Optimal Demand Response Program for Active market power reduction

Evaluation of market power is one of the important aspects of power market analysis. The market power problem in electricity market is more complicated than othercommodity markets because of its special characteristics. In general, market power is the ability of one seller or a groupof sellers in keeping the market price more than its contest, ina long time and in the direction of their benefit. Transmission network characteristics is one of the most important factorsin creation of the market power. The transmission congestion increases the potential of market power occurrence.The main purpose of this paper is determination of optimal Demand Response Program for reducing the market power and electricity price from the Independent System Operatorviewpoint. In this paper, the electricity price has been calculated according to the sum of the paid cost to theproducers proportional to their locational marginal price, and the paid cost to the customer proportional to their participation in demand response program.

کلیدواژه ها:

Demand Response Program ، Active market power ، Must-Run Capacity Index