Optimal Distribution Service Pricing for Investment Planning (original) (raw)
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A generation expansion planning strategy for distribution systems is proposed in this paper to derive the optimal generation mix considering decentralized storage units, variable generation units, dispatchable generation units and demand response. To better exploit the economic value of these investments, participation in reserve and energy markets is considered. As the investment and market bidding decisions are made sequentially, a multi-stage stochastic programming model is formulated to minimize the sum of long-term investment costs and short-term costs, which include fixed operation costs, variable operation and maintenance costs, emission costs, discomfort costs minus the market participation revenue. A case study based on modified Swiss data demonstrates the effectiveness of the proposed model, analyzes the impact of demand response and forecast errors and shows the importance of market participation.
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This paper presents a dynamic multi-objective model for distribution network expansion, considering the distributed generations as non-wire solutions. The proposed model simultaneously optimizes two objectives namely, total costs and technical constraint satisfaction by finding the optimal schemes of sizing, placement and specially the dynamics (i.e., timing) of investments on DG units and/or network reinforcements over the planning period. An efficient heuristic search method is proposed to find non-dominated solutions of the formulated problem and a fuzzy satisfying method is used to choose the final solution. The effectiveness of the proposed model and search method are assessed and demonstrated by various studies on an actual distribution network. d Discount rate τ dl Duration of demand level dl IC dg Investment cost of a DG unit C Investment cost of feeder C tr Investment cost of transformer in substation d Length of feeder in km P dg lim Maximum operating limit of a DG unit ς max Maximum mutation probability ς m Mutation probability in m th cloning process. N b Number of buses in the network N p Number of population N Number of feeders in the network N O Number of objective functions N dl Number of considered demand levels OC dg Operation cost of a DG unit T Planning horizon
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The opportunities deriving from the innovative operation of the distribution systems have been underlined in the Literature and might be useful to accomplish economic, environmental and reliability targets by overcoming the existing barriers to innovation and liberalized market. However, despite such widely accepted conclusions, there is still the lack of methods and tools to help Distribution System Operators (DSO) guide the transition from present distribution systems to the future ones. Furthermore, DSO are well conscious that the transition will necessarily be a step-by-step procedure lasting for several years and claiming for a careful optimization of investments. The paper aims at addressing such crucial questions by using a network planning methodology based on the principle of dynamic programming. In particular, the optimal multi-year development plan of active distribution networks is found by solving a suited set of one-stage problems. Such methodology can be applied under...
IOP Conference Series: Materials Science and Engineering
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