scholarly journals Application of Unit Commitment with Market Pool in a Peaking Power Generation Firm in the Philippines for a Cost Reduction Case Study

2016 ◽  
Vol 2016 ◽  
pp. 1-10
Author(s):  
Luke Rey Santillan ◽  
Kenn Brylle Senen ◽  
Robert Wamilda ◽  
Lanndon Ocampo ◽  
Rafael Seva ◽  
...  
Keyword(s):  
Power Generation ◽  
Developing Countries ◽  
Unit Commitment ◽  
Cost Savings ◽  
The Philippines ◽  
Mixed Integer ◽  
Potential Cost ◽  
Small Power ◽  
Generation Costs

This paper attempts to provide an optimum loading schedule of power generating units with the least cost by solving a unit commitment (UC) problem and to present good estimates of cost differences when UC problem is not applied. UC is a fundamental optimization problem of power generation systems which determines the optimum schedule of generating units which minimizes generation costs. However, for small power generation firms which are situated in developing countries, UC-based problems are poorly understood if not implemented and the scheduling of generating units is based on some methodologies which may provide results that are not optimal. Thus, a case study in a small power generation firm in central Philippines is carried out to elucidate these objectives. The case requires a solution of the mixed-integer nonlinear programming (MINLP) problem. Results show that the proposed UC-based problem yields optimal costs and the cost disparity from the current scheduling scheme is approximately at 27% which may be considered as potential cost savings. This shows that UC-based problem provides a reliable platform in achieving minimal generation costs. These results are significant to decision-makers particularly in small power generation firms and to engineering practitioners in the Philippines and in some developing countries as these provide an overview of the disparity of cost figures of not implementing UC.

scholarly journals Mixed Integer Linear Programming for Maintenance Scheduling in Power System Planning

2018 ◽  
Vol 11 (2) ◽  
pp. 607 ◽  
Author(s):  
S.M. Hussin ◽  
M.Y. Hassan ◽  
L. Wu ◽  
M.P. Abdullah ◽  
N. Rosmin ◽  
...  
Keyword(s):  
Linear Programming ◽  
Integer Linear Programming ◽  
Mixed Integer Linear Programming ◽  
Unit Commitment ◽  
Operating Cost ◽  
Cost Savings ◽  
Maintenance Scheduling ◽  
Mixed Integer ◽  
Maintenance Schedule ◽  
Coupling Constraints

This paper discussed the merit of mixed-integer linear programming (MILP)-based approach against Lagrangian relaxation (LR)-based approach in solving generation and transmission maintenance scheduling problem. MILP provides a straightforward solution by formulating coupling constraints equations so that these sub-problems can be solved simultaneously without involving multipliers. In LR-based approach, generation and transmission maintenance scheduling, and security-constrained unit commitment have been solved individually and the integration was realized through a series of multipliers which has caused computational burden to the system. Numerical case studies were evaluated on the 6-bus system. A comparative study is carried out between the MILP and LR approaches. Simulation results indicate that the maintenance schedule derived by the proposed MILP approach outperforms the LR in terms of operational cost savings and gap tolerance. The operating cost could be saved up to 5% and the gap tolerance achieved is 0.01% as compared to 0.14% by LR.

scholarly journals Impact of Wind Power Generation on System Operation and Costs

2014 ◽  
Vol 8 (1) ◽  
pp. 580-588
Author(s):  
Wang Fei ◽  
Pan Wenxia ◽  
Quan Rui
Keyword(s):  
Wind Power ◽  
Power Plants ◽  
Unit Commitment ◽  
Mixed Integer ◽  
System Operation ◽  
Spinning Reserve ◽  
Proposed Model ◽  
Integer Problem ◽  
The Impact

In this paper, a deterministic security-constrained unit commitment (SCUC) model is deployed in order to optimize generation output and allocation for spinning reserve considering different wind power dispatch modes. In this model, the scheduling of power plants takes into account a simultaneous clearing of power, reserve capacity requirement and CO2 emission and so on. Spinning reserve is modelled as an exogenous parameter which represents load uncertainty and wind power uncertainty. Special attention in the study is given to determine the impact of different dispatch modes with wind power and different levels of spinning reserve requirement on system operation and costs. The proposed model can be formulated as a mixed-integer problem (MIP) and solved in GAMS by using the CPLEX optimizer. The model is applied to a wind-fired intensive power system for three case studies. The results include the optimal spinning reserve and generator output of each generator, CO2 emission cost and cost of wind power for each case study. The results show that taking wind power as a control option can improves system operation and costs if wind generation and traditional sources generation are coordinated properly.

scholarly journals Real Levelized Cost of Energy with Indirect Costs and Market Value of Variable Renewables: A Study of the Korean Power Market

Energies ◽  
2019 ◽  
Vol 12 (13) ◽  
pp. 2459 ◽  
Author(s):  
Sung-Hyun Hwang ◽  
Mun-Kyeom Kim ◽  
Ho-Sung Ryu
Keyword(s):  
Power Generation ◽  
Cost Savings ◽  
Indirect Costs ◽  
Power Market ◽  
External Effects ◽  
Fuel Prices ◽  
Levelized Cost ◽  
Cost Of Energy ◽  
Generation Costs ◽  
Direct Generation

A levelized cost of energy (LCOE) is a methodology for comparing power generation costs in the transition to renewable energy (RE). However, the major limitation of evaluating RE based on the LCOE is that it does not consider indirect costs, such as the environmental and curtailment effect. This paper proposes the real LCOE (rLCOE) approach that accounts for indirect and direct generation costs. The mathematical approach to estimating indirect costs is derived from economic theory. The indirect effects, which quantify all benefits generated due to RE, is related to the variability of the share RE in the energy generation mix. The rLCOE enhances the accuracy of the economic comparison of power generation costs and the derivation of the optimal quantities of RE because external effects are incorporated into the LCOE principles. This approach has taken into account electricity demand, fuel prices, and environmental costs for each energy source to adequately compare generation costs. Simulations have been performed to demonstrate the application of the rLCOE approach in the Korean power market. Here, the unit variation of costs with the RE share were analyzed. The results show that indirect cost savings of an additional unit of RE begin to fall in scenario 3 in contrast to the result of LCOE approach indicating higher generation costs with RE share, especially, the proportion of RE in the generation mix is higher than 20%. Thus, the optimal power generation can be evaluated using the rLCOE approach.

Reinventing Distribution

2020 ◽  
pp. 64-78
Author(s):  
Lea Shaver
Keyword(s):  
United States ◽  
Developing Countries ◽  
Cost Savings ◽  
Cost Effective ◽  
The United States ◽  
Hard Copy ◽  
Digital Content ◽  
Potential Cost ◽  
Trade Off ◽  
Children’S Homes

This chapter covers the difficulties of distributing books, especially developing countries that contend with limited transportation infrastructure and unreliable postal systems. From Pratham Books' perspective, “Creating access is infinitely harder than creating books,” Suzanne Singh states plainly. It explains how postal systems offer a convenient and cost-effective way to deliver hard-copy books. In the United States, Imagination Library spends pennies per book to ship directly to children's homes. The trade-off, however, is that the recipients have no ability to select particular books of interest. The chapter also explains how digital technology offers to make books “magically appear” in a different way. For charities looking to make their budgets stretch, these potential cost savings are significant and very attractive. For this reason, literacy charities in the developing world are increasingly emphasizing digital content.

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