Pricing for transient stability

Although electric power market has been studied for more than two decades now, transient stability, which is often a critical determinant of active power allocation is many systems, has rarely been discussed in the pricing literature. This paper presents the development of a stability constrained optimal power flow (SCOPF) based transient stability pricing method. For the first time, this paper introduces an index, which is the limit of stability constraints in SCOPF problems, for transient stability pricing. Experiments conducted for two IEEJ model systems, a 10-generator system and a 30-generator system, reveal some interesting impacts of the transient stability constraint on real power prices.