Allocating production cost at CHP plant to heat and power using cooperative game theory

This paper is dedicated to the task of cost determination for heat and power energy production for small size cogeneration plants. Cogeneration of heat and power is only possible if there is a demand for both types of energy. The consumers of both heat and power are considered as members of the coalition having a goal to gain additional revenues due to reduced investments and increased efficiency of power production. The suggested approach uses the cooperative game theory for distribution of the additional revenues between the members of the coalition. The examples from energy tariffs determination in the market environment show the rationality and efficiency of using the considered approach.