IMPACT OF UNSCHEDULED INTERCHANGE PRICING IN COMPETITIVE ELECTRICITY MARKET

This paper proposes an approach for analysis and determination of unscheduled interchange based on Frequency Based Tariff for competitive electricity market. In this paper, combined model consisting of the pool, bilateral and multilateral transaction of deregulated power sector has been considered [11]. In competitive electricity market, power schedule is decided 24 hours ahead of real market but it has been observed that some of the market participants are diverted from their commitments regarding either supply of scheduled generation or withdrawal of scheduled load from the pool. Due to these reasons, the power system deviates from the optimized solutions. So there is an urgent need for determination of unscheduled interchange revenue paid by such defaulter market participants. In this paper, frequency based technique has been applied for determination of unscheduled interchange revenue paid by such defaulter market participants. The frequency based technique has been applied to double auction modified IEEE-30 bus test system. The whole transmission system has been divided into three sections; prevailing frequency in these regions can be assumed due to unscheduled interchange occurring in the system. In this paper, Frequency based tariff has been proposed for implementation to generalized deregulated model consisting of the pool, bilateral and multilateral transaction