Title :
Economic analysis of reliability differentiated service [for electricity consumers]
Author :
Rau, Narayan S. ; Hegazy, Youssef A.
Author_Institution :
Nat. Regulatory Res. Inst., Ohio State Univ., Columbus, OH, USA
fDate :
5/1/1991 12:00:00 AM
Abstract :
Welfare gains and reserve reduction for giving electricity customers the choice of reliability of service are analyzed. The problem of specifying reliability indices to give proper signals to the consumer is outlined. The welfare maximization formulation of Ramsey has been extended to include reliability constraints. The results show uncertain benefits from reliability-based pricing. There appears to be no economic compulsion to warrant such pricing schemes
Keywords :
economics; electricity supply industry; power supplies to apparatus; reliability; tariffs; constraints; customers; economics; electricity supply industry; pricing; reliability differentiated service; reserve; tariffs; welfare; Costs; Energy consumption; Power engineering and energy; Power generation economics; Power system analysis computing; Power system economics; Pricing; Probability distribution; Samarium; Voltage;
Journal_Title :
Power Systems, IEEE Transactions on
