Closure of “a unified analysis of security-constrained OPF formulations considering uncertainty, risk, and controllability in single and multi-area systems”

This note is a response to the discussion on the session “Managing uncertainty in power systems” by O. Alizadeh Mousavi and R. Cherkaoui [1] from the IREP Symposium 2013. The authors discuss many important points regarding management of uncertainty in power systems. A key issue they mention is how one can account for low probability events with severe consequences in optimization algorithms, and how one can evaluate the performance of algorithms against these events, for example, cascading outages. We would like to address three key points from their discussion: 1) the concept of risk; 2) the definition of robustness and resilience, and 3) proper evaluation of risk.