Pricing Distributed Generations based on Reliability Enhancement employing game theory

In this paper, a game theory-based method is utilized to reward DGs in the distribution network. The pricing mechanism pays the DGs according to their contribution to reliability enhancement of the network. The remuneration is done in a way that shares the benefits brought by DGs in the distribution network. The proposed method eliminates the flaws of the previous works such as zero allocation to some specific DG capacities. By using game theory, reliability price for each DG is achieved.