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Electricity Pricing in Deregulated Power Sector

Abhas Kumar Singh, Chandrpal singh,Sanjeev Kumar,Y R Sood

This paper presents a method for allocating embedded cost of transmission to its consumers through transactions under deregulated environment of power system. There are many methods to calculate the embedded cost in the different way and procedures. In this paper there are comparison between those methods and try to find the fairest among them. There are IEEE 9 bus and IEEE 30 Bus system is usedfor the calculations with the help of Matlab coding. For the calculation of price we take some transaction on different buses and load. This transaction are taken in MW. This transaction are bilateral and free from direction of power flow, active and reactive power both are considerd and power factor included.We calculate the power flow at the different busses using load flow. Load flow give power flow in line and this power is useful to calculate the cost of transmission cost.Than we calculate the cost of electricity price with transaction and without transaction. Auction mechanism is used in deregulated power sector for transparent and better way to compute electricity pricing.