The Costs of Wheeling and Optimal Wheeling Rates

Wheeling is the transmission of electrical energy from a buyer to a seller through a transmission network owned by a third party. This paper provides a theoretically sound, yet practical to implement, basis for setting wheeling rates. These wheeling rates are based on marginal costs (determined by l...

Full description

Saved in:
Bibliographic Details
Published in:IEEE transactions on power systems 1986, Vol.1 (1), p.63-73
Main Authors: Caramanis, Michael C., Bohn, Roger E., Schweppe, Fred C.
Format: Article
Language:English
Subjects:
Applied sciences
Automatic generation control
Cost function
Educational institutions
Electrical engineering. Electrical power engineering
Electrical power engineering
Exact sciences and technology
Laboratories
Operation. Load control. Reliability
Physics
Power engineering and energy
Power generation economics
Power networks and lines
Power system planning
Power systems
Voltage
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:Wheeling is the transmission of electrical energy from a buyer to a seller through a transmission network owned by a third party. This paper provides a theoretically sound, yet practical to implement, basis for setting wheeling rates. These wheeling rates are based on marginal costs (determined by losses and effects of line flow and voltage magnitude constraints) adjusted up or down as necessary to account for embedded capital costs (i.e. revenue reconciliation). Simple numerical examples are provided to illustrate interesting phenomena such as negative wheeling rates which yield positive net revenue. Comparisons with present day wheeling rates show that major differences exist. The wheeling rates of this paper yield a "no lose" situation for the buying, selling and wheeling utilities.
ISSN:0885-8950
1558-0679
DOI:10.1109/TPWRS.1986.4334845