Philippine Electricity Market Corporation (PEMC)Copyright © 2012 by Philippine Electricity Market Corporation
Module 1:MARKET OPERATIONS AND
TRADINGScheduling, Pricing and Dispatch
Philippine Electricity Market Corporation (PEMC)Copyright © 2012 by Philippine Electricity Market Corporation
Presentation Outline Hour-ahead Real-time Dispatch (RTD)
Effect of Transmission Loss Factor (TLF) on Dispatch and Usage on Scheduling
Determination of Ex-ante Price (EAP), RTD Schedule and Ex-ante Quantity (EAQ) for Generator and Load Customer
Real-time Expost Dispatch(RTX)
Determination of Ex-post Price (EPP) for Generator and Load Customer
Examples2
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HOUR-AHEAD REAL TIME DISPATCH (RTD)
“Ex-Ante”
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HOUR-AHEAD REAL TIME DISPATCH (RTD)
•It is the Hour-Ahead Dispatch Schedulewhich determines the target loading, inMW, of facilities at the end of the tradinginterval.
•The RTD calculates the Ex-ante NodalPrices.
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HOUR-AHEAD REAL TIME DISPATCH (RTD)
H+1(End of Trading Interval)
H (Start of Trading Interval)
80
20
120
100
60
40
0
MW
Time
Initial MW (EAIQ) for H(Optimized by MMS)
Hour - Ahead Dispatch ScheduleRTD/Target MW (EATQ) for H+1
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RTD Market Trading Mechanism
System Conditions:•System Snapshot •Outage Schedules•Security Limits•Contingency Lists•Transmission limits•Reserve Requirement
MarketManagement
System
Market Input Data:• Energy offers(Price, Quantity, Ramp Rate)
Trading Participant Market Operator System Operator
System DemandForecast
Market Dispatch Optimization Model
(MDOM)
•Pricing and Scheduling
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Table 1.1 - Generator Offers (Trading Participants)
Region Participant Pmin(MW)
Quantity (MW)
Price (Php/MWh)
Ramp-rates (MW/min)
Luzon 3,025.00 6,312.20 RRUP RRDNLhydro_G01 70.00 684.60 1,000.00 30 30Lgeo_G01 110.00 369.00 270.69 3 3Lcoal_G01 1,080.00 2,400.60 2,168.32 4 4Ldiesel_G01 0 143.00 7,469.00 4 4Lnat_G01 1,765.00 2,715.00 -1.00 6 6
Visayas 465.00 1,485.80Vgeo_G01 216.00 616.50 0.00 3 3Vcoal_G01 249.00 622.00 1,981.70 4 4Vdiesel_G01 0 247.30 18,500.19 2 2
Total 3,490.00 7,798.00
Note: Price-Qty Offer must be up to 10 energy blocks.
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Table 1.2 - System Demand Forecast (Market Operator)
Region System Demand* Forecast (MW)Luzon 5,348Visayas 932.1Total 6,280.1
Note: * - System Demand = Demand + Losses
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General Constraint
Generation = Losses + Demand
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Effect of Transmission Loss Factors on Dispatch
•The incremental transmission lossesbased on the location of the resourcewith respect to the reference bus andflow of power on the grid•This factor is called the TransmissionLoss Factor, or Penalty Factor
∂∂
−
=
igen
Loss
i
PP
TLF1
1 Change in System Losses
Change in Unit’s MW Output
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Usage of Transmission Loss Factors on Scheduling
•The amount of power (MW) that needsto be generated/consumed at theresource bus in order toconsume/supply 1MW at the referencebus (Richview).•The factor that is multiplied to the offerand bids to come up with a value ofthose offers and bids relative to thereference bus.
