Optimal model of hour-ahead power bidding in deregulation

Power auctions in deregulated electricity market are carried out amongst a number of Generating companies (Genco) in day-ahead or hour-ahead basis. In hour-ahead electricity market each supplier bids power for hour-ahead basis & the market is cleared for each hour separately. The benefit of each supplier is optimized at maximum level in each hour separately & that satisfies electricity price at minimum level. In these case studies, three categories of daily load curve are considered as low, medium & high peak demand situations. In each case, hourly bidding price of three bidders are discreetly considered as low, medium & high bidding level. The bidding is interconnected with generation scheduling with consideration of power balance constraint, power generation limit & fuel cost constraints etc. for thermal generating units. Economic generation scheduling of generating companies at different hourly bidding situations at specified daily load curve have been computed using Newton-Raphson method for standard IEEE 9 bus test system. For optimization of the power bidding problem, theory of dominance of Game Theory has been applied for searching the optimal parameters. Those are hourly scheduled load & profits for the individual bidders, transmission loss & market selling price at which market is cleared at each hour separately. All graphical representation describes variation of optimal power scheduling & benefit profile of three bidders in respect with hourly load demand variation along with hourly variation of market price & transmission loss profile.