Discrete optimization and the planning of electric power networks

Power system transmission planning is expressed as a large finite Markovian sequential process over time involving 1) a known planning horizon divided into finite number of stages; 2) a large number of alternative additions (type, size, and place of new facilities) at each stage; 3) analysis and criteria for evaluating network acceptance (performance, reliability, security, cost, etc.) for each alternative at each stage; 4) a searching method to find the optimum plan. Forward dynamic programming is used to maximize the utility of the transmission network over the period of the planning horizon ensuing adequate service, and the results show the effects of economy of scale as the planning horizon is increased. However, dynamic programming is limited by the number of alternatives considered at each stage. Thus a new method, discrete dynamic optimizing (DDO), is also introduced.