The research of the reference node in the calculation of network loss modification

It is a practical method currently to do network loss modification by incremental transmission losses because its clear physical concept and simple calculation process and consistent accuracy. But the coefficient of network loss modification will be different if the reference node is selected differently when using different or the same method to calculate incremental transmission losses. This paper makes detail calculation and analysis by using examples to get some conclusions about the reference of the selection of the reference node on the network loss modification and the result of generation biding. The paper also elucidates the physical significance of incremental transmission losses and the reference node by using the algorithm for computing incremental transmission losses based upon the method of DC power flow to calculate the examples.