NDLI: Allocating the cost of demand response compensation in wholesale energy markets

Content Provider	IEEE Xplore Digital Library
Author	Negash, A. Haring, T. Kirschen, D.
Copyright Year	2015
Description	Author affiliation: Electr. Eng., Univ. of Washington, Seattle, WA, USA (Negash, A.; Kirschen, D.)
Abstract	Summary form only given. Paying for load reductions results in a market, where the amount of resources sold is less than the amount of resources bought. To resolve this imbalance, ISOs must allocate the cost of compensating demand response to those who benefit from reduced LMPs. Current cost allocation methods are based on each energy buyer's load share. In an uncongested network, this results in a “fair” allocation of costs, i.e. allocation proportional to the benefits each party accrues. However, in a congested network, this is no longer the case, as price separation occurs between nodes. In this paper, we propose a cost allocation based on LMP sensitivity that accounts for the effect of congestion. We also propose a means of allocating costs between load serving entities at a single node. Finally, we define a fairness index to evaluate the performance of the proposed method compared to load-based allocation. We find that when load reductions are small, the fairness index of the proposed method is very close to zero, indicating almost identical benefit to cost ratios for all market participants. Although the fairness index increases with increasing load reductions, even for larger load reductions, the fairness index is still lower for the proposed method.
Starting Page	1
Ending Page	1
File Size	76136
Page Count	1
File Format	PDF
ISBN	9781467380409
DOI	10.1109/PESGM.2015.7285630
Language	English
Publisher	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Publisher Date	2015-07-26
Publisher Place	USA
Access Restriction	Subscribed
Rights Holder	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Subject Keyword	Resource management Indexes Load management Energy resolution Sensitivity
Content Type	Text
Resource Type	Article

Sl.	Authority	Responsibilities	Communication Details
1	Ministry of Education (GoI), Department of Higher Education	Sanctioning Authority	https://www.education.gov.in/ict-initiatives
2	Indian Institute of Technology Kharagpur	Host Institute of the Project: The host institute of the project is responsible for providing infrastructure support and hosting the project	https://www.iitkgp.ac.in
3	National Digital Library of India Office, Indian Institute of Technology Kharagpur	The administrative and infrastructural headquarters of the project	Dr. B. Sutradhar bsutra@ndl.gov.in
4	Project PI / Joint PI	Principal Investigator and Joint Principal Investigators of the project	Dr. B. Sutradhar bsutra@ndl.gov.in Prof. Saswat Chakrabarti will be added soon
5	Website/Portal (Helpdesk)	Queries regarding NDLI and its services	support@ndl.gov.in
6	Contents and Copyright Issues	Queries related to content curation and copyright issues	content@ndl.gov.in
7	National Digital Library of India Club (NDLI Club)	Queries related to NDLI Club formation, support, user awareness program, seminar/symposium, collaboration, social media, promotion, and outreach	clubsupport@ndl.gov.in
8	Digital Preservation Centre (DPC)	Assistance with digitizing and archiving copyright-free printed books	dpc@ndl.gov.in
9	IDR Setup or Support	Queries related to establishment and support of Institutional Digital Repository (IDR) and IDR workshops	idr@ndl.gov.in