Establishing Pricing Schemes for FACTS Devices in Congestion Management

Research output: Chapter in Book/Report/Conference proceedingConference contribution

7 Citations (Scopus)

Abstract

Frequently occurred congestions have prevented the deregulated power market to achieve its objective, cheaper energy for consumers, because congestion cost has been added to consumers' locational marginal price (LMP) besides generation cost. Some measures are needed to solve this problem. Otherwise, benefits brought by deregulation will be incomplete. As an alternative to building new transmission lines, which is not preferred due to many factors, Flexible AC Transmission System (FACTS) was introduced to solve both the congestion problem [1] and in turn reduce LMP [2]. However, a key issue is still missing, which is the pricing scheme for the utilization of FACTS devices and penalty for users to operate at their limits. Unless this issue is addressed, no proper incentives can be provided to market participants for new constructions. This paper proposes a pricing scheme for FACTS devices in congestion management, which addresses both the penalty and the utilization issues. Numerical examples are also used to demonstrate our ideas.

Original languageEnglish
Title of host publication2003 IEEE Power Engineering Society General Meeting, Conference Proceedings
Pages1025-1030
Number of pages6
Volume2
Publication statusPublished - 1 Dec 2003
Externally publishedYes
Event2003 IEEE Power Engineering Society General Meeting - Toronto, Ont., Canada
Duration: 13 Jul 200317 Jul 2003

Other

Other2003 IEEE Power Engineering Society General Meeting
CountryCanada
CityToronto, Ont.
Period13/7/0317/7/03

Fingerprint

Costs
Deregulation
Electric lines
Flexible AC transmission systems
Power markets

Keywords

  • Congestion
  • Deregulation
  • FACTS
  • Price

ASJC Scopus subject areas

  • Energy Engineering and Power Technology
  • Engineering(all)

Cite this

Huang, G. M., & Yan, P. (2003). Establishing Pricing Schemes for FACTS Devices in Congestion Management. In 2003 IEEE Power Engineering Society General Meeting, Conference Proceedings (Vol. 2, pp. 1025-1030)

Establishing Pricing Schemes for FACTS Devices in Congestion Management. / Huang, Garng Morton; Yan, Ping.

2003 IEEE Power Engineering Society General Meeting, Conference Proceedings. Vol. 2 2003. p. 1025-1030.

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Huang, GM & Yan, P 2003, Establishing Pricing Schemes for FACTS Devices in Congestion Management. in 2003 IEEE Power Engineering Society General Meeting, Conference Proceedings. vol. 2, pp. 1025-1030, 2003 IEEE Power Engineering Society General Meeting, Toronto, Ont., Canada, 13/7/03.
Huang GM, Yan P. Establishing Pricing Schemes for FACTS Devices in Congestion Management. In 2003 IEEE Power Engineering Society General Meeting, Conference Proceedings. Vol. 2. 2003. p. 1025-1030
Huang, Garng Morton ; Yan, Ping. / Establishing Pricing Schemes for FACTS Devices in Congestion Management. 2003 IEEE Power Engineering Society General Meeting, Conference Proceedings. Vol. 2 2003. pp. 1025-1030
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