Impact of incremental piecewise linear cost/benefit functions on DC-OPF based deregulated electricity markets

Abdelmadjid Arab, Fatiha Lakdja, Yamina Ahlem Gherbi, Fatima Zohra Gherbi

Abstract


Optimal power flow is regarded as an essential look ahead tool for independent system operators and energy market operators to ensure reliable grid operation under normal and severe circumstances. For instance, the system operator will focus on power system performance, power quality while considering physical constraints and limits of different network components. On the other hand, a market operator will deal with bidding and market clearing mechanisms while ensuring optimal and efficient operation. Real-world data submitted by different market players are presented as piecewise linear functions composed of linear segments defined through quantity price pairs instead of the conventional polynomial quadratic functions. This paper proposes a piecewise linear cost/benefit model based on the incremental method that was presented as a Mixed Integer Programming (MIP) model and it was incorporated within a market-based DC-OPF problem. Results were analysed and discussed for a modified IEEE 14 bus test system operated under a deregulated market framework using the MIP model and the conventional polynomial quadratic functions. The General Algebraic Modelling System (GAMS) was used for problem formulation and simulation.

Keywords


Deregulated electricity markets; General Algebraic Modelling System (GAMS); Mixed integer linear programming (MILP); Optimal Power Flow (OPF)

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References


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DOI (PDF): https://doi.org/10.20508/ijrer.v12i2.12769.g8458

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