Coordination of generation and transmission development through generation transmission charges : a game theoretical approach

Y. Tohidi, L. Olmos, M. Rivier, M.R. Hesamzadeh

Research output: Contribution to journalArticleAcademicpeer-review

12 Citations (Scopus)

Abstract

Transmission charges aim to recover the cost of transmission network investments and provide efficient locational signals to new generators. In this paper, we investigate the effect of these charges on the development of new generation capacities in the system. Generation expansion planning is decided by strategic generation planners (SGPs) trying to maximize their profits, while transmission line investments are planned by a central planner and regulatory body aimed at minimizing the overall operation and network investment costs of the system. Regulatory transmission charges (RTCs) are calculated according to the marginal responsibility of generation investment on transmission network investment costs. An iterative algorithm is proposed to model the interaction taking place between the central planner and SGPs. The developed methodology is applied to a 2-node illustrative example and the IEEE-RTS96, and effects of RTCs on investment decisions of SGPs are analyzed.
Original languageEnglish
Article number7492608
Pages (from-to)1103-1114
Number of pages12
JournalIEEE Transactions on Power Systems
Volume32
Issue number2
DOIs
Publication statusPublished - Mar 2017

Keywords

  • Generation expansion planning
  • game theory
  • marginal transmission charges

Fingerprint

Dive into the research topics of 'Coordination of generation and transmission development through generation transmission charges : a game theoretical approach'. Together they form a unique fingerprint.

Cite this