Network Charges to Reflect the Cost to Support Busbar Voltages Under N-1 Contingencies
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– Traditionally, network charges are to reflect the cost of reinforcing circuits and transformers based on components’ thermal limits, typically under normal conditions. Very few papers address the reinforcement cost driven by busbar voltage limits, particularly including contingencies. This paper proposes a new charging methodology that can relate nodal power perturbation to nodal voltage degrading rate, which in turn links to the incremental investment cost required to maintain voltage levels. In this paper, the incremental cost is derived by making use of busbar voltage spare capacity to gauge time to invest in a reactive power compensation device for a given load growth rate. The time to invest takes into account not only the base voltage profiles of busbar profiles in the system, but also accounts for those under N-1 contingencies (outage of each line in turn). The new charging methodology is illustrated on the IEEE 14 bus network, demonstrating the difference in charges when including the effects from contingencies, providing better economic signals to potential network users. This will help them to make informed decisions as to whether to invest in reactive power devices or pay the network operators for reactive power provision
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