Managing Transmission Risk Through Financial Transmission Right in a Congested Power Market
摘要
The concept of locational marginal price is used to optimally price a congested network in a deregulated power system. The congestion isolates the power market mechanism and debilitates the competitive market by invalidating the more efficient and less priced generator sources in market competition. In the restructured power system, the players of the markets are offered financial transmission rights, which are contracts for difference to avert the risk associated with fluctuations in nodal pricing due to congestion, where the network configuration does not affect the trading of electrical energy. In this paper, the balancing of the amount of number of Financial Transmission Rights with the congestion surplus amount is revealed through a small three-bus system through optimal power flow calculation through DC load flow analysis.