Optimal CRM of Tie Lines between Control Areas in a Deregulated Environment

In order to keep power supply reliability at a certain level, electric power utilities have a certain amout of reserve capacity. When no generator outage or no unexpected large power demand occurs, however, the reserve capacity is regarded as surplus facility. To reduce the reserve capacity, some margin is reserved in tie lines between utilities. This margin is called the capacity benefit margin (CBM). In this study, a method of calculating optimal CBM in tie line under deregulated environment is described and two kinds of optimal CBM are proposed. As a result, it is shown how the deregulation affects the optimal CBM by using numerical simulation for the IEE Japan West 30 test system. (c) 2009 Wiley Periodicals, Inc. Electr Eng Jpn, 167(1): 35-48, 2009; Published online in Wiley InterScience (www.interscience.wiley.com). DOI 10.1002/eej.20654