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•An increment in generation results inan increase in system losses,
• The price offer is adjusted higher
10 <∂∂
<igen
Loss
PP 1
1
1>
∂∂
−
=
igen
Loss
i
PP
TLF
Usage of Transmission Loss Factors on Scheduling
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•An increase in generation results in adecrease in system losses then:
• The price offer is adjusted lower
10 −>∂∂
>igen
Loss
PP 1
1
1<
∂∂
−
=
igen
Loss
i
PP
TLF
Usage of Transmission Loss Factors on Scheduling
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•The generator offer price will beadjusted as:
Adjusted Offer Price = Offer x TLF
Usage of Transmission Loss Factors on Scheduling
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Table 1.3 - Adjusted Generator Price Offers
Region Participant Offer Price (Php/MWh) TLF
Adjusted Offer Price (Php/MWh)
LuzonLhydro_G01 1,000.00 1.0000 1,000.00Lgeo_G01 270.69 0.9937 268.98Lcoal_G01 2,168.32 1.0013 2,171.14
Ldiesel_G01 7,469.00 0.9705 7,248.66Lnat_G01 -1.00 1.0483 -1.05
VisayasVgeo_G01 0.00 1.0243 0.0000Vcoal_G01 1,981.70 0.9978 1,977.34
Vdiesel_G01 18,500.19 0.9974 18,452.09
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G5G4
Determination of Generator Dispatch Schedules and System Marginal Price
Price(P/MWh)
System Demand Forecast
Adjusted Price Offers
Quantity (MW)
System Marginal Price, λ
λ = (Price Offer x TLF)Marginal Plant
G1G2
G3G5
Schedule
Non-contestableQty
Non-contestable Qty.: Pmin, Must-run Unit (MRU), New and Renewable Energy and/or Non-scheduled Generator
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Determination of Generator Dispatch Schedules and System Marginal Price
Price(P/MWh)
Quantity (MW)
Over-all System Demand Forecast
6,280.1 MW
System Marginal Price, λ= Php 2,171.1/MWhMarginal Plant: Lcoal_G01
Lnat_G01Adj. P = -1.05Q = 950
Lhydro_G01Adj. P= 1,000Q = 614.6
Lcoal_G01Adj. P= 2171.1Q= 193
Lgeo_G01Adj. P = 268.98Q = 259
Vcoal_G01Adj. P= 2002.51Q = 373
Luzon System Demand Forecast
5,348 MW
V isayas System Demand Forecast
932.1 MW
Ldiesel_G01Adj. P = 7248.66Q = 143
Vdiesel_G01Adj. P= 18452.09Q = 247.3
Vgeo_G01Adj. P= 0 Qty = 400.5
ΣPmin = 3,490 MW
ΣGen Offer = 7,798 MW
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RTD HVDC Flow
Luz Vis
HVDC Flow = 306.40 MW
Gen Sched = 5,041.60 MWSystem Demand = 5,348 MW
Gen Sched = 1,238.5 MWSystem Demand = 932.1 MW
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Table 1.4 - Generator Dispatch Schedules
Participants Offered Qty. (MW) RTD* (MW)
Lnat_G01 2,715.00 2,715.00
Vgeo_G01 616.5 616.5
Lgeo_G01 369 369
Lhydro_G01 684.6 684.6
Vcoal_G01 622 622
Lcoal_G01 2,400.60 1,273.00
Ldiesel_G01 143 Not Cleared
Vdiesel_G01 247.3 Not Cleared
Total 7,798.00 6,280.10
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MW
→ LD Node 1
LD Node 2
LD Node 3
System Demand Forecast per
Region
System Snapshot
Node 1Node 2Node 3
Nodal Demand Schedules per
Region
MW
→
Determination of Load Nodal Schedules
Nodal Load Pattern
∑ ± HVDCGenregion
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Table 1.5 - Determination of Load Nodal Schedules
System Demand Forecast:
RegionLoad Demand
(MW)Losses(MW)
System Demand (MW)
Luzon 5260.6 87.4 5,348
Visayas 915.3 16.8 932.1
Load MTN:Participants RTD (MW)
Luzon 5,260.60
LC01_L01 1,308.26
LC02_L01 2,403.48
LC03_L01 1,548.86
Visayas 915.30
VC01_L01 101.00
VC02_L01 548.67
VC03_L01 151.27
VC04_L01 29.95
VC05_L01 84.40
Total 6,175.90
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Table 1.6 - Generator and Load Nodal Schedules
Load MTN:Participants RTD (MW)
Luzon 5,260.60 LC01_L01 1,308.26 LC02_L01 2,403.48 LC03_L01 1,548.86
Visayas 915.30 VC01_L01 101.00 VC02_L01 548.67 VC03_L01 151.27 VC04_L01 29.95 VC05_L01 84.40
Total 6,175.90
Generator MTN:Participants RTD (MW)
Lnat_G01 2,715.00
Vgeo_G01 616.50
Lgeo_G01 369.00Lhydro_G01 684.60
Vcoal_G01 622.00
Lcoal_G01 1,273.00
Ldiesel_G01 0.00
Vdiesel_G01 0.00
Total 6,280.10
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Determination of Scheduled Nodal Energy Generation/Consumption
H+1(End of Trading Interval)
H (Start of Trading Interval)
80
20
120
100
60
40
0
MW
Time
EAQ= ½(EAIQ+ EATQ)
EAQ – Ex-ante Qty
EAIQ – Ex-ante Initial Qty.
EATQ – Ex-ante Target Qty.
