Transmission Losses Allocation In Competitive Electricity Market Environment

Anis Niza, Ramani (2009) Transmission Losses Allocation In Competitive Electricity Market Environment. Masters thesis, Universiti Teknologi Malaysia.

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The restructuring of Electricity Supply Industry (ESI) all over the world that started mainly in the 20th century introduces an open electricity market for trading electricity between generators and suppliers in competitive environments. This transformation consists of two aspects that are related with each other; restructuring and privatization. However, due to this change, some problems and challenges have risen. One of it is the issue of power losses allocation. When electrical power is transmitted through a network, it will cause power losses. The generators must compensate this loss by generating more power. Under competitive electricity market environment, no generators would want to generate more to compensate this loss as it will increase their production cost. Logically both generators and consumers are supposed to pay for the losses because they both use the network and thus are responsible for the losses incurred. If there is no specified method to handle this problem, there is a probability that the Independent System Operator (ISO) which is a non-profit entity and does not have source of income will be responsible for this losses. However, if ISO paid for the losses, it is considered unfair. It is the market participants who should cover up the cost of losses. Thus, this project focuses on the comparative analysis in some existing allocating transmission losses and loss cost methods. The selected methods are pro rata, proportional sharing and novel pricing and these methods have been tested using simple bus network and the IEEE standard 14 test bus system.

Item Type: Thesis (Masters)
Uncontrolled Keywords: Electric power distribution, Electric power systems -- Electric losses, Electric power distribution -- Network analysis
Subjects: T Technology > T Technology (General)
T Technology > TK Electrical engineering. Electronics Nuclear engineering
Divisions: Library > Tesis > FKE
Depositing User: Siti Syahirah Ab Rahim
Date Deposited: 02 Oct 2014 17:33
Last Modified: 28 May 2015 04:30
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