Congestion Management in Power Systems

7/31/2019 Congestion Management in Power Systems

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UPAL SINHA

SUNOY KR.

BENTE

PRITAM SINHA

ROY

SAYANTAN

BHATTACHARJEE

SHOUVIK

MUKHERJEE1


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GENERATOR:SOURCE OF

ELECTRICAL

ENERGY

TRANSMISSIO

N LINE:TRANSMITTING

POWER

LOAD:

CONSUMINGPOWER

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Limit = 100 MVA

Limit = 100 MVABus A

300.0 MW

25%

175.00 MW

25.0 MW

Rest of

Electric

System100%

100.0 MW

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FAIR AND NON-DISCRIMINATORY

ECONOMICALLY EFFICIENT

TRANSPARENT AND NON-AMBIGUOUS

FEASIBLE COMPATIBLE WITH MARKET

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NET TRANSFERCAPACITY(NTC)

Represents the best estimate

limit for physical electricity

transfer between two areas.

AVAILABLETRANSFER

CAPACITY(ATC)

Transfer capacity remaining

between two interconnected

areas for further commercial

activity over and above already

committed uses of the

transmission networks.

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CURTAILMENT BASED ON PUBLISHED NTCs

AUCTIONING

MARKET SPLITTING

REDISPATCHING

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When NTCs are used as an upper limit of the available transmissioncapacity, no further capacity can be allocated by TSOs once the limit is

reached.

Then the method requires that a mechanism to define the priority for using

NTCs be implemented.

ADVANTAGE: No additional costs are incurred, and thus there is no

allocation or cost allocation mechanism.

DRAWBACKS: Curtailment of transactions based on NTCs publication

does not convey any economic incentive. It does not provide incentives to

TSOs, generators, distributors, traders and therefore does not promote

efficient trade.

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The auctioning method is efficient regarding competition :bidsreflect exactly the real market value as perceived by the

participants, the highest priority for access being granted to the

one who is ready to pay the highest price.

ADVANTAGE: The auctioning system allows TSOs to handleconstraints for cross-border trading, without providing any

physical information except NTC.

DRAWBACKS:Auctioning raises a transmission risk on long

or mid-term bilateral contracts (there is no guarantee that theywill be accepted every day)

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This method consists of splitting apower exchange (PEX) intogeographical bid areas

Each area has its own pool price :areas downstream of a congestion

will have a higher pool price, areasupstream of a congestion will have alower pool price

When the price-demand effect isobserved, demand decreases asprice increases

ADVANTAGE: On a long-termbasis, customers may react to high

prices in congested areas bysubstituting other forms of energy toelectricity

DRAWBACKS: It is not feasible ona large scale

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Redispatch effectively allowsextending trade through re-optimisation despite physicalboundaries, till there is nogeneration possibilities left toredispatch

ADVANTAGE: Theadvantage of publishing likelycongestion costs in advance isthat it allows good visibility ofthese issues to all participants.

DRAWBACKS: Preparing theabove cost curve placessignificant computationaldifficulties on the TSOs

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It is assumed that the market knows market limits(NTCs published by TSOs).

This situation could be supported by any number

of contracts, but G2, G3 and G4 between them

can only contract up to 280 MW (2 x 100 MW + 2

x 40 MW NTC). The access to B-A and B-C

interconnectors is allocated according to chosen

priority rules.

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An efficient market is assumed (the market hasenough information as to adjust generation withrespect of NTCs) with :

G1 200 MW

G2 200 MW G3 80 MW

G4 0 MW

G5 20 MW

This situation could be supported by any number ofcontracts.

Assuming that G2 has contracted with D2 and D3, G3and G4 could be competing in the auction for capacitybetween B and A, and between B and C. G3 could

obtain 80 MW of capacity in this auction. 19


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LMPLOCAL MARGINAL PRICES TUT TRANSMISSION USAGE TARIFF

LMPlossless = EP + CR

LMP loss= EP + CR + LC EPENERGY PRICE

CRCONGESTION REVENUE

LCTRANSMISSION LOSSES COST

LMP-TUT = EP + CR + LC + TUT

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Format-I

Issue Date: Issue Time: Revision No.

Corridor/ Date Time Total

Reliabili

ty Available

Control Period Transfer Margin Transfer

Area Capabili

ty

(RM) Capability

(TTC) (ATC)

Remarks:

National /________Regional Load Despatch Centre

Total Transfer Capability for mmmm ,yyyy

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Format II

Congestion Monitoring Display

dd/mm/yyyy, hh:mm

Corridor/

Control Area

TTC ATC Actual

National/_________Regional Load Despatch

Centre

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Format V

National/_________Regional Load Despatch Centre

Notice Number: (LDC/RLDC)/yyyy/mm/. Date: dd/mm/yy Time of Issue:hh:mm

To

NOTICE FOR LIFTING OF CONGESTION CHARGE

Congestion charge on Unscheduled Interchange (UI) energy that was applicable

w.e.f hh:mm of dd/mm/yyyy vide notice umber.... issued at hh:mm of dd/mm/yyyy

would be lifted w.e.f time block no. (hh:mm) of dd/mm/yyyy.

Shift Charge

Manager

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Congestion Management in Power Systems