Power portfolio optimization considering inter-regional power exchange and base load exchange

Abstract

The power exchange strategies are essential for a grid corporation, because they are related to the profit redistribution. In the power exchange strategies, the base load exchange and the inter-regional power exchange are the main parts. The base load exchange is a typical task for a power grid corporation. And the inter-regional power exchange plays a significant role in the exchange strategy in order to meet the requirements of the regional resources optimization. Although much research has been done on the base load exchange and the inter-regional power exchange, the exchange strategy optimization concerning both inter-regional power and base load exchange hasn't been taken into account. The concept of the portfolio is used to consider the distribution of these two exchanges for a grid corporation. The objective of this paper is to determine a comprehensive strategy for the inter-regional power exchange and the base load exchange based on the grid corporation requirements. The optimization strategy model includes a multi-objective function as well as special constraints which take into account both the inter-regional power and the base load exchange. This model has been tested on the IEEE Reliability Test System. The results show that the energy of the special units taking part in the inter-regional power exchange is modulated during the optimization according to the targets and this model could be used to provide an optimal exchange strategy for the decision-makers of a grid corporation.