DocumentCode :
2411647
Title :
Congestion management techniques in the UK and US - Approaches and Results
Author :
Paravalos, M.E. ; Brackley, M. ; Hathaway, G.
Author_Institution :
Nat. Grid USA, MA
fYear :
2005
fDate :
7-7 Oct. 2005
Firstpage :
182
Lastpage :
189
Abstract :
Against the background of differing regulatory environments, market arrangements, and commercial incentives, this paper describes and contrasts the different approaches to congestion management adopted in the United States and England & Wales. In England & Wales, the regulatory framework allows for the successful management of system congestion by a single for-profit system operator and transmission owner (TSO) in a fully liberalized market environment. The paper describes how the introduction of commercial incentives on the TSO has driven the development of innovative solutions to congestion management issues. The authors go on to show how new tools and techniques that have been developed have delivered significant reductions in congestion costs, with the resulting savings shared between the TSO and consumers. In contrast, the United States has adopted varying regional approaches to congestion management, with several regions framed within a locational marginal pricing (LMP) market. The paper describes how the separation of system operation from transmission ownership functions, through the establishment of independent system operators (ISO) and regional transmission organizations (RTO), has important effects on the methods and results of congestion management. The paper concludes by questioning whether the current model that has been adopted in much of the US is able to deliver optimised congestion management solutions, and the option of moving to a consolidated "for-profit" fully incentivized model that combines transmission ownership and operation is proposed
Keywords :
cost reduction; power markets; power system management; power transmission economics; pricing; profitability; England; UK; US; United States; Wales; commercial incentives; congestion costs reduction; congestion management; congestion management techniques; for-profit system; independent system operators; liberalized market; locational marginal pricing market; market arrangements; regional transmission organizations; regulatory environments; transmission ownership functions; Costs; Electricity supply industry; Environmental management; ISO; Innovation management; Power generation; Power markets; Power system reliability; Pricing; Voltage;
fLanguage :
English
Publisher :
ieee
Conference_Titel :
CIGRE/IEEE PES, 2005. International Symposium
Conference_Location :
New Orleans, LA
Print_ISBN :
0-7803-9191-8
Type :
conf
DOI :
10.1109/CIGRE.2005.1532741
Filename :
1532741
Link To Document :
بازگشت