Journal
IEEE TRANSACTIONS ON POWER SYSTEMS
Volume 38, Issue 4, Pages 3201-3210Publisher
IEEE-INST ELECTRICAL ELECTRONICS ENGINEERS INC
DOI: 10.1109/TPWRS.2022.3207088
Keywords
Bilevel models; AC OPF; complementary condition smoothing functions
Categories
Ask authors/readers for more resources
This paper proposes a novel bilevel formulation based on the smoothing technique to address the issue of market price-affecting agents. The upper level models any price-affecting strategic player, while the lower level uses a convex quadratic transmission AC optimal power flow (AC OPF) to solve the market clearing problem, aiming for accuracy close to the exact nonlinear formulations.
The existing research on market price-affecting agents, i.e. price makers, neglects or simplifies the nature of AC power flows in the power system as it predominantly relies on DC power flows. This paper proposes a novel bilevel formulation based on the smoothing technique, where any price-affecting strategic player can be modelled in the upper level, while the market clearing problem in the lower level uses convex quadratic transmission AC optimal power flow (AC OPF), with the goal of achieving accuracy close to the one of the exact nonlinear formulations. Achieving convexity in the lower level is the foundation for bilevel modeling since traditional single-level reduction techniques do not hold for nonconvex models. The bilevel market participation problem with the AC OPF formulation in the lower level is transformed into a single-level problem and solved using multiple techniques such as the primal-dual counterpart, the strong duality theorem, the McCormick envelopes, the complementary slackness, the penalty factor, the interaction discretization as well as the proposed smoothing techniques. Due to an extensive amount of information and descriptions, the overall work is presented as a two-part paper. This first part provides a literature overview, positions the work and presents the model and the solution algorithm, while the solution techniques and case studies are provided in the accompanying paper.
Authors
I am an author on this paper
Click your name to claim this paper and add it to your profile.
Reviews
Recommended
No Data Available