Game Theoretical Approach to Novel Reactive Power Ancillary Service Market Mechanism
01 Mar 2021-IEEE Transactions on Power Systems (Institute of Electrical and Electronics Engineers (IEEE))-Vol. 36, Iss: 2, pp 1298-1308
TL;DR: In this paper, a market mechanism for real-time reactive power ancillary service market based on Stackelberg game model is proposed considering voltage-apparent power coupled subsystems.
Abstract: In deregulated power systems, reactive power ancillary service through electricity market is becoming relevant where private generation companies participate in maintaining system wide bus voltage within the permissible limits. Marginal cost price (MCP) based real time reactive power ancillary service market faces several challenges due to the localized nature of reactive power. In this paper, a market mechanism for real time reactive power ancillary service market based on Stackelberg game model is proposed considering voltage-apparent power coupled subsystems. In the proposed Stackelberg game model, Independent System Operator (ISO) is considered as the leader, and GENCOs as followers. In the formulation, each GENCO is associated with a relevance factor in the partitioned subsystem so as to consider the real time voltage support requirement in the system. The market is then formulated as Mathematical Program with Equilibrium Constraints problem (MPEC). Existence of equilibrium, incentive compatibility, and individual rationality of the proposed market mechanism is then analysed in this work. The numerical examples are illustrated in PJM 5-bus system, and tested on IEEE 30- bus system, and Nordic 32 Bus-system. The mechanism induces truth-telling behavior of GENCOs, yields a non-negative profit, and the system wide bus voltage is improved.
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TL;DR: In this article , the authors provide a comprehensive overview of the characteristics and hardships of reactive power markets, focusing on market power, game theoretical approaches, Reinforcement Learning, and manipulation.
Abstract: Liberalization of the energy system sets the way towards market-based solutions for ancillary service provision. Local reactive power markets are envisioned to achieve more economically and technically efficient reactive power provision to solve voltage control problems in future distribution and transmission grids. However, market-based reactive power procurement is a difficult and yet unsolved problem. This survey provides a comprehensive overview of the characteristics and hardships of reactive power markets. That is followed by a literature overview of reactive power market design, including local markets and markets on system operator level. Further, methods how to analyse reactive power markets are discussed, focusing on market power, game theoretical approaches, Reinforcement Learning, and manipulation of reactive power markets. From this overview, trends and current research gaps are derived and some general research recommendations are given to serve as a guideline for future research in the field of reactive power markets.
20 citations
TL;DR: In this article, a thorough review of the electricity markets worldwide with solar energy is provided, and a variety of proposed mathematical solutions to the problem are also discussed, with the focus on the uncertainty-based market operations.
Abstract: With the accelerating penetration of solar energy in energy systems, market operations concerning the solar-associated intermittency are widely discussed. How to correctly model the solar generation in the market and solve the uncertainty-based operation problems call for solutions. Unlike other renewable resources, solar power can be more easily applied to the demand side through behind-the-meter installations in a distributed manner with significant future extensibility. The corresponding operational rules in the markets are largely being revised. Over the past two decades, with the development of deregulated power markets, numerous studies related to uncertainty-based market operations tend to transform the market from a deterministic and centralized framework to a stochastic and decentralized one. As the relevant literature is most recent, this paper reviews their contributions to electricity market operations with solar integration and underlines the research directions of this topic and ongoing industry practices. A thorough review of the electricity markets worldwide with solar energy is provided. A variety of proposed mathematical solutions to the problem are also discussed.
18 citations
TL;DR: In this paper , the impacts and challenges of electricity market on hydro-dominated power system operations are analyzed, and two kinds of suggestions are presented to overcome these difficulties for different market objects: hydropower enterprises are suggested to improve generation prediction level, reconstruct market-based operation rules, implement multiscale nested operations and bidding, strengthen collaborative bidding of different stakeholders, and analyze market demands and competitors.
16 citations
TL;DR: The proposed methodology has been tested on modified IEEE 30-bus and IEEE 118-bus test systems and the performance of both test systems is analyzed for two studies namely, VAr dispatch without wind integration, and V Ar dispatch under wind integration.
9 citations
TL;DR: A novel, low-cost, efficient, and user-friendly smart PQ meter that implements a novel PQ-based tariff scheme that penalizes consumers violating the PQ limits and provides incentives for a good PQ profile is presented.
Abstract: Regarding the modern power smart grid, distribution consumers and prosumers are highly concerned about power quality (PQ). In fact, they would prefer to pay higher prices for a reliable and good quality power supply. Unfortunately, utility operators still aim for reliability alone, ignoring the quality of supply voltage and current. There are no clear guidelines for monitoring, penalizing, or implementing PQ-based tariff schemes in LV distribution systems. In addition, the implementation of a PQ-based tariff requires a real-time measuring mechanism at the user end, which is very expensive and difficult to understand for a domestic consumer. This paper presents a novel, low-cost, efficient, and user-friendly smart PQ meter to overcome these issues and limitations. It is essentially a PQ analyzer with energy metering functionality, which implements a novel PQ-based tariff scheme that penalizes consumers violating the PQ limits and provides incentives for a good PQ profile. It measures as many as 28 parameters and keeps track of the PQ for both the consumer and the grid in real-time. This paper demonstrates the specifications, design, and testing of the meter and proves the validity of the concept by practical implementation. The meter is practical, feasible, and economical for implementing PQ-based tariff schemes in LV distribution systems or smart grids.
7 citations
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05 Dec 2005
TL;DR: A review of some important issues of reactive power support, including cost analysis, reactive power pricing, valuation, is presented and an optimal power flow (OPF) is used based on real time pricing theory.
Abstract: Reactive power support and voltage control is a key type of ancillary services in the deregulated electrical power market. A review of some important issues of reactive power support, including cost analysis, reactive power pricing, valuation, is presented in this paper. An optimal power flow (OPF) is used based on real time pricing theory. Two object functions are modeled respectively: minimization of network loss and minimization of total cost to supply reactive power. A real-valued genetic algorithm (GA) is also used to help searching the global optimum and verify the solutions. An IEEE 30-bus system is used for the studies
9 citations