Advertisement

Location-based Marginal Pricing of Electricity and its Decomposition

  • K. Xie
  • Y. H. Song
Part of the Power Systems book series (POWSYS)

Abstract

In the emerging electricity market, which relies on price-based competition, an unambiguous, transparent and predictable pricing framework of electricity for both active and reactive power is one of the major issues. Also, with the growing interest in determining the costs of supplying the ancillary services needed to maintain quality and reliable electricity service, the spot price should be decomposed and distributed to different ancillary services.

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  1. [1]
    M. Einborn, R. Siddiqi, “Electricity Transmission Pricing and Technology”, Kluwer Academic Publishers, 1996Google Scholar
  2. [2]
    F.C. Schweppe, M.C. Caramanis, R.D. Tabors, and R.E. Bohn, “Location based Pricing of Electricity”, Kluwer Academic Publishers, Boston, MA, 1988CrossRefGoogle Scholar
  3. [3]
    M.C. Caramanis, R.E. Bohn and F.C. Schweppe, “WRATES: A Tool for Evaluating the Marginal Cost of Wheeling,”, IEEE Transactions on Power Systems, Vol. 4, No. 2, May 1989Google Scholar
  4. [4]
    M. Rivier, I. Perez-Ariaga, “Computation and decomposition of location based price for transmission pricing”, 11 PSCC Conference, 1991Google Scholar
  5. [5]
    D. Ray, and F. Alvarado, “Use of an Engineering Model for Economic Analysis in the Electric Utility Industry”, Presented at the Advanced Workshop on Regulation and Public Utility Economics, Rutgers University, May 25–27, 1988Google Scholar
  6. [6]
    M.L. Baughman, S.N. Siddiqi, “Real Time Pricing of Reactive Power: Theory and Case Study Results”, IEEE Transactions on Power Systems, Vol. 6, No. 1, February 1993Google Scholar
  7. [7]
    N. Dandachi, M. Rawlins, O. Alsac, M. Prais, B. Stott, “OPF For Reactive Pricing Studies On The NGC System”, IEEE Transactions on Power Systems, Vol. 11, No. 1, February 1996Google Scholar
  8. [8]
    A.A. EL-Keib, X. Ma, “Calculating of Short-Run Marginal Costs of Active and Reactive Power Production”, IEEE Transactions on Power Systems, Vol. 12, No. 1, May 1997Google Scholar
  9. [9]
    Y.Z.Li, A.K. David, “Wheeling Rates of Reactive Flow under Marginal Cost Theory”, IEEE Transactions on Power Systems, Vol. 10, No. 3, August 1993Google Scholar
  10. [10]
    S.N. Siddiqi, M.L. Baughman, “Reliability Differentiated Pricing of Spinning Reserve”, IEEE Transactions on Power Systems, Vol. 10, No. 3, August 1995Google Scholar
  11. [1.
    ] A. Zobian, M.D. Ilic, “Unbundling of Transmission and Ancillary Services”, IEEE Transactions on Power Systems, Vol. 12, No. 1, February 1997Google Scholar
  12. [12]
    M.C. Caramanis, R.E. Bohn, F.C. Schweppe, “System Security Control and Optimal Pricing of Electricity”, Electrical Power & Energy Systems”, Vol. 9, No. 4, October 1987Google Scholar
  13. [13]
    R. Kaye, F.F. Wu, “Security Pricing of Electricity”, IEEE Transactions on Power Systems, Vol. 4, No. 3, August 1995Google Scholar
  14. [14]
    F. Alvarado, Y. Hu, D. Ray, R. Stevenson, E. Cashman, “Engineering Foundations for Determination of Security Costs”, IEEE Transactions on Power Systems, Vol. 6, No. 3, August 1991Google Scholar
  15. [15]
    M.L. Baughman, S.N. Siddiqi, J.W. Zarnikau, “Advanced Pricing in Electricity Systems”, IEEE Transactions on Power Systems, Vol. 12, No. 1, February 1997Google Scholar
  16. [16]
    J.D. Finney, H.A. Othman, W.L. Rutz, “Evaluating Transmission Congestion Constraints in System Planning”, IEEE Transactions on Power Systems, Vol. 12, No. 3, August 1997Google Scholar
  17. [17]
    L Willis, J Finney, G. Ramon, “Computing the Cost of Unbundled Services”, October 1996, Computer Applications in PowerGoogle Scholar
  18. [18]
    K. Xie, Y. H. Song, J. Stonham, E. Yu, G. Liu, “Decomposition Model and Interior Point Methods for Optimal Spot Pricing of Electricity in Deregulated Environments”, IEEE Transactions on Power Systems, Vol. 15, No. 1, February 2000Google Scholar
  19. [19]
    D.R. Bobo, D.M. Mauzy, “Economic Generation Dispatch With Responsive Spinning Reserve Constraints”, IEEE Transactions on Power Systems, Vol. 9, No. 1, February 1994Google Scholar
  20. [20]
    J.A. Momoh, R.J. Koessler, M.S. Bond, B. Stott, D. Sun, A. Papalexopoulos, P.Ristanovic, “Challenges to Optimal Power Flow”, IEEE Transactions on Power Systems, Vol. 12, No. 1, February 1997Google Scholar
  21. [21]
    S. Granville, “Optimal Reactive Dispatch Through Interior Point Methods”, IEEE Transactions on Power Systems, Vol. 9, No. 1, February 1994Google Scholar
  22. [22]
    G.D. Irisarri, X. Wang, J. Tong, S. Mokhtari, “Maximum Loadability of Power Systems Using Interior Point Non-Linear Optimization Method”, IEEE Transactions on Power Systems, Vol. 12, No. 1, February 1997Google Scholar
  23. [23]
    C.N. Lu, M.R. Unum, “Network Constrained Security Control Using An Interior Point Algorithm”, IEEE Transactions on Power Systems, Vol. 8, No. 3, August 1993Google Scholar
  24. [24]
    J.A. Monmoh, S.X. Guo, E.C. Ogbuobiri, R. Adapa, “The Quadratic Interior Point Method Solving Power System Optimization Problems”, IEEE Transactions on Power Systems, Vol. 9, No. 3, August 1994Google Scholar
  25. [25]
    D.I. Sun, B. Ashley, B. Brewer, A. Hughes, W.F. Tinney, “Optimal Power Flow by Newton Approach”, IEEE Transactions on Power Systems, Vol. PAS-103, No. 10, October 1984Google Scholar
  26. [26]
    Y. Hao, “Study of Optimal Power Flow and Short-term Reactive Power Scheduling”, PhD Thesis, Electric Power Research Institute (China), 1997 882 K. Xie and Y.H. SongGoogle Scholar
  27. [27]
    G.A. Maria, J.A. Findlay, “A Newton Optimal Power Flow Program for Ontario Hydro EMS”, IEEE Transactions on Power Systems, Vol. 2, No. 3, August 1987Google Scholar

Copyright information

© Springer-Verlag London 2003

Authors and Affiliations

  • K. Xie
  • Y. H. Song

There are no affiliations available

Personalised recommendations