Price Spikes Reduction with EDRP Program

Authors

1 Department of Electrical Engineering, Science and Research Branch, Islamic Azad University, Ilam, Iran

2 Department of Electrical Engineering, Science and Research Branch, Islamic Azad University, Ilam, Iran.

Abstract

With the development of deregulated power systems and increase of prices in some hours of day and increase fuel price, demand response programs were noticed more by customers. demand response consists of a series of activities that governments or utilities design to change the amount or time of electric energy consumption, to achieve better social welfare or some times for maximizing the benefits of utilities or consumers. In this paper we try to evaluate the effect of DR programs especially EDRP on Nodal Marginal Pricing spikes reduction of Restructured Power Systems while occurs events.
In order to reach to this target, EDRP program (Emergency Demand Response Program), as common demand response program, is considered. Effects of EDRP program on Nodal Marginal Pricing spikes and operation cost reduction of Restructured Power Systems are investigated using EDRP and economic load model, AC-OPF Formulation and nodal marginal price evaluation techniques.
The IEEE 9 bus Test System is used to implement comparisons of impacts with and without EDRP activity on nodal marginal pricing spikes and operation cost reduction.
According to obtained results, EDRP using lead to volatility decrease in local marginal price (LMP). It can be said that solving problems such as congestion in transmission lines, power system reliability decrease and volatility decrease in local marginal price at load network peak hours, is impossible without customer interfering in power market. In other hand Consumer participation, makes the power markets more competition and enhance its performance.

Keywords


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