Load Curtailing Strategies for Power Suppliers Based on Time Series Analysis

The main benefit of implementing interruptible load (IL) management for power suppliers is from the impacts of the level of demand for electricity on spot prices. In terms of conditional value at risk as the measuring index for market risk, a model of load curtailing strategies for power suppliers considering the co-utilization of the IL with low price (ILL) and the IL with high compensation price (ILH) is proposed. The model can be solved by a Monte Carlo simulation based genetic algorithm. The load curtailing strategies under different levels of demand for electricity are analyzed. The results show that the curtailing strategies for power suppliers are more progressive taking the impacts of IL on spot prices into account, and that the optimal curtailing strategy involving in curtailing the ILL up to the upper limit before curtailing any of the ILH. Due to the economic complementarity of ILL and ILH contracts, the co-utilization of both contracts will receive more benefits than of any single one.