Penalty Factor Calculations Incorporating Interchange Constraints

The Jacobian based method for penalty factor calculations has been proposed for real-time applications. The method appears to be superior to the classical B-coefficient technique for its speed and accuracy. However, unlike the B-coefficient method it has not been extended for use in multi-area dispatch problems. The existing formulations and test results are based on the overall system behavior rather than a single area. Results indicate significant deviations under actual conditions where area interchange is maintained constant during real-time dispatch. The paper presents a Jacobian based algorithm to calculate penalty factors for an area in a multi-area environment. The method includes calculation of the penalty factor at the interchange boundary of an area.