Reserve Cost Allocation Based on the Cooperative Game Theory

Reserve cost allocation in a system is the most important tasks of system operator for safe and ensure operation of power systems. The spinning reserve is the unused capacity which can be activated on decision of the system operator and which is provided by devices which are synchronized to the network and able to affect the active power. In this paper we represented a method based on cooperative game theory to allocate the reserve cost in deregulated systems with the goal of maximizing public benefits by modeling the consumers. Objective function associated with this method, is minimizing total cost of production and expected cost of outage to consumers. Simplicity of this algorithm is the superiority of this method over other stochastic methods. Finally this algorithm was applied to 24 bus IEEE network and the result was compared with different criteria and has observed that this algorithm can easily prevent the payment of additional costs.