4th Young Energy Economists & Engineers Seminar - YEEES Viena 2008, Vienna (Austria). 24-25 April 2008
Summary:
Calculating Inter TSO Compensations (ITC) has turned out to be a highly critical issue in facilitating the formation of a competitive Internal Electricity Market in Europe. The Aumann-Shapley Approach has been proposed for the computation of ITCs in Europe mainly because it features interesting properties such as fairness, transparency and reasonability of its results. This method lets agents themselves choose the most appropriate generation-load counterpart and thus minimizes at the same time individual and global network usage. The original version needs some adjustments to be computationally feasible. Using these adjustments compensations can be calculated at country level but it is not possible to compute individual contributions of agents to each line flow. Thus nothing can be said about which fraction of the grid of each country is used by other countries.
This article presents a novel algorithm to compute the participations of agents in the use of individual lines. In order to do this, the sensitivities of line flows with respect to injections of
each agent are computed. A numerical example of 8 nodes shows the functioning of the proposed algorithm and its suitability for the implementation in a bigger system such as is the European network.
Keywords: Keywords—Inter TSO Compensations, Cooperative Games, Network Cost Allocation
Publication date: 2008-04-24.
Citation:
K. Dietrich, An application of the Aumann-Shapley approach to the calculation of individual participation of agents in electrical lines, 4th Young Energy Economists & Engineers Seminar - YEEES Viena 2008, Vienna (Austria). 24-25 April 2008.
