Thesis

Allocation of wheeling charges and congestion management for cross-border training

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Awarding institution
  • University of Strathclyde
Date of award
  • 2012
Thesis identifier
  • T13143
Qualification Level
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Department, School or Faculty
Abstract
  • The traditional electricity market provides a vertical monopolistic structure in a certain area which owns and operates generation, transmission and power supply. In the early 90"s the deregulation of the power supply market in UK took place. This process has now been repeated in many countries around the world. Although different approaches are adopted during the deregulation process, a similar vein can be found in those markets: all of those vertical monopolistic markets have generally been separated into four parts: generation, transmission, distribution and supply. Nowadays competitive markets have been set up in generation and supply sectors but due to the unique characteristic of transmission network, whose investment needs huge cost and high risk, the transmission sector is to remain in the mode the natural monopoly. Consequently each country or each area only has one transmission company to operate the transmission services. As the deregulated generation and supply markets are free open access, markets participants not only can trade electrical energy within their local supply areas but they also can trade power between different areas for more benefits. This type of transaction is not restricted to power companies in one country and can well be between a power company in one country with another power company in another country which may not be of immediate neighbour. As a result, these transactions are transported in more than one transmission network. Because this situation rarely exists in traditional markets, transmission owners have not yet come to a common consensus on an acceptable charging tariff to collect transmission fees. Currently several wheeling charging methods for cross-border trading are proposed to resolve this problem but their performances cannot completely fulfil the basic requirement of transparency and fair expectation. This thesis introduces a method to address the allocation problem of wheeling charges in cross-border trading. This proposed method calculates short-term and long-term wheeling charges respectively and allocates wheeling charges by referring to the location of each transmission line. More importantly, this method is able to provide a transparent and fair allocation result to market participants. The proposed method is illustrated in a 7 bus system and the IEEE 118 bus system. In the case study of the IEEE 118 bus system, three scenarios are set up to test the performance of allocating wheeling charges between two areas and three areas respectively. This thesis has also discussed new challenges of congestion management due to cross-border trading. In addition, an approach of congestion management for the proposed charging method is introduced.
Resource Type
Note
  • Strathclyde theses - ask staff. Thesis no. : T13143
DOI
Date Created
  • 2012
Former identifier
  • 946795

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