1 AIT Asian Institute of Technology

Transmission pricing using the exact power and loss allocation and sensitivity analysis in a deregulated environment

AuthorCattareeya Adsoongnoen
Call NumberAIT Diss. no.ET-07-06
Subject(s)Electric power transmission--Prices

NoteA dissertation submitted in partial fulfillment of the requirements for the degree of Doctor of Engineering in Energy, School of Environment, Resources and Development
PublisherAsian Institute of Technology
Series StatementDissertation ; no. ET-07-06
AbstractIn this dissertation, transmission pricing methods for the Enhanced Single Buyer (ESB) model in the Thai electricity supply industry are proposed. The ESB model includes Single Buyer (SB) market and Bilateral Contract (BC) market. The transmission pricing for both markets consists of three components; a connection charge, a common service charge, and a Transmission Use-of-System (TUoS) charge. The connection charge is intended to recover the costs of providing and maintaining connection assets. This charge is levied differently depending on the maximum installed capacity of an individual user. The common service charge is charged based upon an approximation of metering costs such as billing and collection. It is an equal charge for all users. The TUoS charge is aimed at recovering the transmission investments including the costs of operation and maintenance. The long-run average incremental cost method is used to determine the TUoS tariffs for different voltage levels. To provide an incentive to the transmission users, the sensitivity method and the exact power and loss allocation method are proposed for the SB market and the BC market, respectively. The transmission charges take both active and reactive power into consideration. The Thai 424-bus power system exemplarily demonstrates the methods. The revenue reconciliation method is presented. In addition, the transmission pricing based on a combination of the postage stamp method and sensitivity method for the electricity cross¬border trade in ASEAN Power Grid (APG) is analyzed. The Cigre l2-bus testing system is applied as an electricity cross-border network. The results show that the proposed methods efficiently promote the economic incentives to the transmission users based on system usage and congestion management. Consequently, the transmission pricing methods tend to recover the transmission investment, including the operation and maintenance costs, in a simple, fair and transparent manner
Year2007
Corresponding Series Added EntryAsian Institute of Technology. Dissertation ; no. ET-07-06
TypeDissertation
SchoolSchool of Environment, Resources, and Development (SERD)
DepartmentDepartment of Energy and Climate Change (Former title: Department of Energy, Environment, and Climate Change (DEECC))
Academic Program/FoSEnergy Technology (ET)
Chairperson(s)Weerakorn Ongsakul;
Examination Committee(s)Tang, John C. S. ;Surapong Chirarattananon ;Haubrich, Ing. Hans-Jürgen;
Scholarship Donor(s)Naresuan University ;Royal Thai Government (RTG) ;German Academic Exchange Service (DAAD);
DegreeThesis (Ph.D.) - Asian Institute of Technology, 2007


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