  • "Self-Scaling Variable Metric (SSVM) Algorithms: Parts I and II."(with D.G. Luenberger), Management Science, 1974.
  • "Critical Mass and Tariff Structure in Electronic Communications Markets"(with S. Smith), Bell Journal of Economics, 1981
  • "Competitive Nonlinear Tariffs," (with S. Smith and R. Wilson), Journal of Economic Theory 1983.
  • "Capacity Pricing" (with S. Smith and R. Wilson), Econometrica, 1985
  • "Nonlinear Pricing to Produce Information," (with D. Braden), Marketing Science, 1994.
  • "Folk Theorems on Transmission Open Access: Proofs and Counter Examples"(with F. Wu, P. Varaiya and P. Spiller), Journal of Regulatory Economics, 1996
  • Co-Optimization of Generation Unit Commitment and Transmission Switching With N-1 Reliability", (with Hedman, O'Neill, Fisher, and Ferris) IEEE Transactions on Power Systems, 2010
  • "The Impact of Carbon Cap and Trade Regulation on Congested Electricity Market Equilibrium", (with T. Limpaitoon and Y.Chen , Journal of Regulatory Economics, 2011
  • "Multi-Area Stochastic Unit Commitment for High Wind Penetration in a Transmission Constrained Network", (with A. Papavasiliou), Operations Research, 2013

Ph.D. Theses Supervised

  •  "Investment Incentives in the U.S. Electricity Transmission System", Enzo Sauma, 2005
  • "Cournot Equilibrium in Two-Settlement Electricity Markets: Formulation and Computation", Jian Yao, 2006
  • "Managing Volumetric Risk in Electricity Procurement", Yumi Oum, 2006
  • "Design and Analysis of Electricity Markets", Ramteen Sioshansi, 2007.
  • "An Equilibrium Pricing Model for Weather Derivatives", Yongheon Lee, 2008
  • "Flexible Transmission in the Smart Grid", Kory Hedman, 2010
  • "Coupling Renewable Energy Supply with Deferrable Demand", Anthony Papavasiliou, 2011
  • "Cap-and-Trade Modeling and Analysis: Congested Electricity Market Equilibrium", Tanachai Limpaitoon, 2012
  • "Topics in Electricity Market Design", Ruoyang Li, 2014