A General Framework for the Remuneration of Costs and Benefits of Distributed Generation

This paper presents a general framework to remunerate the benefits and costs introduced by distributed generation (DG) by means of generation use of the system (GUoS) tariffs in order to send locational-based and time-based price signals to the market agents. The proposal has two scopes: in the short term, the economical impact of DG on the power loss cost is assessed using an AC fuzzy power flow tool; and in the long term, the economic impact of DG on the investment costs of the network is evaluated in the scope of the optimal distribution network planning including fuzzy risk indexes associated to the intermittency of DG resources by means of a multiple objective linear programming model (MOLP). The models developed were applied and results discussed from a large-scale distribution network