Full Text Available
Note: Clicking the button above will open the full text document at the original institutional repository in a new window.
A Market approach to balance services pricing
Dissertation (MEng)--University of Pretoria, 2013.
Saved in:
| Other Authors: | |
|---|---|
| Format: | Thesis |
| Language: | English |
| Published: |
University of Pretoria
2014
|
| Subjects: | |
| Tags: |
No Tags, Be the first to tag this record!
|
| _version_ | 1867613662861066240 |
|---|---|
| access_status_str | Open Access |
| author2 | Naidoo, Robin |
| author_browse | Naidoo, Robin |
| author_facet | Naidoo, Robin |
| collection | Thesis |
| dc_rights_str_mv | © 2013 University of Pretoria. All rights reserved. The copyright in this work vests in the University of Pretoria. No part of this work may be reproduced or transmitted in any form or by any means, without the prior written permission of the University of Pretoria. |
| description | Dissertation (MEng)--University of Pretoria, 2013. |
| format | Thesis |
| id | oai:repository.up.ac.za:2263/33355 |
| institution | University of Pretoria (South Africa) |
| language | English |
| last_indexed | 2026-06-10T12:39:43.129Z |
| license_str | Other — see source repository |
| provenance_str_mv | Harvested via OAI-PMH from UPSpace — University of Pretoria Institutional Repository |
| publishDate | 2014 |
| publishDateRange | 2014 |
| publishDateSort | 2014 |
| publisher | University of Pretoria |
| publisherStr | University of Pretoria |
| record_format | dspace |
| source_str | UPSpace — University of Pretoria Institutional Repository |
| spelling | oai:repository.up.ac.za:2263/33355 A Market approach to balance services pricing Naidoo, Robin robin.naidoo@up.ac.za Bansal, Ramesh C. Naidoo, Robin Ancillary services Balancing services Reserves Energy Optimal power flow Co-optimization Simultaneous auction Lagrange multiplier UCTD Dissertation (MEng)--University of Pretoria, 2013. The co-optimization of energy and reserves has become a standard requirement in integrated markets. This is due to the inverse relationship that exists between energy and reserves. The provision of reserves generally reduces the amount of primary energy a generating unit can produce and vice versa. This suggests that these products should be procured through a simultaneous auction to ensure optimal procurement and pricing. Furthermore, forward markets dictate that this co-optimization of energy and reserves be done over a multi-period planning horizon. This dissertation addresses the problem of optimal scheduling and pricing of energy and reserves over a multi-period planning horizon using an optimal power flow formulation. The extension of the problem from a static optimization problem to a dynamic optimization problem is presented. Price definitions for energy and reserves in terms of shadow prices emanating from the optimization algorithm are provided. It is shown that the proposed formulation of prices leads to the cascading of reserve prices and eliminates the problem of “price reversal” where lower quality reserves are priced higher than higher ii quality reserves. Pricing conditions are also established for the downward substitution of higher quality reserves for lower quality reserves. The proposed pricing formulations are tested on the IEEE 24 Bus Reliability Test System and on the South African power network. The simulated results show that cascading of reserve prices does occur and that prices of different types of reserves are equal when downward substitution of reserves occurs. Zonal reserve requirements result in higher energy and reserve prices, which in term result in higher procurement costs to the system operator and higher profits to market participants. Congestion on the network also results in higher procurement costs to the system operator and higher profits to market participants in the case of zonal pricing of reserves. gm2014 Electrical, Electronic and Computer Engineering unrestricted 2014-02-11T05:13:00Z 2014-02-11T05:13:00Z 2013-09-04 2013 Dissertation Naidoo, R 2013, A Market approach to balance services pricing, MEng dissertation, University of Pretoria, Pretoria, viewed yymmdd <http://hdl.handle.net/2263/33355> E13/9/1036/gm http://hdl.handle.net/2263/33355 en © 2013 University of Pretoria. All rights reserved. The copyright in this work vests in the University of Pretoria. No part of this work may be reproduced or transmitted in any form or by any means, without the prior written permission of the University of Pretoria. application/pdf University of Pretoria |
| spellingShingle | Ancillary services Balancing services Reserves Energy Optimal power flow Co-optimization Simultaneous auction Lagrange multiplier UCTD A Market approach to balance services pricing |
| title | A Market approach to balance services pricing |
| title_full | A Market approach to balance services pricing |
| title_fullStr | A Market approach to balance services pricing |
| title_full_unstemmed | A Market approach to balance services pricing |
| title_short | A Market approach to balance services pricing |
| title_sort | market approach to balance services pricing |
| topic | Ancillary services Balancing services Reserves Energy Optimal power flow Co-optimization Simultaneous auction Lagrange multiplier UCTD |
| url | http://hdl.handle.net/2263/33355 |