A Framework for Congestion Management and Clearing of Energy and Reserve in Multiple Markets
Subject Areas : electrical and computer engineering
A.
Karimi Varkani
1
H.
Seifi
2
(Tarbiat Modares University)
Mohammad Kazem
Sheikh El Eslami
3
(Tarbiat Modares University)
Keywords: Multiple electricity markets energy market reserve market market coupling congestion management,
Abstract :
Energy exchange among the electricity markets is a new issue in modern power systems. This issue, especially in Europe, has been identified as a market coupling. In this paper, a framework for congestion management and clearing of multiple electricity markets, in which the market participants can place their bids simultaneously in different markets across an interconnection, is proposed. In this framework, the markets dispatch the energy and the reserve, independently. A central coordinator entity, then, runs the allocation of transmission capacity among the electricity markets. Three methods for simultaneous clearing of the energy and reserve are also proposed. The possibility of implementation of the proposed methods in multiple markets is discussed. The numerical results for three-area 15-bus and IEEE RTS-96 test systems in a triple-market case are presented, to demonstrate the effectiveness of the proposed approach as compared with the other approaches.
[1] North American Electric Reliability Council, Available Transfer Capability Definitions and Determination, NERC Report, Jun. 1996.
[2] G. Oggioni and Y. Smeers, "Market failures of market coupling and counter - trading in Europe: an illustrative model based discussion," Energy Economics, vol. 35, pp. 74-87, Jan. 2013.
[3] A. Creti, E. Fumagalli, and E. Fumagalli, "Integration of electricity markets in Europe: relevant issues for Italy," Energy Policy, vol. 38, no. 11, pp. 6966-6976, Nov. 2010.
[4] European Market Coupling Company, Available online at http://www.marketcoupling.com/
[5] C. Yingvivatanapong, W. J. Lee, and E. Liu, "Multi - area power generation dispatch in competitive markets," IEEE Trans. on Power Systems, vol. 23, no. 1, pp. 196-203, Aug. 2008.
[6] S. Chitra Selvi et al., "Multi - area unit commitment with bilateral contract approach in deregulated electricity market," J. of Electrical Engineering & Technology, vol. 4, no. 3, pp. 346-352, 2009.
[7] C. Christober Asir Rajan1, P. Sundarajan, V. Jamuna, R. Madhusubash, and B. Udayakumar, "Multi - area unit commitment in deregulated electricity market using DP approach," Int. J. of Recent Trends in Engineering and Technology, vol. 3, no. 3, pp. 210-213, May 2010.
[8] J. A. Aguado and V. H. Quintana, "Inter - utilities power - exchange coordination: a market - oriented approach," IEEE Trans. on Power Systems, vol. 16, no. 3, pp. 513-519, Aug. 2001.
[9] X. Ma, D. Sun, and K. Cheung, "Energy and reserve dispatch in a multi - zone electricity market," IEEE Trans. on Power Systems, vol. 14, no. 3, pp. 913-919, Aug. 1999.
[10] C. L. Chen, "Optimal generation and reserve dispatch in a multi - area competitive market using a hybrid direct search method," Energy Conversion and Management, vol. 46, no. 18-19, pp. 2856-2872, 2005.
[11] T. Zheng and E. Litvinov, "Contingency-based zonal reserve modeling and pricing in a co-optimized energy and reserve market," IEEE Trans. on Power Systems, vol. 23, no. 2, pp. 277-286, Aug. 2008.
[12] A. Saraswat, A. Saini, and A. K. Saxena, "A novel multi-zone reactive power market settlement model: a pareto-optimization approach," Energy, vol. 51, pp. 85-100, Mar. 2013.
[13] A. G. Vlachos and P. N. Biskas, "Balancing supply and demand under mixed pricing rules in multi - area electricity markets," IEEE Trans. on Power Systems, vol. 26, no. 3, pp. 1444-1453, Jul. 2011.
[14] A. G. Vlachos and P. N. Biskas, "Simultaneous clearing of energy and reserves in multi-area markets under mixed pricing rules," IEEE Trans. on Power Systems, vol. 26, no. 4, pp. 2460-2471, Nov. 2011.
[15] M. Johann Kurzidem, Analysis of Flow-Based Market Coupling in Oligopolistic Power Markets, Dissertation in ETH Zurich, 2010.
[16] T. Kristiansen, "A preliminary assessment of the market coupling arrangement on the Kontek cable," Energy Policy, vol. 35, no. 6, pp. 3247-3255, 2007.
[17] T. Kristiansen, "An assessment of the Danish-German cross-border auctions," Energy Policy, vol. 35, no. 6, pp. 3269-3382, 2007.
[18] L. Meeus, "Implicit auctioning on the Kontek cable: 3rd time lucky?" Energy Economics, vol. 33, no. 3, pp. 413-418, 2011.
[19] L. Meeus, L. Vandezande, S. Cole, and R. Belmans, "Market coupling and the importance of price coordination between power exchanges," Energy, vol. 34, no. 3, pp. 228-234, Mar. 2009.
[20] G. Oggioni and Y. Smeers, "Market coupling and the organization of counter-trading: separating energy and transmission again?" Presented at the 17th Power Systems Computation Conf., 7 pp., 2010.
[21] G. Oggioni and Y. Smeers, "Degree of coordination in market- coupling and counter-trading," Presented at Sixth Conf. on the Economics of Energy Markets, Toulouse, France, 28–29 Jan. 2010.
[22] A. Marinakis, W. D. Rosehart, and T. V. Cutsem, "A framework for the simultaneous clearing of multiple markets within a common transmission system," in Proc. of IEEE Bucharest Power Tech. Conf., 8 pp., Bucharest, Romania, 28 Jun.-2 Jul. 2009.
[23] A. Marinakis, A. G. Bakirtzis, and T. V. Cutsem, "Energy and transmission allocation in the presence of overlapping electricity markets," IEEE Trans. on Power Systems, vol. 25, no. 3, pp. 1402- 1414, Aug. 2010.
[24] S. Visalakshi and S. Baskar, "Covariance matrix adapted evolution strategy - based decentralised congestion management for multilateral transactions," IET Generation, Transmission, & Distribution, vol. 4, no. 3, pp. 400-417, Aug. 2010.
[25] C. Batlle and R. Gomez - Elvira, "Forward cross - border transmission capacity allocation: physical versus financial transmission rights," MIT CEEPR Working Paper, May 2011.
[26] Available online at www.arabfund.org
[27] Available online at www.centrel.org
[28] Report Prepared by the Reliability Test System Task Force of the Application of Probability Methods Subcommittee, "The IEEE reliability test system - 1996," IEEE Trans. on Power Systems, vol. 14, no. 3, pp. 1010-1020, Aug. 1999.