A Novel Policy for LMP Calculation in Distribution Networks Based on Loss and Emission Reduction Allocation Using Nucleolus Theory

Proportional nucleolus game theory-based locational marginal price computation for loss and emission reduction in a radial distribution system

“…The proposed method has been compared in terms of emission, loss, and DISCO's extra benefit with some published techniques on LMP computation like the iterative nucleolus method, iterative Shapley method, marginal loss method, and uniform price method to demonstrate accuracy and validity.…”

“…Figures and show emission and active power loss of the TPC distribution system at each hour of the day, respectively, based on the proposed method and iterative nucleolus method with forecasted load. In case the market price is less than the b coefficient value of all DG units, then no DG unit can inject the power into the network.…”

“…The iterative nucleolus method proposed by Farsani et al provides incentives to DG owners based on market price and contribution of DGs in loss and emission reduction. This type of computation leads to more incentive in each iteration, but it also results in quickly reaching a negative DISCO extra benefit.…”

“…The proposed method's performance has been compared with the iterative nucleolus method and conventional methods like the uniform price method and marginal loss method in terms of active power loss and reduced loss amount at different market prices. All these methods have been implemented on the TPC distribution system with load data as presented by Su and Lee .…”

“…The distribution system has a base case loss of 220 kW. Active power loss due to each coalition of DG units is shown in Table 2 A linear programming problem has been formulated using Equation 11, and the objective function is shown in min 0 * y 1 þ 0 * y 2 þ 0 * y 3 þ 1 * ε (12) such that the equality and inequality constraints shown in Equations 13 and 14, respectively, have to be satisfied.…”