Scheduled Nodal Energy Generation / Consumption
Initial MW (EAIQ) for H
Hour - Ahead Dispatch ScheduleRTD/Target MW (EATQ) for H+1
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Table 1.7 - Forecasted/Scheduled Nodal Energy Generation/Consumption
Ex-ante Quantity (EAQ)
Generator MTN:
Resources EAIQ (MW)
EATQ (MW)
EAQ (MWh)
Lcoal_G01 1,084.95 1,273.00 1,178.97 Lgeo_G01 239.05 369.00 304.02 Lhydro_G01 794.48 684.60 739.54 Lnat_G01 2,369.89 2,715.00 2,542.44 Vcoal_G01 349.35 622.00 485.67 Vgeo_G01 467.60 616.50 542.05 Ldiesel_G01 0 0 0Vdiesel_G01 0 0 0
Total 5,305.31 6,280.10 5,792.70
Load MTN:Resources EAIQ (MW) EATQ (MW) EAQ (MWh) LC01_L01 1,165.40 1,308.26 1,236.83 LC02_L01 1,862.80 2,403.48 2,133.14 LC03_L01 1,490.30 1,548.86 1,519.58 VC01_L01 82.80 101.00 91.90 VC02_L01 392.20 548.67 470.43 VC03_L01 120.80 151.27 136.04 VC04_L01 26.30 29.95 28.13 VC05_L01 70.90 84.40 77.65
Total 5,211.50 6,175.90 5,693.70
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Nodal Prices/Locational Marginal Prices (LMP)
LMPGeneration
Price(SMP)
= Cost ofLosses+
TransmissionCongestion
Cost+
Marginal cost of supplying the next increment of electricenergy at a specific location while considering thegeneration marginal cost and the physical aspects of thetransmission system.
LMPi = λ + λ1
TLF i1 * + Σ µj aij
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Nodal Prices/Locational Marginal Prices (LMP)
LMPi =λ
TLF i
If no congestion occurs,
Generator:
∂∂
−
==
igen
L
ii
PP
TLFPF1
1Load:
∂∂
+
==
iload
L
ii
PP
TLFPF1
1
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Table 1.8 - Ex-ante Price (EAP)Nodal Price / Locational Marginal Price (LMP)
Generator MTN:
Resources TLF EAP (Php/MWh)
Lnat_G01 1.0483 2,071.10 Vgeo_G01 1.0243 2,119.63 Lgeo_G01 0.9937 2,184.90
Lhydro_G01 1.0000 2,171.10 Vcoal_G01 1.0105 2,148.58 Lcoal_G01 1.0013 2,168.32
Ldiesel_G01 0.9705 2,237.13 Vdiesel_G01 0.9974 2,176.80
Load MTN:
Resources TLF EAP (Php/MWh)
LC01_L01 0.9704 2,237.36 LC02_L01 0.9752 2,226.35 LC03_L01 1.0046 2,161.20 VC01_L01 0.9919 2,188.87 VC02_L01 1.0096 2,150.49 VC03_L01 0.9714 2,235.06 VC04_L01 0.9611 2,259.01 VC05_L01 0.8503 2,553.38
λ= Php 2,171.1/MWh
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REAL TIME EX-POST DISPATCH (RTX)
“Ex-post”
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REAL TIME EX-POST DISPATCH (RTX)
•It is a real time dispatch scheduleprocess performed at the end of atrading interval utilizing actualoperations data.
•The RTX calculates the Ex-postNodal Prices.
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RTX Market Trading Mechanism
System Condition:•System Demand
(System Snapshot )•Outage Schedules•Security Limits•Contingency Lists•Transmission limits
MarketManagement
System
Market Input Data:• Energy offers (Price, Qty, and Ramp Rate
Trading Participant Market Operator System Operator
Market Dispatch Optimization Model
(MDOM)
•Pricing and Scheduling
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Table 1.9 - Generator Offers*(Trading Participants)
Note: Same as Ex-ante
Region Participant Pmin(MW)
Quantity (MW)
Price (Php/MWh)
Ramp-rates (MW/min)
Luzon 3,025.00 6,312.20 RRUP RRDNLhydro_G01 70.00 684.60 1,000.00 30 30Lgeo_G01 110.00 369.00 270.69 3 3Lcoal_G01 1,080.00 2,400.60 2,168.32 4 4Ldiesel_G01 0 143.00 7,469.00 4 4Lnat_G01 1,765.00 2,715.00 -1.00 6 6
Visayas 465.00 1,485.80Vgeo_G01 216.00 616.50 0.00 3 3Vcoal_G01 249.00 622.00 1,981.70 4 4Vdiesel_G01 0 247.30 18,500.19 2 2
Total 3,490.00 7,798.00
