AREA UNIT COMMITMENT IN DEREGULATED ELECTRICITY MARKET K.Venkatean1 and

This paper presents a new improved bilateral contract approach to solve multi-area unit commitment problem (MAUC) in deregulated electricity market. The objective of this paper proposes an improved bilateral contract approach, which includes call and put options, forward contracts, and reliability must-run contract into multi-area unit commitment in deregulated environment. Evolutionary Programming-Sequential Combination (EP-SC) method is used to solve Multi-Area Unit Commitment Problem (MAUCP) subjected to variety of constraints and Lamda iteration method is used to solve Multi-Area Economic Dispatch Problem (MAEDP). In this, the objective of MAUCP is to determine the optimal generation scheduling of generating companies which are connected by tie-lines and MAEDP is to find optimal power exchange between areas as to minimize the total production cost. The tie-line transfer limits were considered as a set of constraints during optimization process to ensure system security and reliability. The overall algorithm can be implemented on an IBM PC, which can process a fairly large system in a reasonable period of time. Case study of four areas with different load pattern each containing 26 units connected via tie-lines has been taken for analysis. Experimental results shows that the application of this proposed method have potential to solve MAUC problem in deregulated electricity market with lesser computation time, reliable and computationally efficient