RESEARCH ARTICLE

An approach to locational marginal price based zonal congestion management in deregulated electricity market

  • Md SARWAR ,
  • Anwar Shahzad SIDDIQUI
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  • Department of Electrical Engineering, Jamia Millia Islamia (A Central University), New Delhi 110025, India

Received date: 14 Aug 2015

Accepted date: 08 Nov 2015

Published date: 27 May 2016

Copyright

2016 Higher Education Press and Springer-Verlag Berlin Heidelberg

Abstract

Congestion of transmission line is a vital issue and its management pose a technical challenge in power system deregulation. Congestion occurs in deregulated electricity market when transmission capacity is not sufficient to simultaneously accommodate all constraints of power transmission through a line. Therefore, to manage congestion, a locational marginal price (LMP) based zonal congestion management approach in a deregulated electricity market has been proposed in this paper. As LMP is an economic indicator and its difference between two buses across a transmission line provides the measure of the degree of congestion, therefore, it is efficiently and reliably used in deregulated electricity market for congestion management. This paper utilizes the difference of LMP across a transmission line to categorize various congestion zones in the system. After the identification of congestion zones, distributed generation is optimally placed in most congestion sensitive zones using LMP difference in order to manage congestion. The performance of the proposed methodology has been tested on the IEEE 14-bus system and IEEE 57-bus system.

Cite this article

Md SARWAR , Anwar Shahzad SIDDIQUI . An approach to locational marginal price based zonal congestion management in deregulated electricity market[J]. Frontiers in Energy, 2016 , 10(2) : 240 -248 . DOI: 10.1007/s11708-016-0404-z

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