Active and reactive power transmission loss allocation to bilateral contracts through game theory techniques

Abstract

Transmission loss has a considerable effect in overall power generation. For fairly distributing the charge of losses to generators and consumers in a deregulated power system, the allocation of this loss is very important. Gametheoretic methods seem fairer for share determination of each participant of a coalition with no discrimination. In this paper, the active and reactive power transmission losses are allocated to bilateral transactions simultaneously through load flow calculations and cooperative game theory solutions. The loss allocation problem and each bilateral transaction are treated as a game and a player of the game, correspondingly. Two game theory-based approaches, the Shapley value and the τ -value, are surveyed. The former is the most relevant game theory allocation method, while the latter is a novel approach. The influences of all loss allocation game players and bilateral bargains on transmission loss are considered.These two proposed methods are applied to a simple 6-bus network and the modified IEEE 57-bus test system. In the 6-bus network positive MVA loss allocations and in the IEEE 57-bus system negative MVA loss allocations are studied.Finally, the results of allocation procedures are compared to each other.

Optimal cost allocation algorithm of transmission losses to bilateral contracts

“…The simulation results show that the parties bear the total loss of the transmission line of 1,967 MW as shown in Table 6 to the bilateral contract transaction and the integrated system. The total allocation of power losses as a base case is in line with the results of a study by [21]. Table 6 shows that the active power losses allocated to the integrated system and bilateral contract are respective 1.014 MW and 0.953 MW that reflects a fairness allocation.…”

“…Table 4 shows the base case of the optimization results involving the entire power system configuration. Table 4 shows that the transmission line loss is 1.967+j 8.421 MVA and was noticeable also by [21]. The total integrated load is 210 MW and the bilateral contract load is 200 MW.…”

“…Bilateral parties to the contract must bear transmission losses because the generator capacity is equal to the total load [20]. Based on studies conducted by [21] have analyzed the complex power flows from the generator to the transmission network using the voltage superposition method. While the optimization method for transmission line loss using the direct method of economic dispatch studied by [22,23] has successfully solved the issues of optimal loss allocation from the transmission line.…”