Co-ordination of fuel cost and transmission loss

A NUMBER OF METHODS have been described for developing a set of loss constants for a power system network with which the total or incremental losses can be calculated by matrix multiplications. These values then may be applied to the dispatching of power systems through comparisons of incremental fuel costs and incremental transmission losses. A new approach determines the per unit incremental loss incurred by increasing the generation at one plant by a small amount and reducing the generation at another plant by the amount required to maintain constant loads. This per unit incremental loss then is compared with the ratio of the incremental fuel costs of the two plants, complete co-ordination being provided by the economic balancing of pairs of plants. The two basic assumptions are in harmony with practicable power system operation.