A power system assessment tool for the deregulated electricity market

A software program was developed by Hydro One (formally Ontario Hydro) primary for reliability and production costing assessment of bulk power systems. The program simulates the operation of the power system during a specific period of time (hour, week, month, etc.) taking into account the random failures of generators and circuits, economic dispatch, fixed power injections, load profile during the study period and limits imposed on the transmission network due to thermal, voltage and stability considerations. The software has been used in various planning and operational studies at Hydro One and recently in transfer capability and congestion studies related to the deregulated electricity market. This paper gives an overview of the program and illustrates how it can be used as a market simulator in the new environment. Two applications of the program are presented: one dealing with the assessment of available transfer capability and the other with the assessment of congestion cost and locational marginal pricing.