A novel OPF-based security pricing method with considering effects of transient stability and static voltage stability

This paper extends the basic theory of spot price to incorporate power system security issues and presents a price decomposition method based on optimal power flow (OPF), which can supply security prices corresponding to different security constraints. Transient stability and static voltage stability restrictions respectively expressed as practical dynamic security region (PDSR) and static voltage stability region (SVSR) are considered as constraints in OPF model which takes tree branch angles as optimal variables instead of power injections used in the traditional OPF. According to optimality conditions of OPF and Moore-Penrose generalized inverse matrix, the security prices are determined by spot price decomposition, which can stimulate all of the participants to take an active part in maintaining the system security. A case study on the New England 10-genetator 39-bus System is presented to demonstrate the proposed method.