Assessment of the Norwegian Transmission Pricing Rules by Using a Modified AC-OPF
AbstractThis paper focuses on the combined effects of loss factors and zonal pricing in a system that takes as a starting point the procedures of transmission pricing in the Norwegian power system. It interprets the notion of loss factors in an AC power flow model, and develops a method for finding zonal prices consistent with a restricted AC optimal power flow. The effects of decomposing the nodal prices to find a loss factor to cover the marginal cost of losses, and letting the congestion management be resolved by zonal prices based on a DC approximation of the flows, are evaluated by comparing the resulting net prices to those of an optimal AC power flow (ACOPF).
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Bibliographic InfoPaper provided by Department of Business and Management Science, Norwegian School of Economics in its series Discussion Papers with number 2004/8.
Length: 8 pages
Date of creation: 01 Jun 2004
Date of revision:
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Postal: NHH, Department of Business and Management Science, Helleveien 30, N-5045 Bergen, Norway
Phone: +47 55 95 92 93
Fax: +47 55 95 96 50
Web page: http://www.nhh.no/en/research-faculty/department-of-business-and-management-science.aspx
More information through EDIRC
Congestion management; deregulated electricity markets; optimal power flow; loss factors; nodal pricing; Nord Pool; Norwegian power market; pool model; transmission pricing; zonal pricing;
Find related papers by JEL classification:
- L94 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Electric Utilities
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Herguera, Inigo, 2000. "Bilateral contracts and the spot market for electricity: some observations on the British and the NordPool experiences," Utilities Policy, Elsevier, vol. 9(2), pages 73-80, June.
- M. BjÃ¸rndal & K. JÃ¸rnsten & V. Pignon, 2003. "Congestion management in the Nordic power market - counter purchases and zonal pricing," Competition and Regulation in Network Industries, Intersentia, vol. 4(3), pages 271-293, September.
- Woo, Chi-Keung & Lloyd, Debra & Tishler, Asher, 2003. "Electricity market reform failures: UK, Norway, Alberta and California," Energy Policy, Elsevier, vol. 31(11), pages 1103-1115, September.
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