Chronological probabilistic production costing and wheeling calculations with transmission network modeling

The authors present an approach for the integrated analysis of generation and transmission system in terms of production costing and wheeling rate calculations. The methodology is based on the chronological simulation of system operation. Economic dispatch at each state is provided by linearized optimal power flow routines, which can represent network aspects and export/import contracts among utilities. Probabilistic aspects are represented by Monte Carlo sampling of generation capacities, load levels, etc. Marginal costs are calculated at bus level and serve as a basis for the evaluation of wheeling rates. This makes it possible to model complex utility situations for use in power system planning and operations, determination of interchange contracts, and regulatory applications