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Table 1.10 - RTX System Demand (System Operator)
Region System Demand* (MW)Luzon 5,357.7Visayas 963.4Total 6,321.1
Note: * - System Demand = Genregion ± HVDC (Import/Export of power)- Based on the system snapshot at the end of the trading interval from SO
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Table 1.11 - Adjusted Generator Price Offers
Region Resources Offer Price (Php/MWh) TLF
Adjusted Offer Price (Php/MWh)
LuzonLhydro_G01 1,000.00 1.0000 1.0000Lgeo_G01 270.69 0.9956 269.50Lcoal_G01 2,168.32 1.0004 2,169.19
Ldiesel_G01 7,469.00 0.9778 7,303.19Lnat_G01 -1.00 1.0442 -1.04
VisayasVgeo_G01 0.00 1.0067 0.0000Vcoal_G01 1,981.70 0.9961 1,973.97
Vdiesel_G01 18,500.19 0.9947 18,402.14
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Determination of System Marginal Price
Price(P/MWh)
Quantity (MW)
Over-all System Demand6,321.1 MW
System Marginal Price, λ= Php 2,169.19/MWhMarginal Plant: Lcoal_G01
Lnat_G01Adj. P = -1.04Q = 950
Lhydro_G01Adj. P= 1,000Q = 614.6
Lcoal_G01Adj. P= 2169.19Q= 234
Lgeo_G01Adj. P = 269.50Q = 259
Vcoal_G01Adj. P= 1973.97Q = 373
Luzon System Demand Forecast
5,357.7 MW
V isayas System Demand Forecast
963.4 MW
Ldiesel_G01Adj. P = 7303.19Q = 143
Vdiesel_G01Adj. P= 18402.14Q = 247.3
Vgeo_G01Adj. P= 0 Qty = 400.5
ΣPmin = 3,490 MW
ΣGen Offer = 7,798 MW
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RTX HVDC Flow
Luz Vis
HVDC Flow = 275.10 MW
Gen Sched = 5,082.60 MWSystem Demand = 5,357.70 MW
Gen Sched = 1,238.5 MWSystem Demand = 963.4 MW
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Table 1.12 - Ex-post Price (EPP)Nodal Price / Locational Marginal Price (LMP)
Generator MTN:
Resources TLF EPP (Php/MWh)
Lnat_G01 1.0442 2,077.37
Vgeo_G01 1.0067 2,154.75
Lgeo_G01 0.9956 2,178.77
Lhydro_G01 1.0000 2,169.19
Vcoal_G01 0.9961 2,177.68
Lcoal_G01 1.0004 2,168.32
Ldiesel_G01 0.9778 2,218.44
Vdiesel_G01 0.9947 2,180.75
Load MTN:
Resources TLF EPP (Php/MWh)
LC01_L01 0.9782 2,217.53
LC02_L01 0.9826 2,207.60
LC03_L01 1.0074 2,153.25
VC01_L01 0.9753 2,224.12
VC02_L01 1.0005 2,168.10
VC03_L01 0.9837 2,205.13
VC04_L01 0.9569 2,266.89
VC05_L01 0.8753 2,478.22
λ= Php 2,169.19/MWhMarginal Plant:Lcoal_G01
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Table 1.13 - Ex-ante and Ex-post Prices and Schedules
(Generator MTN)Generator MTN:
Resources EAIQ (MW) EATQ (MW) EAQ (MWh) EAP (Php/MWh) EPP (Php/MWh) Lcoal_G01 1,084.95 1,273.00 1,178.97 2,168.32 2,168.32 Lgeo_G01 239.05 369.00 304.02 2,184.90 2,178.77 Lhydro_G01 794.48 684.60 739.54 2,171.10 2,169.19Lnat_G01 2,369.89 2,715.00 2,542.44 2,071.10 2,077.37 Vcoal_G01 349.35 622.00 485.67 2,175.93 2,177.68 Vgeo_G01 467.60 616.50 542.05 2,119.63 2,154.75 Ldiesel_G01 0 0 0 2,237.13 2,218.44 Vdiesel_G01 0 0 0 2,176.80 2,180.75
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Table 1.14 - Ex-ante and Ex-post Prices and Schedules
(Load MTN)Load MTN:
Resources EAIQ (MW) EATQ (MW) EAQ (MWh) EAP (Php/MWh) EPP (Php/MWh) LC01_L01 1,165.40 1,308.26 1,236.83 2,237.36 2,217.53 LC02_L01 1,862.80 2,403.48 2,133.14 2,226.35 2,207.60 LC03_L01 1,490.30 1,548.86 1,519.58 2,161.20 2,153.25 VC01_L01 82.80 101.00 91.90 2,188.87 2,224.12 VC02_L01 392.20 548.67 470.43 2,150.49 2,168.10 VC03_L01 120.80 151.27 136.04 2,235.06 2,205.13 VC04_L01 26.30 29.95 28.13 2,259.01 2,266.89 VC05_L01 70.90 84.40 77.65 2,553.38 2,478.22
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End of Presentation
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