Transmission Expansion Planning in Deregulated Power ... - tuprints
Transmission Expansion Planning in Deregulated Power ... - tuprints
Transmission Expansion Planning in Deregulated Power ... - tuprints
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Appendix C: Examples for Locational Marg<strong>in</strong>al Price 122<br />
Case 2:<br />
Figure C.2 shows case 2. In this case, generator 1 can not supply both loads because of the<br />
transmission constra<strong>in</strong>t. Hence, 50 MW of load 2 is supplied by the generator 2. If 1 MW load<br />
is added to bus 1, this 1 MW load is supplied by generator 1. Therefore, LMP of bus 1 is<br />
equal to $10/MWhr. If 1 MW load is added to bus 2, this 1 MW load is supplied by generator<br />
2. Therefore, LMP of bus 2 is equal to $15/MWhr. Due to transmission congestion LMPs are<br />
not equal <strong>in</strong> this case.<br />
LMP: 10$10/MWhr<br />
100 MW<br />
Bid: $20/MWhr<br />
400 MW @ $10/MWhr<br />
dispatched 300 MW<br />
1 Limit: 200 MW 2<br />
200 MW<br />
Fig. C.2- 2 bus system – case 2<br />
200 MW @ $15/MWhr<br />
dispatched 50 MW<br />
LMP: 15 $10/MWhr<br />
250 MW<br />
Bid: $20/MWhr<br />
Case 3:<br />
In cases 1 and 2 LMPs of buses are smaller than bid of their loads. Hence, the loads are not<br />
curtailed. Case 3 is similar to case 2; except bid of load 2 is $12/MWhr. Figure C.3 shows<br />
case 3. Due to transmission constra<strong>in</strong>t, generator 1 can not supply more that 200 MW of load<br />
2. If the rest of load 2 is supplied by generator 2, LMP of bus 2 will be $15/MWhr (like case 2)<br />
which is greater than bid of load 2. Hence, load 2 is curtailed till LMP of bus 2 decreases to<br />
bid of load 2 i.e. $12/MWhr. In fact each load can be modelled with a load which is curtailed<br />
never and an imag<strong>in</strong>ary generator with the bid of load. For example, load of buses of 2 can be<br />
modelled with a 250 MW load and an imag<strong>in</strong>ary generator with bid $12/MWhr. The load is<br />
supplied fully and curtailed never. Figure C.4 shows the imag<strong>in</strong>ary generator. In this case first<br />
generator of bus 1 is dispatched till reach transmission constra<strong>in</strong>t. After that, imag<strong>in</strong>ary<br />
generator is dispatched s<strong>in</strong>ce its bid is smaller that bid of generator 2. If 1 MW load is added<br />
to bus 1, this 1 MW load is supplied by generator 1. Therefore, LMP of bus 1 is equal to<br />
$10/MWhr. If 1 MW load is added to bus 2, this 1 MW load is supplied by imag<strong>in</strong>ary<br />
generator. Therefore, LMP of bus 2 is equal to $12/MWhr. The value of load curtailment is<br />
equal to dispatched value of imag<strong>in</strong>ary generator. In this case, imag<strong>in</strong>ary generator produces<br />
50 MW. This means load of bus 2 is curtailed 50 MW, and only 200 MW of it is supplied.<br />
Because of the transmission congestions LMPs are not equal <strong>in</strong> this case.